hey all, i bought this a while ago for about 10 bucks and was wondering what you would grade it as and how much it would be worth. Its one of my favorite coins.
Looks to be in the VG range, and worth close to $12 melt value, maybe a dollar more on eBay. Here's a "photograding" guide for reference: http://coinauctionshelp.com/How_To_Grade_Walking_Liberty_Halves.html
Although low grade WLH's can be found for melt, I see some dealers unwilling to sell them for the same low melt value as Franklin or Kennedy Halves.
Simple business. If the dealer has people willing to pay even a small premium, why sell at melt? There are many like the OP who assume the coin is "worth" more. It's similar to how many people will pay a premium for junk Morgans.