I see auctions on ebay for 2005 gold eagles or other gold coins and what i wonder is...how do they get these coins. Can you actually buy that coin for $5. Do they get sent out to local banks or do you have to go to Philly or Denver or San Fran to get them. I am just starting collecting after inheriting some coins (about a quarter searched in 3 months ) and not wanting to sell them Any help is appreciated. -James
No, you cannot buy a $5 Gold Eagle for $5.... (Well, okay, I suppose you could if somebody didn't have a clue that it was made of gold....! ) The $5 Eagle is 1/10 of an ounce of gold, and since gold runs about $440/oz, that coin should cost somewhere around $44-$50. A $10 Eagle is 1/4 ounce gold, and would run about $110, and a $25 Eagle is 1/2 ounce gold, and runs about $220, and then a $50 Eagle is a full ounce of gold, or $440. The only ways to get these coins are to buy them from coin dealers or from the mints themselves via their websites, most often. Many dealers carry a selection of modern bullion coins (AKA ones like the 2005 $5 Eagle), and also historical gold coins, such as the $5 Indian Head Gold coins, or the St. Gaudens Double Eagles, which run a little more in value than just bullion coins because of their numismatic value. ~AJ
You cannot purchase the business strike coins directly from the mint - you can only purchase the Proof coins from the mint.
I've yet to find a place that sells these for anywhere near these prices. Can you show me a place that does?
Nope - but there are dozens of them that sell them for about 10% more than that. No dealer sells gold at spot price.
Well then the prices ajm229 posted are valid in lala land only. That... I've seen. $50 Eagle (full ounce of gold) for $485 is easily found, $440 is not. Taken from my other thread... This (and what I've seen) brings up the question of whether you are really buying bullion (in which case spot pricing would come into play) or a coin, which would be a whole 'nuther bag of apples. Likewise, there are proof versions of these coins and (obviously) spot pricing wouldn't really apply, however... how much of a premium over non-proof would a proof coin command? And then there's the grading factor (again, not much to do with spot pricing, but rather more "the coin"). I'm not offering any answers, nor am I really asking questions, really just a few comments.
I have a question regarding this matter. 2005 $50 gold coin(1oz) goes for about $480 and these are not graded. But if you send the same coin to be graded and lets say it comes back in MS63 then the coin is worth much more than $480. Am I right?
Short answer: No. Long answer... People always post that you should buy the coin, not the holder. At the same time, it does cost money to grade a coin, and it would be fair to say that if you had two coins in the same condition, one graded and one not graded, the graded one might command at least $15 more (regardless of the grade) just based on the fact that the coin was graded (which again, costs money). While this may apply to someone who buys graded coins (for whatever reason be it resale, confirmation of conditon or authenticity, etc.) maybe some dealers plan on breaking the coin out and resubmitting it hoping to get a better grade and this "$15 over" wouldn't really matter to them. Dealers know it costs money and takes time to grade coins, though I'm not sure how much more they are willing to pay for a graded coin (verses a non-graded coin, same condition). That said, while a somewhat rare coin from 1892 that grades MS63 would increase, you can find 2005 $50 (1oz) gold coins that are graded MS69 all over the place. The difference in price between an ungraded and graded 2005 $50 (1oz) gold coin seems to be about $15-$20 (which is what I was talking about before). I've seen graded MS69 2005 $50 gold coins go for less than ungraded raw coins.
Let's just be clear that I said "ABOUT." If the price of gold drops some, then the current spot price could certainly be right. If it goes up, then it's too low. I don't often speak in absolutes, as you are suggesting, Sam.
Yes, I realize you didn't post absolutes, but the following "about" is more accurate... Of course price goes up, price goes down, different dealers, different margins, etc. Point was that if I could find someone selling it at about $440, I'd be happy. $485 is a bit more than "about $440" IMHO, but maybe to others it isn't. You might not be wrong, but it's not just not close enough.. for *me* and what I'm looking for.
