I have a question for everyone and I would like some opinions. 18 months ago, I received a large coin collection. My first instinct was to sell it, and put the $ into something else, but as time went on, I started learning about the hobby, I actually found myself surfing auction sites, and stopping in local coin shops when I was out traveling for work. So far, I have sold just some of the silver, and a few other coins (about 5% of the collection). My son has recently become interested in collecting, so we are learning together. I have decided to save most of the coins for him, for when and if he really starts collecting, he will have a great head start. I read a lot of threads about buying coins for X amount of $, and adding grading costs, shipping, and possibly not coming back the grade you expected. Some people fear they will break even, or lose money. My question is, due to the fact that I did not pay for the coins, would it be a good idea to send some of the better coins in to be graded by a TPG? I would only be in it for the grading costs, so would any of you collectors send them if you were in my shoes? I really just want to put them away for my son. I have some key and semi key wheats, some real nice Morgans, Ikes, some proof toned Franklins and a real nice set of toned dimes, among so much more. any opinions would be appreciated thank you in advance Kevin
You know, it really depends on the coin and the value of the coin. Even though you got the coins for 'free'. Generally if a coin is not a value at about 100.00 or more, it's not really a good idea to send to the TPG..... because the grading cost is not the only thing you would incur, you would also have to pay the insurance costs based on the values of the coins, and make sure you have at least 5 in each batch you send, etc. Generally, you can sell a coin raw at about the same as one that is plasticized (the lower value ones.....). Of course there are other considerations, so this doesn't cover everything. Edit: post some here with good quality pics and a lot of people can give you an idea if it will improve the 'value' by being graded.
If it were me I would absolutely send in all of the ones that are worth grading. You can post pictures of your most expensive ones in the best condition, or post many photos from the collection on the forum to see which ones people also see fit to grade. I'm sure you would get a lot of accurate responses. Gradings can raise the prices dramatically. PCGS being the best which gives the highest values overall for graded coins.
Key date Lincolns might be worth the fees. What do you have? Early date proof Franklins might be worth it as well.
When you consider that getting a coin graded can cost you as much as $30-$40 per coin, I would think that as a general rule the minimum value of the coin would need to go up considerably. Of course grading costs can vary, but if the grading costs are much over 10% of the value of the coin, you might not want to do it.
Show to 2 different dealers . . . Ask one to tell you what to send out, with no prospect of buying them from you. Ask the other for itemized offers on the coins in which he's interested. Between the 2 responses you should be able to figure out exactly what to do. For the coins on which no grading recommendation or offer is made . . . definitely do not send.
Have one or more knowledgeable folks whom you trust inspect the coins with the goal to be picking out those that might benefit from certification. Be aware and willing that you may have to pay for this inspection service. Then, go through the pool of coins that might be good candidates and determine for yourself if you are willing to take on this possibly unnecessary expense for the possible gain. Additionally, I would list the coins within a thread on this site with any images that you may have.
My rules for getting coins professionally graded are simple to state but somewhat difficult to execute. 1. I grade the coin based on a GOOD grading guide (that means NOT the Red Book). 2. I do my best to determine if the coin has been cleaned or otherwise altered. 3. Based on the results of 1 and 2 I come up with a catalog value (again NOT the Red Book). 4. I look at the cost of grading a coin with that estimated catalog value. That cost has to be 10% or less of my estimated catalog value. When you include S&H that generally means I think the coin is worth $300 or more.
A good grading guide would be The Official American Numismatic Association Grading Standards for United States Coins. The sixth or seventh edition might be the most recent. Alternatively, PCGS has a free online photograde site that is useful.
I have prob 40-50 coins that I would consider having slabbed, but that may dwindle down in a few days. Looks like I have some research to do... Thank you all for your input....
As I've said in previous threads of the same nature, I slab everything, regardless of monetary value, that will remain in my permanent collection. Some coins I buy and sell on a whim, but some I know will be mine forever. These may be registry pieces, or they may be common ones that have some value to me. Either way, they get slabbed for several reasons - storage, uniformity, cataloging, insurance, etc. As you begin collecting, you will find yourself going from one interest to another and back again. It may take a while to find your focus, like it did me. Once I did, I decided to start slabbing those coins that I planned on holding on to. The investment in the grading, to me, is part of the cost of collecting.
Like you, I got into collecting by inheriting someone else's collection. As we went through the numerous coins in several boxes, I researched which type to determine a value, as I was not a collector. I didn't even know what a Morgan or Peace dollar was at the time, and this was my first time seeing these coins. We determined through our research that there was a couple grand worth of coins, but it wasn't worth the hassle to sell them at the time. So, much to my amazement, we not only saved them, but have since added to the collection over the past several years. I did not send any in to be graded. I am not concerned about the value at this time, as I enjoy the challenge of completing some of these sets. Your statement about passing them on to your son is very similar to what I have planned for my collection, which is passing it on to my granddaughter (my children don't seem to be much interested), who shows a passing interest that may or may not develop into a serious one. But, if she decides to liquidate the collection, she makes 100% profit on the coins,regardless of their value at that time, simply because she has nothing invested it them. So it is actually an additional savings plan for her. For what I have, I'm just not sure grading is worth the cost at this time. I would recommend any key dates be sent for verification, as some are frequently counterfeited. But like others have said, sending to a TPG would need to be decided on a cost versus value comparison.
For grading books, personally, I prefer the PCGS grading book ("The Official Guide to Coin Grading and Counterfeit Detection") over the ANA one. I have both, but find that if I need to reference a specific grade, the PCGS book has done a better job for showing the differences. Also, as someone mentioned, Photograde works wonders now that they improved the library.
