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Grading/slabbing: Where is the value point?
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<p>[QUOTE="Troodon, post: 1580731, member: 4626"]Eh, too simple, and coins worth more than $250 can still be a loss to have them graded (in that it won't improve the resale value by at least as much as it cost to have it graded). Better rules:</p><p><br /></p><p>1. If you intend to sell it and it's a coin that's commonly faked. Even if it's worth less than $250 I would never buy a raw trade dollar, nor attempt to sell one (online anyway, a dealer with enough experience to know it's real may buy it anyway).</p><p><br /></p><p>2. If you reasonably believe it can hit a high grade. For moderns this basically means MS/PF 70, usually. Maybe 68 or 69, depends on the series. If it looks like it can grade high enough to hit that point where a coin goes way up in value than the grade just below it, it's worth a shot. Dealers do this all the time; the ones that make the grade more than make up for the ones that don't (but you have to submit massive amounts to get the law of averages to work in your favor, as a collector this probably won't work, so examine it closely before you take a shot).</p><p><br /></p><p>That's about it I can think of if the point of having it graded is to improve its resale potential. And choose to believe this or not, but most of the time grading it will not do so (improve its resale potential by at least as much as the grading fee). The 2 situations I mentioned above are the only real exceptions, and this won't happen often. It's very rare to acquire a raw coin where having it graded will be a net gain for you. Even defenders of the TPGs will admit this (many will tell you if you want a slabbed coin, you're better off buying it that way already).[/QUOTE]</p><p><br /></p>
[QUOTE="Troodon, post: 1580731, member: 4626"]Eh, too simple, and coins worth more than $250 can still be a loss to have them graded (in that it won't improve the resale value by at least as much as it cost to have it graded). Better rules: 1. If you intend to sell it and it's a coin that's commonly faked. Even if it's worth less than $250 I would never buy a raw trade dollar, nor attempt to sell one (online anyway, a dealer with enough experience to know it's real may buy it anyway). 2. If you reasonably believe it can hit a high grade. For moderns this basically means MS/PF 70, usually. Maybe 68 or 69, depends on the series. If it looks like it can grade high enough to hit that point where a coin goes way up in value than the grade just below it, it's worth a shot. Dealers do this all the time; the ones that make the grade more than make up for the ones that don't (but you have to submit massive amounts to get the law of averages to work in your favor, as a collector this probably won't work, so examine it closely before you take a shot). That's about it I can think of if the point of having it graded is to improve its resale potential. And choose to believe this or not, but most of the time grading it will not do so (improve its resale potential by at least as much as the grading fee). The 2 situations I mentioned above are the only real exceptions, and this won't happen often. It's very rare to acquire a raw coin where having it graded will be a net gain for you. Even defenders of the TPGs will admit this (many will tell you if you want a slabbed coin, you're better off buying it that way already).[/QUOTE]
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