John Kamin--"The Forecaster"

Discussion in 'Coin Chat' started by Owle, Dec 26, 2014.

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  1. longnine009

    longnine009 Darwin has to eat too. Supporter

    longnine009, Dec 29, 2014
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  3. sshafer11

    sshafer11 Head Research Assistant - Coin Show Radio

    I think there is something to be said for being a collector and dealer at the same time. I also don't think it is fair to say a dealer is not as passionate or addicted as a collector. I know several dealers who love the coins as much as the collectors who buy them. Isn't it rather arbitrary to say that just because one sells a coin for profit they aren't passionate about it?

    Also on the subject of coins appreciating value, take a look at an old red book, or a even better a copy of Max Mehl's encyclopedia from the 1930's and you will notice worthy, consistent, price increases. I'm not saying that buying a coin is a great investment, but the right coins over time (possibly decades) will see price increases and should yield profit.
     
    sshafer11, Dec 29, 2014
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    LostDutchman and longnine009 like this.
  4. GDJMSP

    GDJMSP Numismatist Moderator

    Oh I'd agree that some dealers can be very passionate about coins, and more than a few collect themselves. But I think the point he was trying to make is that dealers have to be careful because for them it is a business, and no matte rmuch you like them you can't collect the inventory - if you want to stay in business.

    As for profit, wellllllll, I'd have to agree with Chris. The sad fact is that maybe 5% of collectors ever realize a profit on their collections. Now a lot of people argue that because they say - I've sold coins and made money. Well, I'm sure they have. But there is a huge difference between selling a few individual coins and selling an entire collection. It is when the entire collection is sold that kills your profit.

    The reasons for this are pretty simple. As mentioned, you have to buy the right coins. But you also have to buy them in the right grade, at right time, and then sell at the right time. Miss or get any one of those 4 things wrong, and it's almost a certainty that you will lose money at sale time.

    And that 5% number, that's a pretty accurate number. Because very few people, myself included, ever get all 4 of those things right.
     
    GDJMSP, Dec 30, 2014
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  5. quartertapper

    quartertapper Numismatist

    It is a fact, but not totally a sad one. Most of us realize after collecting fr a few years that we won't likely ever break even on our collections. Many of us will never cash them in, as our heirs will either continue building our collections, or cash them in.

    When my friends and coworkers ask how much i make per year collecting, I ask them how much their hobby makes them. I have never heard a hunter brag how much money he made traveling hundreds of miles pulling an ATV and testing out the latest equipment they bought at the sportsman's show, only to bring home a carcass that needs to be processed at the butcher. Trust me...people do it because it is their hobby too. Beef is cheaper by far, even now!
     
    quartertapper, Dec 30, 2014
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