Pros and Cons of Local Coin Shop or Online Purchasing

You asked me a very important question. Am I just buying Silver? I feel I am on the fence. I can see the fun in being a coin collector or buying silver for higher premiums because I love history. I like Inspecting things looking for the best condition, I did this with baseball cards and comic books when I was young. I have seen the lines blurring when buying silver as an investment and paying higher premiums for certain silver products because of the utility I get from having them. Fish, thanks for helping me here.

 

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Quite welcome, there are many good people on here that have MUCH more knowledge then I do...and again, welcome to coin talk.

 

You will learn something fun, new and valuable everyday.

 

My local coin dealer knows what I collect and may need for my collection. He will hold that particular coin I am hunting. I try to stop at least once a week and twice if I have time. Most dealers like to have your want list and it is to their benefit to have customers who are always looking. Good luck.

 

My two local shops are generally overpriced priced for most stuff. I do however buy all my supplies through them even though it costs me more than I could buy them online just to support them a bit. Every so often I'll get a good deal on stuff but it's sporadic and depends what they've taken in and are looking to move. I purchase most my stuff online as the savings are worth it for me.

If I was only buying bullion I would certainly buy it where ever it was cheapest. The reality is no matter how good a relationship you have with your local shop you're not likely to ever get that high premium back when selling. Barring the scenario where PM's have went up a lot since purchase. I think everyone should do some selling once in awhile especially people who are just stacking bullion. As selling bullion in a flat or down market will pretty quickly move most people towards collecting numismatic coins versus simply stacking bullion imo.

 

I use my LCS when I'm looking for a specific coin that I want to see in hand first. I may not even buy the coin but it's a good way to compare prices. Occasionally I've gotten some really good deals on gold coins, but if it's ASE's or AGE's, I think you can do a lot better on feebay.

 

That seems a bit high. I haven't bought silver in a while but on a %-basis it seems high. But given the absolute dollars, maybe not. I've bought from MCM and APMEX online, very good service and prices.

I know my LCS for gold coins, for cash purchases over $1,000, will charge about 5-6% over spot. Very fair.

 

Consider yourself lucky! I haven't found a decent shop that's truly local (like, within 30 minutes drive of me)!

 

You all make valid points, but the few times I have asked my LCS, the prices were generally 20% higher than online, plus sales tax. So even a $50 coin was going to cost approximately $65.

 

My LCS gives cash discounts, but he doesn't advertise it. He assumes people might pay with CC, so he factors in the CC fees to his prices. When buying silver with cash, he's willing to take at least $0.25 per ounce off the price.

 

The other thing to remember is that building a good relationship with a coin shop you trust has fringe benefits. A lot of times you'll get higher exchange rate, discounted prices (that they won't advertise) and first shot at incoming coins.

Sometimes you pay a bit of a premium and occasionally remind them when the time comes.