Question about evaluating a collection.
ajaan
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I have been asked to evaluate a collection that hasn't seen the light of day in a couple decades. It was stored in an attic and just recently found by the heirs of the owner.
Do dealers usually charge a fixed hourly rate to evaluate the collection? If so, what is the rate? or do dealers charge a percentage of the value of the collection? The heirs are not interesting in selling at this point, just want to know its value. TIA.
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Don
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If they were stored in an attic, expect to see some coins with environmental damage.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
Set an hourly rate that makes it worth your while. Make sure you can actually do an appraisal before agreeing to do so. (It may contain too many items you have no real knowledge of.) If they agree give them as accurate a valuation as you can based on current market conditions and state clearly whether the amount reflects wholesale, retail or something else. Make it clear that once they agree to your appraisal fee you will not be making an offer on the coins as it is unethical for an appraiser to do so.
Set a rate, based on the size and content of the collection. General condition will also factor into the effort. Be prepared to justify your appraisal with back up information. Good luck and let us know if there are treasures in the collection. Cheers, RickO
I have seen some of the collection. Many of the items are Mint products, sets, ASE, AGE etc, from the 80s and 90s. I know there is an 1885-CC GSA dollar in it. Are GSA coins valued more than a similar non-GSA coin?
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CU #3245 B.N.A. #428
Don
Yes, GSA Morgans are valued higher than NON-GSA Coins of the same date and grade.
This is often true, but not always. As the story goes, the 1838-D half eagle that I have in my collection in PCGS MS-63 was part of a family hoard that was stored in an attic. The coin has no problems. Of course it is gold which makes a difference, but attics are not the worst. To me the basement is the worst, perhaps followed by the garage.
I wouldn't trust an appraisal from someone who would ask such a question.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
I'm sorry Perry Hall we all aren't all knowledgeable like you. It must be nice to know everything about all coins. I thought this was the place to ask questions. I guess it's not.
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'Emancipate yourselves from mental slavery'
CU #3245 B.N.A. #428
Don
Please do not consider this a personal attack or an insult of your numismatic knowledge, however, I would expect a professional appraiser to know the difference in value between a GSA Morgan and non-GSA coin. If things like this are outside your knowledge base, then IMO you might want to reconsider charging for your service. If you’re just helping a friend and they want to give you something for your effort, then that’s different.
Also, if you’re getting paid and plan on using this forum to answer your questions, then that might leave a bad taste with other members. Why should you profit from their knowledge? Shouldn’t they be entitled to part of your profit as well when they answer a specific question? Just something to think about.
I say this respectfully: If you don't know how to value GSA coins relative to non-GSA coins, I think it borders on unethical to charge them for an expert opinion.
This is a great place to ask about the value of a GSA dollar. However, people who charge for expert opinions are experts. If you had asked about an unusual item like a 16th Scottish gold coin, we would excuse it. But GSA dollars are coin widgets. To charge for an expert opinion when you are not a market expert is unethical.
If it is mostly Mint stuff in the OGP it should not be too hard to set an estimate via the Redbook or web values. eBay is always a good source for what things are really selling for. Be aware though...if the value is less than the heirs expect you should have an explanation ready...I have provided a couple of friends with a look over of their inherited collection of coins, both were very heavy on the late 60's onward proof and mint sets etc. and they were disappointed that 40 year old coins in the original government packaging were only worth a few bucks each. Sure some were worth more but most not.
Good luck!
K
I would never use the Redbook to price anything. They rarely represent actual market value in any but the broadest sort of widget retail sense.
The people who want me to value the items is my brother-in-laws family. I didn't want to charge them anything but they insist on giving me something. As for the GSA, I was told that unless certified, they don't go for much more than an a raw dollar. I just wanted to make sure if this was true or not. I see people all the time ask value of coins here. At least I was honest enough to say why I wanted to know. And geez, it was one coin I asked about. It wasn't all of them. I guess I could tell them their $400 face of 90% silver is worth only 8x face, what local dealers are paying for it, but I wouldn't feel right about that when it can be sold online for 10-10.5x face. I want to give them an honest fair evaluation.
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'Emancipate yourselves from mental slavery'
CU #3245 B.N.A. #428
Don
Generally my appraisals are free or a flat refundable fee if I purchase the estate / collection. Get a greysheet, blue book, photograde etc and you wb just fine. Ignore the comments about expertise from them in here. I would use MS60 for valuation on non slabbed Unc material.
Bookmark the ngc world coin guide and coin Facts in your smart phone.
I would calculate bid and retail. My offer (valuation) wb at a pct of bid. For problem items simply put down BV or zero on your calc form.
View and list the items. Take the list home and price out the data if it’s going be time consuming or problem there. You can tell them “I will get with you on Value need price out / check the trading networks.” While the heirs say they are not interested in selling they may change their mind or it may be a trick to get u give them a high number. Then they will turn around offer sell it to you at your valuation. Your looking for bottom line number that gives a good flip profit but a tad higher than what shop might offer in case they shop around. Then u look like hero and they want sell to u.
For non TPG graded GSA coins which appear Unc use MS60 Bluebook or CDN Bid for MS60.
Give them bottom line number “these are currently trading around $xxxx.” Keep it simple don’t get into detail stuff. If they ask what it’s based on just say “this is what they are currently trading for in the market place.” Be assertive and confident - your in control here not mr know it all from the bourse or coin club.
I have executed a number of these deals. If not enough money, bring in partners.
The price basis used depends on what type of appraisal they want: insurance (retail) vs. purchase offer (wholesale).
You must understand our position. You didn't tell us it was family. [Charging family is even more awkward, IMHO. Let them buy you dinner.] And you didn't ask about an unusual coin, but a widget. A widget that is listed separately in Greysheet and most other price guides. So, please understand our concern.
As for the 85-CC, there is only about a $25 or $30 difference on a routine GSA in box and a raw 60/62 coin. But there's a bigger difference between a 60/62 coin and a 64 coin. I know everyone thinks it's easy to be a coin dealer, but it does take some skill to be good at it.
Depending on what your brother-in-law wants to know, I would not put prices on ANYTHING. Pricing accurately to different market segments takes market knowledge you likely don't have. You might be better served just blocking stuff into categories. It's easier and safer in that you won't be setting up false expectations. Put "bullion" in one category, U.S. mint products in another group, face value coins together, bulk items (circ wheats, Indians, etc.). Then, take the "collector coins" and put them into 2 categories (or more), something like "Under $100 widget", and "over $100 premium" or something like that. Then you might suggest the best venues for certain items, if you know.
Of course, a dealer who prices all raw coins at MS60 would be labeled a crook...just saying.
I do have a greysheet and I'm using that. I couldn't find the GSA section in the greysheet. I'm sorry I missed it. I have looked through about 1/2 the collection. In total there is about 50+ lbs of collector coins and 50 lbs of cents.
They want a value so I had to put a value on the collection.
I was surprised the only coins that have environmental damage are the silver dollars that were in cardboard 2×2s. These developed black spots. All the other silver was fine.
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'Emancipate yourselves from mental slavery'
CU #3245 B.N.A. #428
Don
I've evaluated a few collections for friends in the past and this is exactly what I did. Grouping everything into buckets is a simple way to help the non-numismatist understand what they have.. Even if they don't like your answers and decide to take it to Joe's Buy Gold Now Shack, they at least you've given them an idea of what might have value and what are commodity bullion or modern low value government issues.
You have to ask? Sorry, but I just assumed everyone knows the answer to this.
bob
@ajaan - The honesty that you can offer a family member weighs heavily in favor of doing this appraisal. The nature of the material makes it pretty straightforward and simple.
Yes, you should be doing this rather than some stranger.
Very true....I sort of threw that in the since the OP asked the GSA Morgan question. Should not have I guess.
K
This isn't exactly a treasure, but to me it's the most interesting thing I've found so far:
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'Emancipate yourselves from mental slavery'
CU #3245 B.N.A. #428
Don