Newbie looking for guidance
krogers58
Posts: 16
All,
I am new to this coin collecting, and from what I see and feel, its more of an obsession, than a hobby. Besides, my son absolutely adores the state quarters, so I'm in it more for him, but I realize the upside of the quarters will be somewhat limited, unless I can manage to put together a top ten set. I've since begun collecting the state quarters ( yeah I know how most of you guys feel about the state quarters, but I'm a newbie, so be kind ), again its an issue of availability and prices. I am about 80 % done with the quarters, and have, what I would consider a top ten registry set, and from the point averages, at my current pace, I will have one in the top 5, but we'll see. I'd like a little input from the guys who have been doing this for years, the next area I like is the Franklin Halves, but I'm not sure if its possible to put together a top ten set. Is this possible? I don't have really deep pockets, but I can steadily afford to invest. What markets do you guys see as undervalued at present, as I am going to put some of my retirement ( less than 10%) into some of these coins, and perhaps, for a 12 - 14 year return, I will put some of my son's college money into these as well, its just that I want to get some advice from the guys that know. What is the best way to go about acquiring these coins, auctions?, establish a relationship with a dealer?, ebay?
Thanks, for putting up with my long-windedness,
Kevin
I am new to this coin collecting, and from what I see and feel, its more of an obsession, than a hobby. Besides, my son absolutely adores the state quarters, so I'm in it more for him, but I realize the upside of the quarters will be somewhat limited, unless I can manage to put together a top ten set. I've since begun collecting the state quarters ( yeah I know how most of you guys feel about the state quarters, but I'm a newbie, so be kind ), again its an issue of availability and prices. I am about 80 % done with the quarters, and have, what I would consider a top ten registry set, and from the point averages, at my current pace, I will have one in the top 5, but we'll see. I'd like a little input from the guys who have been doing this for years, the next area I like is the Franklin Halves, but I'm not sure if its possible to put together a top ten set. Is this possible? I don't have really deep pockets, but I can steadily afford to invest. What markets do you guys see as undervalued at present, as I am going to put some of my retirement ( less than 10%) into some of these coins, and perhaps, for a 12 - 14 year return, I will put some of my son's college money into these as well, its just that I want to get some advice from the guys that know. What is the best way to go about acquiring these coins, auctions?, establish a relationship with a dealer?, ebay?
Thanks, for putting up with my long-windedness,
Kevin
0
Comments
It would be remiss of me to tell you that I would do what you are doing. Yes there is an investment potential in coins, but the fact of the matter is that it's an investment just like anything else, and if you can't stand to lose it, you shouldn't invest in it. Coin collecting is, I think a sickness, a sickness which draws it's strength from the love of history and art, from the thought of holding something your grandparents and perhaps their grandparents held. I would look at it this way, teach your son about coins first, read about the coins, how they are minted, what they're made of, how they evolved. Once you fall in love with collecting you'll find your way. If you want an investment for your retirement and your kid's education, look into mutual funds. If you want to invest in learning and a lifelong love of art and history, get into coins.
Best wishes,
Frank
PS - if you want to talk Franklins - drop me a line
Oh yeah, welcome aboard!
Russ, NCNE
fun to collect and collectors do tend to do better financially than in-
vestors. Have fun.
I've had a hard time trying to sell some of these non-FBL Franklins as I upgrade to FBL Franklins. I basically give them away near the cost of slabbing them.
Oh, another piece of advice is to buy the best coin that you can afford. Try not to buy a coin just because it fills a hole and then decide later
to upgrade a couple of times. It is much better and economical to save up the money and buy the coin you want than to buy a lower end coin
then to sell it at a loss to buy another lower end coin and sell at a loss and finally buy the coin you wanted in the first place.
Good Luck!
Endo
Ok, the college money goes to more traditional investments, but....I am quite a ways away from retirement, and can afford to risk a portion of my retirement portfolio. Besides, I think I am falling in love with the hobby, and even if I lose money, I would consider the loss as an expense I would have had to pay for entertainment. That being said, I don't think there's a price I could put on the way my kid looks when we get a top notch state quarter in the mail, and the true bonding that comes from sharing a hobby with your son, is priceless.
-Dave
I've been collecting since childhood (40+ years) but only seriously since about 1991, right after the 1989-90 coin market crash that came on the heels of a blighted attempt to make an investment industry out of rare coins (the unsustainable bubble burst, like the one that just happened to the stock market). This was a hard lesson for investors: the coin market is as unpredictable as any other investment vehicle and there is no way to know where it will be when the time comes that you need to cash out. By the same token I doubt anyone can divine which series will appreciate and which will stay flat or drop, but it's probably safe to say that truly rare coins (key dates and ultra-rarities) will always find ready buyers as long as there are collectors with deep pockets around. I don't consider my coin collection to be a part of my investment portfolio even though I do put a substantial amount of my "expendable" income into it; if I ever sell the coins and it turns out I make a profit, that's great, but if I break even or lose money it won't really matter because I was not depending on it.
My advice is the same as so many others have emphasized: collect the coins that captivate your interest, but buy the books about those you collect and learn all you can about them; hone your grading skills; and until you become really expert, AVOID RAW COINS AT AUCTION!!!
Most of all, have fun! . . . [so much for brevity . . . ]
Dell
If you stick with your entertainment/bonding reasons, though, you should do fine.
Best regards,
Frank
Welcome. Yes, it's a sickness. Good luck to you both.
and it sets us apart from practitioners and consultants. Gregor
<< <i>next area I like is the Franklin Halves, but I'm not sure if its possible to put together a top ten set. Is this possible? >>
Is it necessary???
Why would you need to put together a "top ten" set in order to enjoy it. You can probably put together a real nice set for a
grand, don't spend 5 figures playing the registry game. Save the money for some other coins, I can assure you before the Franklin set is finished you will be looking at something else, it is addicting.
BTW Have you looked at Bust Halves in XF/AU. There's a nice place to put the retirement $$$
Coyn
Seriously, if you're doing state quarters, you might consider searching for and submitting those nice coins instead of buying them already certified. You'll refine your eye for quality, and might even make some money instead of spending it.
If nothing else, it's cheap entertainment, the first few thousand searched anyway.
I agree with everyone who says that coins is easiest to learn if you're thinking of it as a hobby. But, if you really want some recommendations for investment purposes, ok, here they are:
1. Buy coins that are truly cheap and rare; never buy coins that marketers say you should buy. Why? Because you can best hope to make big money by being contrarian. If everyone is buying Intel stock, then why should you? Buy an undervalued and overlooked stock -- or coin series.
2. Buy only eye appealing coins. If they're eye appealing to you now, chances are they'll be eye appealing to someone else in 15 years (unless your tastes are so bizarre!).
3. 3 cent silvers and 3 cent nickels are cheap as heck. Buy them in MS63 to MS65.
4. 2 cent pieces in RED in any UNC grade.
5. Matte proof Lincoln cents.
6. Properly graded NGC cameo proofs, Jeff 5c Full Steps, Ben 50c FBL -- because NGC has stricter standards on cameo, FS and FBL, and the holder trades for less!
7. Buy any properly graded coin outside of a PCGS holder; there is holder bias, and people pay more just because of the PCGS brand.
8. MS65 and MS66 Washington quarters in the late 60's and certain of the Phila-mint Ikes. I forget which dates exactly, but they are very tough in gem unc. Just don't buy 'em in top-pop condition.
* You'll need more education before you can properly avail yourself of advice #6, #7, and #8.
I have more, but this should sustain you for a bit...
EVP
How does one get a hater to stop hating?
I can be reached at evillageprowler@gmail.com
You would do yourself well if you heeded IrishMike's last post. His words are most sage.
EVP
How does one get a hater to stop hating?
I can be reached at evillageprowler@gmail.com
Actually, after emailing the #1 registered set owner in state quarters, he gave some real good advice on how to go about getting some uncirculated rolls, truly from the mint, and pay face value for them. We did get hold of 500.00 worth of quarters and searched them, (with gloves of course) and sent some to PCGS. We figured we had 2 ms67's and 1 ms68, but we got back 2 ms67's and 1 ms66. Guess that was my first lesson, but the 3 quarters cost me 75 cents, plus the cost of the grading. The 2 ms67's that we got were Mississippi D's, and though not extremely rare, they are currently listing a population of 28/0, so not bad for about 50 bucks, and some time spent with my son. And to all, I really appreciate the advice, and no, I don't have any proof Kennedy's
Kevin
2003 Red Book $20
Subscription to Coin World $50
A beautiful 1955 Franklin FBL $110
The look on your son's face when the latest state quarter arrives--Priceless.
For everything else there's MasterCard.
Accepted at coin shops everywhere.
Sorry, I couldn't help myself.
Welcome Kevin,
I'd look into $20 Saints and Libs. you can pic up some nice examples for just a bit over spot price. And at least you'll have the gold content to fall back on if the coin market went sour. That's just my opinion--I could be wrong.
WANTED: I need these coins
Always looking for PCGS buffs, 1917 SLQs, and pre-1933 GOLD.
Check my want list above!!!
<< <i>We did get hold of 500.00 worth of quarters and searched them........ The 2 ms67's that we got were Mississippi D's, and though not extremely rare, they are currently listing a population of 28/0, >>
I would hope that you caught something out of this, not just that you can find your own modern "rarities" but that you found two of the highest graded out of the 2000 you searched. With hundreds of millions minted and thousands of rolls being put away for later, there is nothing in the state quarter progams that would move it from an enjoyable hobby to a viable investment.
If you chose to "invest", find something that has a legitimate rarity factor.
<< <i>All,
I am new to this coin collecting, and from what I see and feel, its more of an obsession, than a hobby. Besides, my son absolutely adores the state quarters, so I'm in it more for him, but I realize the upside of the quarters will be somewhat limited, unless I can manage to put together a top ten set. I've since begun collecting the state quarters ( yeah I know how most of you guys feel about the state quarters, but I'm a newbie, so be kind ), again its an issue of availability and prices. I am about 80 % done with the quarters, and have, what I would consider a top ten registry set, and from the point averages, at my current pace, I will have one in the top 5, but we'll see. I'd like a little input from the guys who have been doing this for years, the next area I like is the Franklin Halves, but I'm not sure if its possible to put together a top ten set. Is this possible? I don't have really deep pockets, but I can steadily afford to invest. What markets do you guys see as undervalued at present, as I am going to put some of my retirement ( less than 10%) into some of these coins, and perhaps, for a 12 - 14 year return, I will put some of my son's college money into these as well, its just that I want to get some advice from the guys that know. What is the best way to go about acquiring these coins, auctions?, establish a relationship with a dealer?, ebay?
Thanks, for putting up with my long-windedness,
Kevin >>
Stay away from the modern stuff, all too common, although to read the promotions, one wouldn't think so. Heck, even high grade red slabbed Lincolns from the 60s going for big bucks. I've got rolls and rolls of bank wrapped coins from the 60s just waiting to be seached through for coins to be slabbed for the big bucks. If I have them, many others do to. My advice would be to stick to older coins. better value.
If you buy direct from the mint, you will get burned in most cases. Just look to get their items on the secondary market a year or two after they release them.
that tend to do best from an investment standpoint are the ones which are
of the finest quality, and the greatest rarity. But even the highest grade rare
coin will never increase in value unless people start collecting it. There have
to be more collectors than coins for them to be appreciated, and there have to
be an increasing number of collectors for the coins to increase in value. Now
days the only way for coins to be difficult to obtain is for people to overlook them.
It's instructive that the only thing people will tell you not to collect is moderns.
You can be fairly sure that most of them didn't set aside bags of 1993 dimes,
most probably don't own a '93 dime unless it's in their pocket. Most won't have
states quarter collections because they don't like the coins. Until recently very
few liked any moderns so they weren't saved. This is what's propelling moderns
as the hottest area of the market. There are many people starting sets every day.
This is not to say that you should necessarily invest in these coins, just that there
are still vast numbers of people who don't like to collect them. There must be lots
of room for future growth.
Go ahead and enjoy your states quarters- - they are a blast. Sure it may be diff-
icult to make money on coins that are being saved in large quantity but knowledge
can put you and keep you on top of this market. There are lots of people who
make money in popular markets like this, it just requires more work and fleetness
of foot.
i can;'t say i've made a fortune at doing this, but if i compare my collection to what it looked like in 1979, when i really began pursuing coins, i've had a terrific return, maybe better than any of my other investments. however, if i had the exact same coins i had in '79, my return would suck.
hope this helps!!!
K S