Newbie that could use come advice on Gold...

GoldNewbie

I am new to coin collecting. My father had a couple of gold coins that he handed down to me and now I have caught the bug! I would like to complete a Gold Type set (That is on coin of each variety correct? I thought I read somewhere that is 13 coins.). Going to 2 coin shows this weekend and wonder if anyone has any tips they could provide me. The one tip I picked up from reading is to buy only slabbed pieces. I have been only to one other coin show last month and buying seemed very intimidating.

I am looking to buy either a $5 Indian or $20 Liberty Type III. The coins I have now are low end MS (61-62) so I would like to collect similar pieces. What are reasonable prices to pay for these pieces? Thanks for any help you could provide!

Numismanic

Hi GoldNewbie!

You can start with the 8 piece set, $2.50, $5.00, $10.00, and $20.00 Liberty
and Indian gold coins. The 12 piece set includes the type1, 2, and 3 $1.00
and $3.00 gold coins. The type 2 $1.00 and $3.00 coins are a bit pricey in
mint state, alot of collectors settle for nice AU for these. When buying gold
coins it is recommended to buy certified coins, but if you want raw ones buy
only from reputable dealers due to the large amount of counterfeits out there.
Good luck with your gold type set, they are really beautiful coins.

Don

RYK

Congratulations on choosing to collect gold coins. It has been a lot of fun for me. My advice to you, before purchasing a single coin, read every article and newsletter on gold coin collecting on Doug Winter's website (raregoldcoins.com). Definitely go to the shows this weekend and look at as many gold coins as you can, both raw slabbed. Especially, look at the gold coins slabbed by NGC and PCGS. Do not purchase a single coin until you have done your reading and know what you are getting into. I expect that you are very excited about collecting and itching to make a purchase, but in the long run, patience wil benefit you the most. If you have to purchase a coin, hold off on the $5 Indian (they are hard to grade and there are a lot of junky ones out there) and find a nice Type 3 Liberty $20 with good eye appeal. IMO, opinion it is hard to find a PCGS/NGC $20 Lib with good eye appeal (read: "look nice"), but they are out there. If you do not find a nice one, keep looking (don't settle for a crappy one).

Hang out here and ask questions and contribute where you can.

Robert

BillJones

If you have had no experience what so ever, I would NOT buy raw gold.

Look for coins in ANACS, NGC or PCGS holders. You have the least chance of getting ripped off if you stick to those brands of slabs. Here's a list of the coins in the 12 piece type set with a brief comment about availability in AU or low in Mint State (e.g. MS-61 or 62).

Type I Gold Dollar (1849-54) Fairly common
Type 2 Gold Dollar (1854-56) Very Scarce
Type 3 Gold Dollar (1856-89) Fairly common, more common than type 1
Liberty $2.50 gold (1840 – 1907) common
Indian $2.50 gold (1908-29) common
$3 Gold (1854-89) Very Scarce
Liberty $5 gold (1866 – 1907) common
Indian $5 gold (1908 – 1929) common, but not easy to find nice. Very scarce in true Mint State
Liberty $10 (1866 – 1907) common
Indian $10 (1907-33) fairly common
Liberty $20 Type 3 (1877 – 1907) common mainly because there are so many 1904 dated coins around
St. Gaudens $20 (1907-33) very common

GottaGetCoins

I believe the US Gold Type Set is 34 coins. There is a registered type set at PCGS with 12 coins, look under set registry.

Gold Type Set
Circulation Strikes (12 Piece)


Issue Weight
Gold Dollar, Type 1 4.00
Gold Dollar, Type 2 6.00
Gold Dollar, Type 3 2.00
Liberty $2 1/2 2.00
Indian $2 1/2 3.00
Indian Princess $3 5.00
Liberty $5 3.00
Indian Head $5 5.00
Liberty $10 3.00
Indian $10 3.00
Liberty $20 3.00
St. Gaudens $20 1.00

GoldNewbie

Thanks for the link and the list! I will be sure to read those articles. They look very interesting.

The 12 piece set looks like something I might be able to complete. All the coins just look very nice. I have a question on pricing. With so many price guides out there which on do I use? Also, most do not show every grade so do you calculate the in between grades yourself? (Example is shown where a price is given for MS60 and 62. Is a 61 half way in between?). This forum has been a tremendous help so far. Thanks for all your advice!

One last question. What does weight refer to?

BillJones

As a retail buyer, I'd check out the Coin World magazine, "Coin Prices." I can sell you properly graded coins for a bit less than what it says in there in most all cases.

The Coin Dealer Newsletter is a wholesale sheet. Nice coins frequently trade for more than those amounts between dealers. Therefore you would be doing your self a disservice if you say you will pay no more than "bid." If you are going to hold on the coins for a long time as a collector, quality should be your NUMBER ONE concern. You shold not overpay, but bargain hunting can get you into trouble.

Baley

Here's what a slider AU/ low BU set might look like (these coins are raw, but were either bought from reputable dealers and/or cracked out of slabs)

Baley

The next step for me, as a collector, was to go after the earlier "no motto" varieties of the $5 and $10, I went ahead and looked for 1855s because I think the Longacre's italic 55 adds visual interest







the above coins are lightly to moderately circulated, one looks cleaned and one does not

Baley

for the earlier classic head $2.50 and $5.00 coins, and the $3 princess, some settle for even lower graded coins. as they are affordable, and mint state examples of these are pretty "advanced" purchases. Even well-circulated and possibly "shined up" a bit in the past, these can be attractive coins, and believe me, in real life in actual size, they look better than they do as shown here, blown up to the size of a saucer, step back a few feet from your monitor and see for yourself!

GottaGetCoins

For prices go to www.coinvaluesonline.com , teletrade and heritage. On teletrade and heritage you will get there past auction prices so you see recent realized prices.

The weight is for rating your set versus others. For example the highrer weight coins mean more in you sets score. Dont be concerned with that.

I would not figure that If an MS64 coin was $500 and and MS66 was $1000, that a MS 65 was 750.......am I wrong here everyone????

puff

<< <i>Congratulations on choosing to collect gold coins. It has been a lot of fun for me. My advice to you, before purchasing a single coin, read every article and newsletter on gold coin collecting on Doug Winter's website (raregoldcoins.com). Definitely go to the shows this weekend and look at as many gold coins as you can, both raw slabbed. Especially, look at the gold coins slabbed by NGC and PCGS. Do not purchase a single coin until you have done your reading and know what you are getting into. I expect that you are very excited about collecting and itching to make a purchase, but in the long run, patience wil benefit you the most. If you have to purchase a coin, hold off on the $5 Indian (they are hard to grade and there are a lot of junky ones out there) and find a nice Type 3 Liberty $20 with good eye appeal. IMO, opinion it is hard to find a PCGS/NGC $20 Lib with good eye appeal (read: "look nice"), but they are out there. If you do not find a nice one, keep looking (don't settle for a crappy one).

Hang out here and ask questions and contribute where you can.

Robert >>



RYK...... Thanks for the tip! I've been seriously considering some early gold coins....... BTW.... Since I only live about 165 miles south of you maybe we could do some trading or something!

Baley

I would not figure that If an MS64 coin was $500 and and MS66 was $1000, that a MS 65 was 750.......am I wrong here everyone????

no you are not wrong, the relationship of "in between" grades is not strictly linear.

there is a bit of a "curve" biassed toward higher grades.

More generally, the price Guides are just that, "guides".

The nuances of coin pricing are fairly complex, and takes a while to learn about grade/eye appeal/price/liquidity "arbitrage"

GoldNewbie

Baley, That set is awesome. hopefully one day I will finish the set! But for now...more reading!

pmh1nic

The short type set being proposed is a great and more affordable way to enjoy collecting U.S. gold coins. You can add to the enjoyment by picking up Q. David Bower's book on the subject. It's very readable with a lot of great pictures, interesting historical notes and mintage figures.

Baley

I always enjoy viewing your type set .

relayer

<< <i>The one tip I picked up from reading is to buy only slabbed pieces >>



But only PCGS, NGC or ANACS - everything else should be considered raw.

The PCGS Reigstry has an 8 piece 20th Century Major Design Type set and a 12 piece type set.

My 8 piece Registry Set (currently #5)

In the 8 piece set, the $5 Indian is the most expensive.

I haven't completed my PCGS Registry 12 piece set yet. The type II $1 Gold and $3 Indian are expensive in MS64, so I'll probably settle for lower grades in those

mrearlygold

Buy Walter Breens Encyclopedia ( I'm assuming you have a red book), put it in your bathroom so you are sure to flip thru it at least once a day and you will see designs of which some you like and some you don't like.

Write down the ones you like and talk to a few dealers as well as post on this forum questions you have. Some of the designs you like may or may not fit within your goals. After you compile information, try to choose one or two dealers who have good credentials and experience and who appear to bond with you and make a couple of purchases and start building a collection and relationship.

Take your time and learn and before you know it you'll be on your way to a Numismatic journey which may prove to be one of the most fun, educational and lucrative adventures you will take.

Good luck
TP

Baley

But only PCGS, NGC or ANACS - everything else should be considered raw.

well, I wouldn't go that far, would say that ICG, SEGS, old PCI, and a couple of others do lend a measure of authenticity to a piece over a raw coin, it's just that you have to take their grade with a grain of salt, maybe a pinch or a handful, in the case of the deep third tier like late ACG and some of the "home made" slabs

GoldNewbie

I did a search on amazon for Q. David Bower's book. Came back with over 8,000 listings. Do you know what the title is?

Thanks!

BillJones

<< <i>in the case of the deep third tier like late ACG and some of the "home made" slabs >>



ACG a "deep third tier" service. Boy have they come up in the world, or perhaps someone else as slipped.

Sorry, Baily I just could not resist.

To me ACG is just North of the pit of Donte's Inferno. Especially after they had their "spring offensive" to gain credibility about a year ago.

RYK

If you are going to hold on the coins for a long time as a collector, quality should be your NUMBER ONE concern. You shold not overpay, but bargain hunting can get you into trouble.

Very wise advice...definitely to be heeded. My best coins are the ones I paid full retail, not the ones I "ripped" on ebay or Heritage.

Here's the amazon link to the Bowers book (link). They are out of stock, but can be ordered used through a reseller or new from American Numismatic Rarities. I have one, and it's an excellent book with great pictures of both rare and common gold coins.

BillJones

I still have three coins in my 12 piece gold type set that I bought when I was a teenager in the 1960s. Back then I paid "full retail" which was less than $50 a coin. Today these coins are in slabs and grade from MS-63 to MS65. They range in value from near $1,000 to over $3,000.

If I had bought the "bargain" coins back then I would have made some money today, but nothing like what I have now. I'm not saying that you have to buy MS-65 or 66 coins, but I am saying that one should buy pieces with good eye appeal and solid credentials for their grades. That way you might not feel the need to have to upgrade your collection later.