Just Starting.....Any Suggestions?
mikesmith611
Posts: 2
First, I would would like to send my thanks to the individuals on this board, I have been avidly reading the posts for about a month and learning every step of the way. There is always quality discussion and quality advice given. From a rookie as myself, I say thank you to you all.
I would like to ask a couple of simple, maybe silly questions and would appreciate any advice or suggestions anyone can give me.
My situation is as such.......
I am very interested in learning and studying as much as I can about the hobby of coin collecting. Although I consider myself a collector first...
I plan to focus on the long term investment potential of purchasing the right coins.
I am a youngster and I plan to hold for at least 15-20 years before I even consider selling (not looking to get rich quick)
I don't have tons of money, so I have to buy smart (currently have only a limited budget of $50 a month)
My grading skills are close to non existent (for now) so I am prepared to purchase slabs until my skill level increases.
As a beginner, with my budget, what type of coins should I begin with?
Slabs or raw?
What grades can be realistically purchased with my budget?
Any "collection plans" or "portfolio" examples I can model after.
I really like Kennedy's. I thought about beginning there, putting together a complete set, to include all mintmarks, and varieties.....then branching out.
Sorry for rambling..........any suggestions?
Thanks in advance for any advice!
I would like to ask a couple of simple, maybe silly questions and would appreciate any advice or suggestions anyone can give me.
My situation is as such.......
I am very interested in learning and studying as much as I can about the hobby of coin collecting. Although I consider myself a collector first...
I plan to focus on the long term investment potential of purchasing the right coins.
I am a youngster and I plan to hold for at least 15-20 years before I even consider selling (not looking to get rich quick)
I don't have tons of money, so I have to buy smart (currently have only a limited budget of $50 a month)
My grading skills are close to non existent (for now) so I am prepared to purchase slabs until my skill level increases.
As a beginner, with my budget, what type of coins should I begin with?
Slabs or raw?
What grades can be realistically purchased with my budget?
Any "collection plans" or "portfolio" examples I can model after.
I really like Kennedy's. I thought about beginning there, putting together a complete set, to include all mintmarks, and varieties.....then branching out.
Sorry for rambling..........any suggestions?
Thanks in advance for any advice!
Success is a matter of choice; not a matter of chance.
0
Comments
Apropos of the coin posse/aka caca: "The longer he spoke of his honor, the tighter I held to my purse."
<< <i>I don't have tons of money, so I have to buy smart (currently have only a limited budget of $50 a month)My grading skills are close to non existent (for now) so I am prepared to purchase slabs until my skill level increases. >>
One idea is to go to a bank and get $50 ( or whatever amount you want ) and get that much in change. No risk of losing money while studing and/or seeing differences within the same denomination(s). When you`re done, cash them in and get more and do the same. That`s what I did when I started as a kid.
<< <i>As a beginner, with my budget, what type of coins should I begin with? >>
One idea is to do year sets. Still, there`s alot of different ideas to start with especially one that you personnally like alot and catches your eye.
<< <i>I really like Kennedy's. I thought about beginning there, putting together a complete set, to include all mintmarks, and varieties.....then branching out. >>
Personnally if that`s what you like and really catches your eye, then go for it!
For the rest, I`ll let other members give their angle. Welcome to the boards and the hobby! It`s a funny hobby!
Collecting is fun. If you remember to keep it that way, you'll have a great time and build a collection you enjoy. Each of us will have prejudice regarding what you should collect, but I like your choice of Kennedys just fine. As for buying slabs, I'd hesitate to start that way. I'd suggest instead that you focus on finding the nicest raw coins you can and building an album set, ideally an MS set without the proofs. You'll spend $2-$3 per coin except the silvers, which will cost a few dollars more. Buy the PCGS Guide to Grading and Counterfeit Detection, and study the section on MS grading. When you believe you have a handle on what a superb Kennedy looks like, take the nicest 5 coins in your set and submit them to PCGS/NGC/ANACS for grading. You'll learn tons from the holder grade. Post a few pics of your coins and ask lots of questions. You'll get plenty of grading tips from the forum, and before long, you'll begin to understand which coins are worth a premium and why. When you decide to expand your focus to another series, you'll benefit from the experience you've gained on the cheap. You can learn a great deal about the minting process, the grading process, error coins, and the terminology while growing with the series you've chosen. Wait to make the hobby about money until you have a good working knowledge. At some point, spend the $300 tuition and take the ANA grading seminar. I'd wait to do that until I had 6-12 mos experience looking at coins. Good luck, and welcome.
and it sets us apart from practitioners and consultants. Gregor
Rgrds
Tom
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870
Kennedy's are great coins and are destined to be classic collector's pieces (they already are to many). Buy what you like! If you feel strongly about it, chances are tons of other people do too. Coins with great designs will always be in demand and therefore are good investments no matter what's trendy at the moment.
I wouldn't go near raw coins with a ten foot pole in your position (unless you get it from someone on this forum that posts regularly). I bought a "choice UNC" 1935 Canadian silver dollar it is probably more like low-end AU or high-end EF. I was fooled because the details all looked like they were there but my eye wasn't trained to concentrate on the highest points on the design. Don't be a schmuck like I was. Coins in NGC slabs seem to go for less than PCGS slabs do - they are often a good value.
I bought and sold many many thousands of dollars of coins in the late 80's and felt lucky to get out with my skin !
Buy what you like for enjoyment.
Here is where i am at right now.
A high grade Proof set in my birth year (1957) to hand down to my son (little did i know how spendy this would be )
All of the Proof sets in silver and clad from 99 on and i will include the 2009 sets to bookend the SHQ sets because the 09 Lincoln will likely contain about 4-6 different designs for the 200th Bday of Lincoln and the 100th year of the Lincoln cent.
Working on all of the Proof coins from 1991 for my sons birth year.
Decent grade Gold coins that can be bought for a premium over melt value,seems that 20 Saints dont follow the down trend,ie: if gold is 300 bucks,you wont get a Saint at 300 bucks,more like 400.
Bullion coins will track melt prices so you are at the mercy of the market,20 Saints and Libs will be less volatile.
Just my .02
Proof
I'm going on a limb, but I think Jefferson's might be a good choice right now.
If you plan on keeping these for years 15-20, these might move a bit with the new design, you can pick them up cheaply enough, & if you're astute enough maybe you can pick up some full-steps......cha-ching!
Morgans will (probably) always be popular, so it's hard to lose. But if you look back 15 or so years ago you might find out that collectors & investors have lost money, not made it.
Roosies are nice, especially BU's and if you find some FB.$$
Find the demonination you find beautiful & go for it!
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870
2. Buy a book that tells you how to grade - Read the book (Jim Hapern of Haritage wrote a great book that details what to look for in gradign coins - I think this books ois available from Heritage for a modest cost. THere are other books that discuss grading - buy those books, READ those books and make a concerted effort to LEARN how to grade.
3. Buy some inexpensive slabbed coins in the series you want to collect. For Unc coins you may want to buy AU58, MS62, MS63, MS64, MS65 & MS66 coins - when you buy your "grading set" look for coins that look particularly nice for the assigned grade - do that for each of the grades that you buy - you'll have to go to a coin show or a dealer that has an extensive group of coins.
4. Practice grading!, Practice grading some more - then try and go to a show that has a grading seminar (or go tot he ANA and take their grading seminar)
5. Learn to grade
6. Read everything you can about the series you want to collect - Buy the books and READ them
7. Learn how to Grade.
8. Go to coins shows and compare grades and prices for the grades assigned - try and figure out why some coins with the same grade are priced higher than another coin of the same grade.
9. LEARN to understand the concept of EYE-APPEAL as it relates to price.
10. LEARN to distinguish the concepts of common, scarce and rare as they relate to price.
AFTER you've done 1-10, then and only then start to spend your hard earned money on coins - you'll make mistakes - but you'll have a lot of fun, and after you keep LEARNING HOW TO GRADE you'll know what coins are good values for your money.
The above can be summed up in 2 concepts: Learn how to Grade and Learn about the coins you are going to collect, until then, don't buy expensive coins.
“It ain't what you don't know that gets you into trouble. It's what you know for sure that just ain't so.” Mark Twain
Newmismatist
Katrina
******
You've come to the right place to learn from some of the best. I wish I would have found this forum when I first started collecting/hoarding, would have saved lotza of money.
I now try to buy my coins only from members, they know what they're talking about, I'm one of the few that doesn't, have done over hundreds of deals, no complaints here.
enjoy !!
Herb
Pick a past date (ie: your grandparent's birthyear) and build a raw type set of it in best condition you can find and afford on your budget. Then move into certified morgans in low to mid MS PCGS/NGC/ANACS only buying eye appealling coins to your taste for the grade. There is no rush so just pass on mediocre pieces as the fun is in the hunt anyway.
I suggest you begin with a 20th century type set. They're inexpensive in decent grades and they allow for an enjoyable overview of the nation's past 100 years of coinage. Doing that set will help to expand you grading skills and your knowledge of coins overall. Most coins may be bought in MS for way less than $50 and it is a very fun set to complete. When t comes down to it, collect what you like. As a newbie, it may be difficult to find your niche, but eventually, you'll fall in love with something. Good luck, and the boards here are probably one of the most helpful tools around, if you have a question, ask!!
jim
As for just starting a collection and learning to grade....I would go to several coin shows and look at alot of coins and their prices. You will start to get a feel for what you would like to collect. If you collect a cheaper series you can make several purchases a month on a $50 budget. An uncirculated Roosevelt dime or Jefferson nickel set would be a good starter series to develop your grading eye. Be very careful that the coins you buy are true uncirculated coins and not slider or almost uncirculated coins. If you can find a local dealer you can trust to sell you coins and give second opinions on coins that you buy from other sources.
"I plan to focus on the long term investment potential of purchasing the right coins."
"I really like Kennedy's. I thought about beginning there, putting together a complete set, to include all mintmarks, and varieties.....then branching out."
If you like Kennedys, then enjoy collecting them, but don't expect much monitary appreciation. However, if you want coins which will appreciate over time, then I would recommend putting together a type set of key and semi-key coins. I would start with a 1921-D Mercury Dime, a 1921 Peace Dollar, or a 1914 Barber Half in circulated condition. Buy a copy of Photograde and learn how to grade circulated coins, and stay away from cleaned coins. Additionally, stay away from coin shops (their main function is to buy coins); instead, find a local coin show or club.
<< <i>These statements are mutually exclusive:
"I plan to focus on the long term investment potential of purchasing the right coins."
"I really like Kennedy's. I thought about beginning there, putting together a complete set, to include all mintmarks, and varieties.....then branching out."
If you like Kennedys, then enjoy collecting them, but don't expect much monitary appreciation. >>
It is true that this is certainly the conventional wisdom but keep in mind it has
been the conventional wisdom right up through a spectacular bull run. While
Kennedys may not be the best selection for investment potential, they still seem
greatly underpriced in relation to their availability and potential increase in demand.
They have a very popular figure depicted on them and have been among the most
popular moderns all along. For this reason they were saved in much more substantial
quantities than some but this will merely assure that MS-60 examples are readily
available in case anyone attempts to promote them.
The best bet in any case is not to try to invest in coins because all collectibles mar-
kets are too fickle. Certainly coins make some incredible moves but it's not really
possible to foresee the moves and time them. Most of the most successfull "coin
investors" have been collectors first and foremost. It is this mindset which allows
one to learn enough to make the right decisions and to be sure to have all the coins
in his chosen specialty rather than merely the common issues.
After you get going a while be sure to sell some coins. It is when you sell that you
learn the true value of coins.
Good luck.
1. Don't buy raw.
2. Buy PCGS whenever possible, since it will hold up better at time of resale.
3. Opt for a series, so you can improve your grading.
4. Opt for older coins.
5. Start by buying the toughest dates, as best you can.
6. Avoid the temptation to buy the most available coins.
7. Buy coins with eye appeal, as best you can on your budget.
8. I'd think seriously about a morgan set.
9. If morgans don't appeal to you, and you want to abandon rule 3, you might consider the old silver commemoratives in circulated condition. There are a lot of neat designs.
The Kennedy Half Dollar Book by James Wiles
Cameo Proof Coinage of the 1950 to 1970 Era by Rick Tomaska
Also when, not if, but when, you join the Collectors Club with PCGS call in and request the book, "The PCGS Guide To Coin and Counterfeit Detection. It will be much more valuable to you in the long run then a MS-69 SAE.
I wish I could claim credit for providing this info to you but I can't. One of our "Kennedy Expert's" here was gracious enough to help me out when I first started posting here so I wanted to pass on the advice he gave me. Good Luck and Coin Collecting should be "Fun"!! Enjoy, Lee
Happy Holidays and Happy Collecting!
You have gotten a lot of good advice. It is hard to lose money if you go through rolls of coins you buy at a bank. JFKs can be had. Looking for Full Step Jeffersons and Full Torch Roosevelts might also be worthwhile too. Do you have all the state quarters?
I wouldn't advice spending much money until you can grade. Once you can grade and you want to buy $50 coins stick with slabs. Only after you are an expert grader would I advise spending significant money on raw coins.
I would say you may want to go buy rolls of Kennedy halfs at the bank and look for the 40% silver 1965-1969's. Save these and then take them to a coin shop to trade for a graded coin (PCGS/NGC/ANACS). An upgrade as you will. When I had more time than money this is what I did to support my hobby and it was fun. And that's what a hobby is all about, not how much money you can make.
I have to say this is a great thread.
My thanks to all who replied, as I needed the help too.
I myself like Kennedys and would love to put together a full set.
Paul Zinck
(Priest) BLASPHEMY he said it again, did you hear him?