QUESTION: How much will you lose?

MrEureka

When you buy a coin from a dealer, he makes a profit.

When you buy a coin at auction, you outbid everyone in the room.

So if you needed to resell your purchases immediately after buying them, how much would YOU lose on average?

Of course, sometimes you pick off a coin at a bargain price, but we're talking about averages here.

MORGANHUNTER2

3%

RYK

10%

Russ

I don't understand this concept of which you speak.

Russ, NCNE

Numismatics

15 to 20% I think.

MrEureka

I don't understand this concept of which you speak.

Russ - Perhaps your customers can explain it to you.

ER

~20%

Bochiman

I'm watching a few people do just this.....buy on ebay, get the coin, take new pics, then flip it.
I am watching and wondering if, after paying shipping to buy and ebay/paypal fees to sell, if they find it worth it to flip it so quickly......



The catch here may be:
* New pics could be better pics and show the coin better = higher sales price
* Coin may have originally sold for a bargain and now the right people see it

Fairlaneman

How much will you lose ?? This is a capitalistic country. Loss is not a word here. If a loss is evident the coin or coins are not purchased.

Sometimes a couple of bucks are lost when a Pig Coin gets thrown in with a auction lot. Or in one case when all of the coins were Pig Coins. If the auction company would have described the lot correctly money would have been made.

Ken

Russ

<< <i>I don't understand this concept of which you speak.

Russ - Perhaps your customers can explain it to you. >>



The only problem is that they keep making even more profit than me when they sell the coins.

Russ, NCNE

MadMarty

It would depend on when the coin was bought. If you had the coin for some time, you would do all right. If you bought the coin a month ago, you would lose about 20% or so.

Coxe

Around 20%. Hammer prices often hold up but the two way commissions are around the discounted bid/ask spreads (immediate cash sale) and in this neighborhood. Of course, some houses, like Heritage, might waive the seller's fee on a lot won through them.

This all really depends on the coin. Snipes aside, remember the Baltimore show report thread recently that showed immediate bourse retail profits from auction purchases at the same show. Still, on average, I think expect ar least 10% loss and cap it around 20%.

FatMan

20-25%

Shamika

10%?

LincolnCentMan

I usually lose about negative ten percent.

David

mirabela

I've had to do it before. 5-7%.

nwcs

I usually lose more than I want if I try to sell quickly. Dealers always want a strong price but they are not wont to step into a strong price even if the coin deserves it when offered by a collector.

LincolnCentMan

I'm watching a few people do just this.....buy on ebay, get the coin, take new pics, then flip it. I am watching and wondering if, after paying shipping to buy and ebay/paypal fees to sell, if they find it worth it to flip it so quickly......

Some people probably do it because they enjoy the hunt and purchase more than the profit. Well, then you've got to sell it so you can buy something else.

David

291fifth

20%

Freak1c

Actually it is hit and miss with me. So I guess I break even over the long run.

Freak

Bear

15 - 35%

roadrunner

5-10%. Usually closer to 5%.

As a rule I won't bid on a lot if the price is higher than 10% current wholesale market. The only way to try and get that 10% back is to focus on underrated areas.

Buying something knowing you will be in the hole at 20% to start is not acceptable imo. There is no hole that worthy in my holdings.
But the concept of a complete collection drives many to completion even if it means buying something at 20-100% over current FMV.

roadrunner