How do you fund your coin purchases?

merbz

I'm hoping to wrap up my first coin set this year (MS69 bullion/burnished ASEs) and wondering how most of you all fund your coin purchases? I ask because after this set I'm not sure if I'm going to go for something small and easy like Roosevelt dimes or if I want to start on the harder journey of putting together an expanded type set of Charlotte minted coins; this is a total of 9 coins the most expensive being the 1838-C and 1839-C half eagles and 1855-C gold dollar. A book I have estimates to get this set in VF to XF will be around $20,000. Do most of you keep a certain amount of cash on hand and go for what opportunities arise, or do you save a goal amount and go for a specific coin? This will be the first high value set I try and put together; I don't have a large amount of expendable income, so I'm looking at 1-2 coins a year. I'm just not sure how to save for the big boys while still getting my collecting habit fed with smaller purchases. The sets I'm currently interested in are Roosevelt silver dimes, Franklin halves and the Charlotte type set. I have other interests but those are the big ones for now.

derryb

coin sales - buy low, sell higher

lasvegasteddy

are you to include the 1964 sms dime to in your roosevelt set???
as that may not be as easy as you think

RYK

You ask a very difficult question but for a common problem. Many of us have wants that exceed our ability to pay for them. It sounds trite, but patience, discipline, and focus are excellent attributes. (I wish I had even one of the three.)

I generally like the idea of having a big project (like the Charlotte type set) along with a smaller to keep you going like the Roosie dime and or Frankie set.

Bochiman

I find panhandling on the streets to be a good source of funds.

BAJJERFAN

<< <i> It sounds trite, but patience, discipline, and focus are excellent attributes. (I wish I had even one of the three.) >>



No chit, Cherlock. Me too as well.

ambro51

Make something valuable from inexpensive materials and sell it at a big profit. Buy coins with excess cash. When you see something really costly trade in a few lesser pieces.

michiganboy

Going to work 6 days a week.

Broadstruck

2manycoins

The reason i go to work in the morning is to buy coins

JamesMurray

I was able to put together a fairly decent set of circulated Washingtons quite rapidly.

BryceM

Uh, I call it a:

J

O

B

Usually 60-80 hrs per week with plenty of evenings, late nights, unplanned emergencies, etc.

Edited to add:

But, coin collecting is what I do with hobby money. It isn't even the number one hobby in terms of financial expense. Family, retirement, long-term planning all comes first.

kiyote

Flipping and upgrading is a big source for me now-- that 2011 25th anniversary set was a big shot in the arm for me-- I bought 180 Army half dollars I'm sitting on now, waiting to sell and I'll flip more if something good comes up.

lkeigwin

<< <i>You ask a very difficult question but for a common problem. Many of us have wants that exceed our ability to pay for them. It sounds trite, but patience, discipline, and focus are excellent attributes. (I wish I had even one of the three.) >>

I like RYK. So modest.
Lance.

MilkmanDan

I've worked hard, been successful in my job at a successful company.

Similar to what RYK said, I have a less expensive series (theoretically) that I work on while I work on a harder, more expensive collection slowly. This allows me to make a purchase more often while I wait and save for the bigger and less available stuff.

atarian

For my main area , bank box searches do great. cheap readily available and plentiful is the way to go. For older coins and such saving for checks and having a reserve for coins. Sometimes i sell and add to the fun .

Justacommeman

I'm single and I use non discretionary funds that I work my butt off for. MJ

melvin289

Like MJ I am single and like michiganboy I go to work.

Ron

Barberian

I recycle aluminum cans and trade them in for cash to purchase coins.

TwoSides2aCoin

The callouses cost more than the coins.

AnkurJ

Work, buying and selling coins.

PerryHall

I use my allowance (discretionary funds from my monthly budget) to buy coins.

Trime

There are many strategies for afforfong to collect. Three examples were stated by others.There are the vest pocket ( eBay) dealers that buy and sell for profit; many of whom generate $ for their true interest in their collection; many collectors put aside discretionary funds; those for eating out, buying sports tickets, going to the movies, bars and theaters and save them for collecting; there are those who have sufficient funds ( I hate the term excess) from their occupations who can afford an expensive hobby.You have two worthy projects (one easier than the other) but apparently limited funds. The suggestions of buying and flipping or trading upward are common practices. It takes training to recognize items that will generate a profit. Remember this is supposed to be a hobby,; it takes years of experience to be a successful coin investor. If you can find a mentor who will teach you the ropes, be patient start slowly and it will grow. Good luck

bidask

It started out with lemonade stands, raking leaves, and washing cars,........today its stll a function of my job income.

OnlyGoldIsMoney

Current discretionary income from my business. Coins are more fun than bank CD's.

TwoSides2aCoin

TDN loans me money for the larger purchases after Legend approves them via CAC ( just kidding )

Barndog

I start green companies, get government loans, go belly up, then use the executive bonuses for my coin purchases.

TwoSides2aCoin

<< <i>I was able to put together a fairly decent set of circulated Washingtons quite rapidly.


>>



This guy could be a lawyer, making his money on out of court settlements

BillJones

<< <i>I'm hoping to wrap up my first coin set this year (MS69 bullion/burnished ASEs) and wondering how most of you all fund your coin purchases? I ask because after this set I'm not sure if I'm going to go for something small and easy like Roosevelt dimes or if I want to start on the harder journey of putting together an expanded type set of Charlotte minted coins; this is a total of 9 coins the most expensive being the 1838-C and 1839-C half eagles and 1855-C gold dollar. A book I have estimates to get this set in VF to XF will be around $20,000. Do most of you keep a certain amount of cash on hand and go for what opportunities arise, or do you save a goal amount and go for a specific coin? This will be the first high value set I try and put together; I don't have a large amount of expendable income, so I'm looking at 1-2 coins a year. I'm just not sure how to save for the big boys while still getting my collecting habit fed with smaller purchases. The sets I'm currently interested in are Roosevelt silver dimes, Franklin halves and the Charlotte type set. I have other interests but those are the big ones for now. >>



My funds come from money set aside in the family budget from investment income and some capital that I put into coins. Before I retired it came from the money I earned both when I had a "real job" in corporate America, and later when I was a coin dealer.

Collecting when I was a dealer was the best. When I upgraded something selling duplicate was super easy. The biggest problem with being a collector-dealer is that you have to discipline yourself not to keep too much. Otherwise you will keep everything that is good ruin your business.

As for your Charlotte mint project, I’ve been toying with the idea of doing the same thing with Dahlonega mint coins on a higher grade level. I don’t know that the 1839-D half eagle with the obverse mint mark is going to be on my list however. I might be happy with the piece with the reverse mint mark only. Also there are two big pieces I have yet to find. The 1839-D quarter eagle is a “little bear” and the 1855-D gold dollar is a “grizzly bear.” I’ll have to bite the bullet and lower my grade and eye appeal expectations for that one.

A couple of things I will warn about however is that $20,000 probably won’t get you close to your goal, and I think you might be appalled at the appearance of these gold coins below the Choice VF grades. These coins almost always end up costing you more than you planned, or at least that’s been my experience. Nevertheless it will be an interesting project for you.

DrPete

The best advise I can give is to really know the coins before you buy them. Invest the time and effort in learning to grade properly and find out what the coins you are going to buy look like from the best to the worst. Hook up with a dealer expert in the area you are interested in, and create a relationship with them. Go to coin shows, auctions, and coin shops and look at LOTS of coins. Buy a book or two that is written by experienced people. Don't assume that every coin graded is nice for the grade. There are some certified coins that really aren't very nice examples. If you are disciplined and learn what the preferred look for nice coins is, you can avoid many pitfalls, and avoid junky coins. All of this takes time, but if you take the time, you are much more likely to enjoy the journey, assemble a nice set, and learn a lot along the way.

Building any set can be done quickly or more slowly, and if done too quickly and without knowledge and guidance, you may end up assembling a complete set of not-so-nice coins that you will have paid too much for (unless you don't really care what your coins look like or how much they are worth). I prefer to be of the mind that I am not only a collector, but would like the coins I collect to hold their value and possibly increase in value over time (years to decades).

Good luck, and have fun with your coins. I am sure you will find ways to fund your collecting interests.

DrPete

Also,

Getting a relationship going with a dealer specializing in Southern gold doesn't necessarily happen overnight. Such dealers are around and have many established customers that they will service based on their ongoing relationship. As BillJones states, many of these coins can look rather hideous in lower grades, many have been cleaned, and price guides can be grossly under what the market truly is. As part of your education you can use the Auction Archives of Heritage and see what coins really sell for, what they look like for the various grades (as best you can see in digital pictures), and you can see how often they actually show up for auction and compare acution sales prices to retail price guides. Also, consider joining CoinFacts for additional information including population figures for the coins in various grades at PCGS.

frnklnlvr

<< <i>I find panhandling on the streets to be a good source of funds. >>



You may even get a rare variety or two now and then as an added benefit!

erickso1

Work. Down the road the hope is to have enough coin fuel so that the coin collecting fuels itself via selling and buying, but you gotta prime the pump.

DorkGirl

<< <i>I was able to put together a fairly decent set of circulated Washingtons quite rapidly.


>>

shorecoll

I find panhandling very demeaning...so I send my children out to do it...they take in more than I do, anyway.

nibanny

<< <i>Current discretionary income from my business. Coins are more fun than bank CD's. >>



Ditto!

Baley

Most of my coin money comes from long term capital gains from maturing stock investments, which explains many newps from 2002 through 2007, and then relatively few after that. Coin budget starting to pick up again, looking to cross a few off the want list this year and next..

relicsncoins

I mainly use discretionary income and I seek out specific coins that I feel are easy to flip for a profit. I use the profits to buy coins I need for my collection. The nice thing about coins, as they are extremely liquid and can be sold in hurry if a cash strapped situation were ever to arise.

Raufus

Same as derryb - coin sales.

I flip moderns. I've been able to make the hobby essentially self-sustaining.

Raufus

<< <i>I find panhandling on the streets to be a good source of funds. >>

Raufus

<< <i>Flipping and upgrading is a big source for me now-- that 2011 25th anniversary set was a big shot in the arm for me-- I bought 180 Army half dollars I'm sitting on now, waiting to sell and I'll flip more if something good comes up. >>



Those Army halfs were a great move. I was asleep at the switch on those. Nice move!

lcoopie

only with money that I can bear to lose

Lakesammman

Work, coin profits.

tydye

OT and BST

mrpaseo

I requested to be paid in coins

My family and I live on a budget, after all the priorities are out of the way... What is left is my coin budget. These past few years... there hasn't been any left. That said, I dig into the books and forums to keep the hobby alive. My Family benefits from my hobby sacrifices so I'm okay with this.

Truthfully, if I sold some stuff I could get back into buying... Hmmmm...

LindeDad

After retiring twice I'm back working part time on a eBay store. And I got one of GreatToning's coins last night. Oh and I lowered my sights a lot when I retired the last time.

chocolatebayou

I used to own a boat, so compared to that, I spend a lot less now. I may not be able to play with the big boys, but I find a lot of nice original coins in my range

PerryHall

<< <i>I was able to put together a fairly decent set of circulated Washingtons quite rapidly.


>>



I bet you hope that someone with a roll of quarters and a Wham-o sling shot doesn't show up.

johnny9434

i do the overtime thing when i can. (i pick up soda and beer cans and an occational morgage for gas )

JBN

<< <i>I used to own a boat, so compared to that, I spend a lot less now. I may not be able to play with the big boys, but I find a lot of nice original coins in my range >>



There is nothing quite like the feeling of serenity one achieves while on a boat at rest in the open water, enjoying a drink or wetting a line.

There is also the fun of power boating and waterskiing.

But boats are very expensive and I haven't had one in decades.

"A boat is a hole in the water that you throw money into."

My coin funds come from work earnings. Boring.

mozin

I spend my monthly pension check. No sense accumulating any more wealth for my remaining years. Time to enjoy a little.