<< <i>I think you should stretch far for the right rare coin if you know the market. I would never stretch for an AU $50 PP. Wait and buy a 2 shot 3 or better 3 shot 4. >>
I recently bought a coin that was a big jump for me from what I typically acquire. It was uncomfortable in that it was the most I'd ever spent and I bought it in what some would say is an inflated current market. I don't know if am fool and his money (since it was way way above price guide, but I really like the coin.
There doesn't seem to be any pull back on classic coinage pricing trends. See the auction houses sales YTD alone. CAC material is through the roof.
How does the current market influence your willingness to "stretch"?
Depends. How often does the coin come available? Some coins I go after only come to market in the grades I'm interested in every 3-4 years. So in those cases I will be prepared to bid in excess of the price guides by up to 50%, especially if it is a good example. In the end, you're only paying one bid increment more than someone else was willing to pay if it was an auction, so you probably can't lose too bad.
If the coin comes up a couple times a year you can afford to be more discerning.
I will stretch if it's a coin I love. Don't want to regret settling for a lower tier one. Actually, there was a coin I was willing to stretch for, but the dealer never got back to me to make a deal.
On pretty much every coin that I've stretched on or pay what is called stupid money, time has been an great ally. If a given coin has a combination of being knockout attractive and in a popular series, it's always been good for me. I've had offers on a few of my coins that have been 4x to 10x over the "stupid" money I paid for them.
To those that strictly adhere to a price guide, you are possibly skipping over a great opportunity. Everyone has certain comfort levels on how far they will stretch, but if you don't take the plunge once in awhile you will certainly miss out on many a very nice coin.
@MrEureka said:
First point, which I think is obvious but still needs to be stated, is that the more irreplaceable and fabulous a coin, the faster it is likely to turn from a "burial" to a financial winner. Therefore, assuming you've found the right coin, the longer you're prepared to hold it, the less you should worry about "stretching". (Conversely, if the coin is nothing special, time can turn a good deal into a bad one. But we digress!)
The second point, which is critical, is that you have to be honest with yourself about how well you know the coin and how well you know the market. Before I give you an example, here's the basic rule. The more you know about a really special coin, the more you should be willing to stretch, because you may very well appreciate it more than anyone else. And the less you know about the market, the more you should be willing to stretch, because your estimate of the value is just a guess.
Now, the example. Yesterday, I bid on an unbelievably nice Guatemalan Pillar One Real, far better than anything I had ever seen before. I knew enough to know that this was a coin I should be buying, and I knew enough to set an initial bidding limit. But when competition sent the price to almost double what I had in mind, I bought it anyway, because I knew two things. First, this is the type of coin that has mega-potential as an investment. Second, my initial limit was not much more than a guess at the true value, and I shouldn't take my guesses too seriously. Was it a burial? I don't know, but I'm convinced that it was a smart bet. And besides, I really wanted the coin, and now I'm happy!
Great story. How did you wind up doing with the Pillar?
It really depends... If it's a coin I've been coveting for a long time, I may be willing to stretch above 'redbook'... If it's something for my store, I'd rather just wait for a better price. It also depends on its rarity... If it's a rare coin that doesn't come up often I may stretch a bit more...
Ultimately I never pay more than I personally think it's worth.... To me! Maybe a little over depending on what and when but I try not to go much over.
I haven't stretched on PCGS graded coins the way I did on Nolan Ryan PSA graded baseball cards. I set many records over the last 5-15 years for top pop or low pop Nolan Ryan baseball cards. With coins I'm a little more conservative as I am not as much of an expert on them. I will pay over price guide if I like the way the coin looks to me, but I am unlikely to set record prices as I did with PSA graded cards. I may stretch as far as 20% over current prices for PCGS graded coins, but not more.
For me, and sorry to be so cliche, but it depends on the set and the coin.
For my Type Set and Box of 20, I can be very patient. I think I've paid what approached PCGS guidelines a few times for slabbed pieces with maybe one or two exceptions... I paid fairly strong money for my Trade Dollar, but so was everyone else at the time!
For Large Cents... at least for me... it's a constant balancing act to find pieces with minimal problems at an affordable price. When one comes up for auction and it's a date I want/need, I'll bid strong... likely over PCGS guidelines approaching the next grade level pricing... but so are a dedicated handful of other EAC collectors. I've managed to get a few deals over the years, but recently they're fewer and further between.
Collecting: Dansco 7070; Middle Date Large Cents (VF-AU); Box of 20;
The current market(other than widgets) says if you want nice, solid coins for the grade you will have to stretch. I've exceeded PG on all but a few of the nicer Seated Dollars I've recently purchased. You also better not beat around the bush if a coin your after becomes available, I missed 1 because I thought I had an hour to get and errand done before I called about it.
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<< <i>I think you should stretch far for the right rare coin if you know the market. I would never stretch for an AU $50 PP. Wait and buy a 2 shot 3 or better 3 shot 4. >>
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Eric
OLD THREAD (and a good one).
I recently bought a coin that was a big jump for me from what I typically acquire. It was uncomfortable in that it was the most I'd ever spent and I bought it in what some would say is an inflated current market. I don't know if am fool and his money (since it was way way above price guide, but I really like the coin.
There doesn't seem to be any pull back on classic coinage pricing trends. See the auction houses sales YTD alone. CAC material is through the roof.
How does the current market influence your willingness to "stretch"?
Depends. How often does the coin come available? Some coins I go after only come to market in the grades I'm interested in every 3-4 years. So in those cases I will be prepared to bid in excess of the price guides by up to 50%, especially if it is a good example. In the end, you're only paying one bid increment more than someone else was willing to pay if it was an auction, so you probably can't lose too bad.
If the coin comes up a couple times a year you can afford to be more discerning.
Nice throwback thread topic! I have over-reached on occasion, but hopefully I have enough time to make arrangements with the seller.
BST transactions: dbldie55, jayPem, 78saen, UltraHighRelief, nibanny, liefgold, FallGuy, lkeigwin, mbogoman, Sandman70gt, keets, joeykoins, ianrussell (@GC), EagleEye, ThePennyLady, GRANDAM, Ilikecolor, Gluggo, okiedude, Voyageur, LJenkins11, fastfreddie, ms70, pursuitofliberty, ZoidMeister,Coin Finder, GotTheBug, edwardjulio, Coinnmore...
Usually, I make the best offer I think I can make... then forget about if if there's no deal.
But if I keep thinking about the coins, I may stretch a little. Sometimes I get myself buried though
Staying disciplined usually is the right move.
Michael Kittle Rare Coins --- 1908-S Indian Head Cent Grading Set --- No. 1 1909 Mint Set --- Kittlecoins on Facebook --- Long Beach Table 448
I don’t stretch. If it’s not a fair price to me I pass. I won’t pay over what I feel is fair.
My current registry sets:
20th Century Type Set
Virtual DANSCO 7070
Slabbed IHC set - Missing the Anacs Slabbed coins
I will stretch if it's a coin I love. Don't want to regret settling for a lower tier one. Actually, there was a coin I was willing to stretch for, but the dealer never got back to me to make a deal.
On pretty much every coin that I've stretched on or pay what is called stupid money, time has been an great ally. If a given coin has a combination of being knockout attractive and in a popular series, it's always been good for me. I've had offers on a few of my coins that have been 4x to 10x over the "stupid" money I paid for them.
To those that strictly adhere to a price guide, you are possibly skipping over a great opportunity. Everyone has certain comfort levels on how far they will stretch, but if you don't take the plunge once in awhile you will certainly miss out on many a very nice coin.
10-4,
My Instagram picturesErik
My registry sets
Great story. How did you wind up doing with the Pillar?
I also was curious how the pillar turned out
It really depends... If it's a coin I've been coveting for a long time, I may be willing to stretch above 'redbook'... If it's something for my store, I'd rather just wait for a better price. It also depends on its rarity... If it's a rare coin that doesn't come up often I may stretch a bit more...
Ultimately I never pay more than I personally think it's worth.... To me! Maybe a little over depending on what and when but I try not to go much over.
https://www.the4thcoin.com
https://www.ebay.com/str/thefourthcoin
I haven't stretched on PCGS graded coins the way I did on Nolan Ryan PSA graded baseball cards. I set many records over the last 5-15 years for top pop or low pop Nolan Ryan baseball cards. With coins I'm a little more conservative as I am not as much of an expert on them. I will pay over price guide if I like the way the coin looks to me, but I am unlikely to set record prices as I did with PSA graded cards. I may stretch as far as 20% over current prices for PCGS graded coins, but not more.
Donato
Donato's Complete US Type Set ---- Donato's Dansco 7070 Modified Type Set ---- Donato's Basic U.S. Coin Design Set
Successful transactions: Shrub68 (Jim), MWallace (Mike)
For me, and sorry to be so cliche, but it depends on the set and the coin.
For my Type Set and Box of 20, I can be very patient. I think I've paid what approached PCGS guidelines a few times for slabbed pieces with maybe one or two exceptions... I paid fairly strong money for my Trade Dollar, but so was everyone else at the time!
For Large Cents... at least for me... it's a constant balancing act to find pieces with minimal problems at an affordable price. When one comes up for auction and it's a date I want/need, I'll bid strong... likely over PCGS guidelines approaching the next grade level pricing... but so are a dedicated handful of other EAC collectors. I've managed to get a few deals over the years, but recently they're fewer and further between.
Successful BST transactions with: SilverEagles92; Ahrensdad; Smitty; GregHansen; Lablade; Mercury10c; copperflopper; whatsup; KISHU1; scrapman1077, crispy, canadanz, smallchange, robkool, Mission16, ranshdow, ibzman350, Fallguy, Collectorcoins, SurfinxHI, jwitten, Walkerguy21D, dsessom.
The current market(other than widgets) says if you want nice, solid coins for the grade you will have to stretch. I've exceeded PG on all but a few of the nicer Seated Dollars I've recently purchased. You also better not beat around the bush if a coin your after becomes available, I missed 1 because I thought I had an hour to get and errand done before I called about it.