Home› Precious Metals

I have never paid a lot of attention to buying silver/gold but now...

pennyanniepennyannie Posts: 3,929 ✭✭✭
in Precious Metals
I ended up with a extra cash at the end of 2013 and the beginning of 2014. This was cash that is not needed for bills etc. I went to a local coin show a few weeks back and bought a few 100 dollar face bags of all dimes and quarters. I also bought some 2.5 peso Mexican gold. I bought the silver for 1600 a bag and the gold pesos for 78 each ( 20 of them) I was going to pick up some 2 peso gold but decided they were to small. I knew that would open the door for me to go nuts. In the following few weeks I have bought another 17 bags of 90% in dimes, quarters and halves never paid more than 16 times face along with some 1/10 ounce maple leafs and American ASE coins.

Last week I saw the thread posted here for the silver eagles for 225 shipped (10 coins) and bought 2 lots.

The question I have is am I on the right path or doing this all wrong? I did not pay a premimun on the Mexican gold but did pay spot plus 10 bucks on the maple and ASE gold. The few dealers I have been to seem all over the board on what they want over the silver and gold. They want anywhere from 4 bucks to 100 dollars over spot. I am not planning on selling anytime soon but want to add to what I already have. A lot of dealers seem to be push new American eagles, maple leafs etc.

Do you think the premiums over spot will hold up over time or is that just the cost of buying and selling?

I did buy a few common 10 dollar liberty coins in old green pcgs holders graded ms 61 and ms 62 for 720 each early last week and only bought those because the price difference was only 25 dollars different from the same basic coins raw. I want a little more gold but feel better getting it in plastic if possible. AU 53 to ms 62 does not concern me but at some point this stuff will all be sold in the future.

I went to the bank to open a few CD's but when I found out they were only going to pay .03 percent I only got one for 5k and the only reason for that was I put it in my sons name and he may need to get a new motor in his 2009 Chevrolet avalance and they will loan money at 2 percent over the cd rate and that will save him some money.

I still have 15k I want to park some where continue with 90 percent or ???? Thanks
Mark
NGC registry V-Nickel proof #6!!!!
working on proof shield nickels # 8 with a bullet!!!!

RIP "BEAR"

Comments

  • derrybderryb Posts: 36,824 ✭✭✭✭✭
    My preference is US gold and silver coins. However silver is silver and gold is gold. One must consider which holds its resell value best as well as potential for counterfeiting.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • rickoricko Posts: 98,724 ✭✭✭✭✭
    I stick with U.S. gold and silver coins....Cheers, RickO
  • KUCHKUCH Posts: 1,186
    I prefer Canadian Gold and Sliver coins.image
  • OPAOPA Posts: 17,121 ✭✭✭✭✭


    << <i>I stick with U.S. gold and silver coins....Cheers, RickO >>



    image

    The mark-up might be a bid higher, but when it's selling time, they will demand a greater premium than Canadian or other foreign bullion
    "Bongo drive 1984 Lincoln that looks like old coin dug from ground."
  • GambinotdxGambinotdx Posts: 95 ✭✭
    It sounds to me like you are doing it right. image

    I like US silver coins. ASEs and 90% are primarily what I buy. If some bars come up at a great price, I'll buy them but I don't have many bars.

    successful transactions with: vpr, robman, piecesofme, metalsman, gdavis70, agentjim007, ranshdow and more to come!
  • jmski52jmski52 Posts: 22,862 ✭✭✭✭✭
    I pretty much agree with all of the above comments, except that the Canadian silver is only 80%, and it's not my preference although if Kuch can find a market for it, there's no reason not to play with it too.

    I don't do Mexican gold or slabbed US gold, but there are viable markets for both, and there's no really no reason not to buy those if that's what you like. (Roadrunner is a good source for advice, if you plan on accumulating slabbed US gold - I would ask him how he feels about MS-61 & MS-62 pricing & resale.)

    My only other observation is that you are moving fairly quickly, and this leaves you open to fluctuations in your cost basis. This can be extremely good or somewhat not so good if your investment horizon is short, which you've already stated is longterm.

    It sounds like you're evaluating and price shopping as you go, and that's what you need to do in order to set current with the market. You're doing fine, in my opinion.image
    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • derrybderryb Posts: 36,824 ✭✭✭✭✭
    APMEX 10 oz silver bars 89 cents over spot.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • mkman123mkman123 Posts: 6,849 ✭✭✭✭
    extra cash? Sounds like lots of cash!! Your doing is right but I stick with US gold and silver, however its nice to add variety....
    Successful Buying and Selling transactions with:

    Many members on this forum that now it cannot fit in my signature. Please ask for entire list.
  • nibannynibanny Posts: 2,761 ✭


    << <i>extra cash? Sounds like lots of cash!! Your doing is right but I stick with US gold and silver, however its nice to add variety.... >>



    I agree with mkman123 here. Since you live in the US, american metals are better and always on demand.
    I, on the other hand, like to add variety. (also because my plan is to eventually go back home in Italy)
    I have never had any problem selling darkside bullion. You buy them for little premium and you sell them for the same little premium.
    The member formerly known as Ciccio / Posts: 1453 / Joined: Apr 2009
  • roadrunnerroadrunner Posts: 28,303 ✭✭✭✭✭
    MS61/62 $10 Indians and Libs are a decent play imo. as they are not much over melt and quite a bit scarcer than the higher graded MS63/64's. $5 Libs might offer something similar. But I wouldn't overlook
    the MS63/64 $2-1/2s, $5 Libs, and $10's if they come your way at the right price....esp. for nice CACable coins. You just might get a bonus of 5-10% right now and 15-30% down the road. While I like the liquidity of gold
    bullion and silver as well as anyone, I also realize that choice unc generic gold was beaten to a pulp over the past several years and represents excellent values today. Putting away a few type sets of MS63/64 Libs or Indians is
    not a bad idea. These coins are more interesting than bullion but are also needed by collectors/investors and are very liquid (easy to sell over the phone -sight unseen). If there is a move in inflation coming our way that sends
    gold back to $1500-$1900 in the next few years, the MS63/64 $10's will fare a lot better than the MS61/62s. The higher grade ones are promotable while the lesser ones really aren't. It's the same concept with MS63-64 Saints
    over the 61/62's. One advantage to buying the generic gold with premiums to bullion is that they can quality for like-kind-exchanges. You can't do that with bullion. If the premiums on $10's gets too high for example, you can
    roll those into something that hasn't yet popped. Consult your tax attorney on the details. Seems you got in just at the right time before gold and silver popped....nothing wrong with that timing.

    The premiums over spot can vary a lot based on silver price, supply and demand for that item, etc. Generally though, as bullion prices rise, premiums tend to evaporate. At $1900/oz gold the premium for CAC MS65 saints
    wasn't much more than $100-$200 as I recall. But with gold down here in the $1200-$1330 range that premium grew back to $400-$600 per coin. Be careful about paying big premiums today that could evaporate in a year
    or a two. By nice unstickered variants that you can claim the stickerable upside at your leisure. The premiums for bullion tends to be built into the transactions. If you pay it on the purchase you'll get most of that back on the
    sale. A dealer friend of mine came into a number of nice rolls of 1 oz Mexican Libertads a few years back. They are nice looking coins and liquid enough. I bought all he had. Funny, I don't own a single roll of ASE's but own rolls
    of Libertads...lol.
    Barbarous Relic No More, LSCC -GoldSeek--shadow stats--SafeHaven--321gold
  • secondrepublicsecondrepublic Posts: 2,619 ✭✭✭
    The classic Mexican peso gold coins dated 1920s-1940s are great. I have some of those and like them a lot. If you're getting them near spot you'll do just fine. The premiums on them are lower than fractional U.S. gold Eagles, so you're getting more gold for your money. Prior to the introduction of the AGEs in the 1980s, the Mexican peso gold coins were some of the most popular coins out there, along with Kruggerands. And they're still fairly common and popular - less so than AGEs, but there's a market for them and they're easy to buy and sell. 90% silver is an absolute no-brainer if you buy at the right price.
    "Men who had never shown any ability to make or increase fortunes for themselves abounded in brilliant plans for creating and increasing wealth for the country at large." Fiat Money Inflation in France, Andrew Dickson White (1912)
  • DrBusterDrBuster Posts: 5,379 ✭✭✭✭✭
    Do not fear international pieces one bit from a respected source at a deal price.
  • secondrepublicsecondrepublic Posts: 2,619 ✭✭✭
    On the international stuff, if you see a whole category for it on a site like APMEX, you can be assured it'll be easy to sell in most places. It's one thing if you're buying an obscure century old Middle Eastern gold coin where someone will have to pull out an international coin guide to look it up. It's quite another if you're buying Mexican silver/gold peso or Libertad coins, Canadian maple leafs, South African Krugerrands, Chinese Pandas, Australian bullion coins, or U.K. silver/gold Britannias... there are international bullion markets for those, and you won't have any trouble selling them in most places in the U.S.
    "Men who had never shown any ability to make or increase fortunes for themselves abounded in brilliant plans for creating and increasing wealth for the country at large." Fiat Money Inflation in France, Andrew Dickson White (1912)
  • DoubleEagle59DoubleEagle59 Posts: 8,315 ✭✭✭✭✭
    Just buy anything that's gold and/or silver.
    "Gold is money, and nothing else" (JP Morgan, 1912)

    "“Those who sacrifice liberty for security/safety deserve neither.“(Benjamin Franklin)

    "I only golf on days that end in 'Y'" (DE59)
  • gsa1fangsa1fan Posts: 5,566 ✭✭✭
    90% USA silver coins are safe stack. AGE's & ASE's are safe. I prefer safeimage
    Avid collector of GSA's.
  • BAJJERFANBAJJERFAN Posts: 31,082 ✭✭✭✭✭
    In hindsight, I would have bought as many of those 10 coin lots for $225 as $15K would get. Or at least a full green box of them.
    theknowitalltroll;
  • GambinotdxGambinotdx Posts: 95 ✭✭


    << <i>In hindsight, I would have bought as many of those 10 coin lots for $225 as $15K would get. Or at least a full green box of them. >>



    I bought 4 lots and have the same regret.
    successful transactions with: vpr, robman, piecesofme, metalsman, gdavis70, agentjim007, ranshdow and more to come!
  • BAJJERFANBAJJERFAN Posts: 31,082 ✭✭✭✭✭


    << <i>

    << <i>In hindsight, I would have bought as many of those 10 coin lots for $225 as $15K would get. Or at least a full green box of them. >>



    I bought 4 lots and have the same regret. >>



    I got 10.
    theknowitalltroll;
  • GambinotdxGambinotdx Posts: 95 ✭✭


    << <i>

    << <i>

    << <i>In hindsight, I would have bought as many of those 10 coin lots for $225 as $15K would get. Or at least a full green box of them. >>



    I bought 4 lots and have the same regret. >>



    I got 10. >>



    oh, well you can kiss my arse! :-P hahaha good for you man. if I had more money on hand, I would have bought more but I did the best I could and that'll have to be enough for now. hopefully there's another sale so I don't make the same mistake twice.
    successful transactions with: vpr, robman, piecesofme, metalsman, gdavis70, agentjim007, ranshdow and more to come!
  • BAJJERFANBAJJERFAN Posts: 31,082 ✭✭✭✭✭


    << <i>

    << <i>

    << <i>

    << <i>In hindsight, I would have bought as many of those 10 coin lots for $225 as $15K would get. Or at least a full green box of them. >>



    I bought 4 lots and have the same regret. >>



    I got 10. >>



    oh, well you can kiss my arse! :-P hahaha good for you man. if I had more money on hand, I would have bought more but I did the best I could and that'll have to be enough for now. hopefully there's another sale so I don't make the same mistake twice. >>



    Or silver corrects to the $16 level.
    theknowitalltroll;
  • GambinotdxGambinotdx Posts: 95 ✭✭
    I wouldn't mind that either. image
    successful transactions with: vpr, robman, piecesofme, metalsman, gdavis70, agentjim007, ranshdow and more to come!
  • VanHalenVanHalen Posts: 3,993 ✭✭✭✭✭


    << <i>

    << <i>

    << <i>

    << <i>

    << <i>In hindsight, I would have bought as many of those 10 coin lots for $225 as $15K would get. Or at least a full green box of them. >>



    I bought 4 lots and have the same regret. >>



    I got 10. >>



    oh, well you can kiss my arse! :-P hahaha good for you man. if I had more money on hand, I would have bought more but I did the best I could and that'll have to be enough for now. hopefully there's another sale so I don't make the same mistake twice. >>



    Or silver corrects to the $16 level. >>



    Being as silver has been through a bear market correction for almost 3 years? $16 is not likely anytime soon. You never know though, you just never know........

    P.S. I bought 3 of those $225 lots and that price does look appealing tonight. image
  • pennyanniepennyannie Posts: 3,929 ✭✭✭


    << <i>In hindsight, I would have bought as many of those 10 coin lots for $225 as $15K would get. Or at least a full green box of them. >>



    I agree!!

    I have what I consider a decent pile of silver over the last few years. I do wish I had gone ahead and spent the other 15k on more and I may this week, but I am in the process of building a 30 x 40 metal building and I just had to buy a 50 bmg ma deuce.

    I got really lucky with American airline stock, bought at around a dollar and even decided to sell at 65 cents and never got around to it.
    Mark
    NGC registry V-Nickel proof #6!!!!
    working on proof shield nickels # 8 with a bullet!!!!

    RIP "BEAR"
Sign In or Register to comment.