Does a cheap coin in a major brand slab really gain value?

291fifth · June 25, 2016 12:52AM

I'm thinking about low value coins that probably shouldn't have been slabbed in the first place. Does anyone actually buy these for a substantial premium over the price of the raw coin?

LindeDad · June 25, 2016 1:11AM

Still a few set builders around just getting to be less all the time.

I know I'll probably pay up for those last dimes I need. For this...http://www.pcgs.com/setregistr...ltimeset.aspx?s=138023

ricko · June 25, 2016 1:11AM

I buy the coin (I know - and old adage - but one I stick to). It is likely that I would not be shopping for a coin that was worth less than the price to slab...and certainly not willing to pay the premium. Cheers, RickO

IwasAgentjim007 · June 25, 2016 1:28AM

You might get a few bucks for a 50c coin, some people like them for give aways to kids.

BillJones · June 25, 2016 4:25AM

Originally posted by: 291fifth
I'm thinking about low value coins that probably shouldn't have been slabbed in the first place. Does anyone actually buy these for a substantial premium over the price of the raw coin?

I did to put together my complete registry type set. I am still only collector to have completed the U.S. type set on the NGC registry. This involved paying from $10 to $20 for some Proof coins that are worth a coupld of bucks raw. Considering what I paid for the rest of the coins in set, it does not mean much in the grand scheme of things.

AUandAG · June 25, 2016 4:31AM

The short answer is yes. But, maybe not too much over valued.

Think of it like this: You need a slabbed example for your set and you just happen to have a wonderful raw example and decide to send for grading. Lucky you it does grade and your quest is over. But, what was your cost? Perhaps $50? What if there was the same coin offered at $35 on ebay already slabbed by your TPG. The coin is worth $7 in the PCGS price guide. Was spending $28 too much a nice savings?? yes, of course it was.

bob

TigersFan2 · June 25, 2016 4:42AM

I do.

Walkerfan · June 25, 2016 5:00AM

People pay 4 or 5 figures for coins in super-high MS 67-69 grades that would otherwise cost them under $100 bucks, so the answer is 'yes'.

Tomthecoinguy · June 25, 2016 5:21AM

Some of my customers that are slab collectors seem to prefer slabs with cheaper coins in them. They don't want a rare coin upping the price they have to pay for that rare slab.

UMCane · June 25, 2016 5:24AM

There are quite a few instances when you see modern coins slabbed when the cost of slabbing exceeds the value of the coin.

Truth be told a modern day mint or proof set slabbed does make a nicer appearance than the US Mint issued kits. If you like the coin, but it at the coins value and maybe a small premium. Someone else paid for the slab

roadrunner · June 25, 2016 5:38AM

Originally posted by: UMCane

There are quite a few instances when you see modern coins slabbed when the cost of slabbing exceeds the value of the coin.

Truth be told a modern day mint or proof set slabbed does make a nicer appearance than the US Mint issued kits. If you like the coin, but it at the coins value and maybe a small premium. Someone else paid for the slab

Bruce Amspacher related a story back in the late 1980's where he was commissioned to build a PCGS MS65 set of Roosy dimes. There weren't a lot of slabbed coins to choose from at that time so he had to slab most of them himself. The net cost for the set was $5,000. What's a raw gem set go for today? A couple hundred bucks?

Walkerfan · June 25, 2016 5:43AM

After re-reading the OP----if the coin is still of relative low value even after slabbing; I don't think that the slab adds much extra value and people don't pay much more than they would if coin was raw.

TommyType · June 25, 2016 5:50AM

Seems to me that this thread may be a good time to talk about the difference between "Value" and "Cost".

The VALUE of the coins don't increase....but the cost probably does.

roadrunner · June 25, 2016 5:54AM

I see a lot of average to better date seated quarters and halves in grades of Good-XF that seem to double in price once they get graded by PCGS. So a $25 coin becomes $50. A $75 coin becomes $125.

Baley · June 25, 2016 5:54AM

I'm continually surprised at the things that some people will pay for, even a lot of people will pay for, that I will not.

Cheap coins in slabs are one of them, but they are not as surprising to me as paying real money for imaginary electronic items in video games.

There are folks that just love them both, and many many other 'products', well, more power to them, and particularly to the suppliers of such items.

TopographicOceans · June 25, 2016 6:22AM

There are a lot of modern proof coins that sell for $2 raw.
But after you spend $18+ to slab it, you can sell the same coin for like $4

TigersFan2 · June 25, 2016 11:10AM

Originally posted by: TopographicOceans
There are a lot of modern proof coins that sell for $2 raw.
But after you spend $18+ to slab it, you can sell the same coin for like $4

But I think what often happens there is someone makes a bulk submission of many of the same coin with the hope that a few will grade very high and pay for the entire bulk submission. Then the ones that didn't make the very high grade are sold off cheap.

TigersFan2 · June 25, 2016 11:20AM

A few months after I started buying PCGS coins in 2014, I went to a local coin show expecting that raw coins sell for around $20 less than the same coin slabbed by PCGS. Wrong. I found that raw coins often sell for close to the same as PCGS coins (in the context of coins that are less tan $300 or so). I've been told by a dealer friend that the more expensive the coin, the more divergence in price there is between a raw coin and a PCGS coin. More money to risk = more they want the confidence in PCGS.

But... on the very low end (back to the op's question), i regularly buy PCGSs MS65RD and MS66RD later-date wheat cents on Ebay for $15-20 when the raw one is probably available for half the price. But i'm willing to pay more for the PCGS coin because (1) I trust the grade on the slab more than my own grading, (2) I like the protection the slab gives the coin and (3) if something happens to me, my wife will probably get a better price liquidating my collection with PCGS coins than raw coins as the PCGS coins are a "known" and she doesn't have to debate the grade and such.

I'm not going to buy a coin for $8 and send it to PCGS for grading when i can buy the same coin for $15 on Ebay that is already in a PCGS slab where someone else has taken the hit.

UMCane · June 25, 2016 12:32PM

Originally posted by: roadrunner

Originally posted by: UMCane
There are quite a few instances when you see modern coins slabbed when the cost of slabbing exceeds the value of the coin.

Truth be told a modern day mint or proof set slabbed does make a nicer appearance than the US Mint issued kits. If you like the coin, but it at the coins value and maybe a small premium. Someone else paid for the slab

Bruce Amspacher related a story back in the late 1980's where he was commissioned to build a PCGS MS65 set of Roosy dimes. There weren't a lot of slabbed coins to choose from at that time so he had to slab most of them himself. The net cost for the set was $5,000. What's a raw gem set go for today? A couple hundred bucks?

It's not a business decision I would make, but everyone to their own likes and dislikes. A Young numismatist might be thrilled to have a have a slabbed coin, even if it's value doesn't warrant the cost.

ctf_error_coins · June 25, 2016 12:50PM

I have bought $5 error coins already slabbbed as PCGS Mint Errors for $10.

knightem · June 25, 2016 2:57PM

As others have said, YES because of the registry.

LindeDad · June 25, 2016 3:18PM

Why the attack on slabbed coins on a site that is paid for by a grading firm?

bob48 · June 25, 2016 4:25PM

I am working on a set of VG-10 coins because the keys are still at a price range I could afford but

the other 96% are common and not very easy to find in a PCGS Holder but the pop report shows

they are all out there maybe 2 or 3 graded in VG-10.

I sent in 20 coins for something like $440 when all was said and done.

There were 5 or 6 valued at $8.00 and the 20 coins had a value of $300 maybe and then only 5 came

back at VG-10 and some lower an some higher, and three surprised me as Cleaned.

So, Yes I have and might do it again, send in low value coins, But I need to get some more experience on GRADING.

AND I will buy a $8 coin and over pay to about $20+ just to have a PCGS coin graded VG-10 to complete my set,

because the odds are against me in grading my own.

ambro51 · June 25, 2016 9:42PM

If you want to drastically overpay for an average Feuchtwanger cent....buy one in a PCGS slab.

LindeDad · June 26, 2016 2:42AM

Originally posted by: ambro51

If you want to drastically overpay for an average Feuchtwanger cent....buy one in a PCGS slab.

Do they make those RAW in China now?

mustangmanbob · June 26, 2016 1:24PM

I think some people, with freebie slabbing to burn, search for the chance to be the 1 of 1 for a particular mint year etc.

There cannot be that many 1997-D Washington Quarters in F12 slabbed out (I cannot see pops, so I am winging one)

lunytune2 · June 26, 2016 9:26PM

Originally posted by: knightem
As others have said, YES because of the registry.

+1 ( I am way behind though on keeping up with my Washington quarter proof registry )

pmac · June 26, 2016 10:27PM

Slab 'em quick so that they can get that ever-so-precious first strike label! High premium there.

TwoSides2aCoin · June 26, 2016 11:35PM

I'd say yes, since value is more perceived than our ponderances can reflect or grasp. And that is especially to the one collecting it.

LindeDad · June 27, 2016 12:30AM

When does that common date and mint coin become a collectable?

BillJones · June 27, 2016 3:36AM

Originally posted by: knightem
As others have said, YES because of the registry.

Only to a point. The dealer from whom I have bought my restry - slab coins will buy them back for $5. The coin is worth maybe $2 or so.

Elcontador · June 27, 2016 4:02AM

I find it entertaining to see a $15 coin in a holder where someone paid $30 or so for slabbing and postage.

Does a cheap coin in a major brand slab really gain value?

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