What to expect when selling coins. 1 1

[ThePhiladelphiaPenny]

Hello, soon I will be trying to sell some of my coins that I've accumulated through the last few years. My question is what to expect when selling, mostly how much or how little am I to expect from a dealer.

For example, I have a 1935 S wartime nickel. I bought it just to have one because I didn't at the time. I'm not interested in selling it any time soon, but in theory, say I paid a dollar for it, would it be reasonable to get $1.25 for it and then a dealer would sell it for $2.50? Or would I get 50C - $1.00? Is there any set rate to how much dealers pay compared to what the sell for? And does any similar rule apply outside of coins into pure (or in the case of silver, sterling) silver, gold and other metals? 

Thanks. =)

[Coinbuf]

On 10/24/2024 at 2:12 PM, ThePhiladelphiaPenny said:

Hello, soon I will be trying to sell some of my coins that I've accumulated through the last few years. My question is what to expect when selling, mostly how much or how little am I to expect from a dealer.

For example, I have a 1935 S wartime nickel. I bought it just to have one because I didn't at the time. I'm not interested in selling it any time soon, but in theory, say I paid a dollar for it, would it be reasonable to get $1.25 for it and then a dealer would sell it for $2.50? Or would I get 50C - $1.00? Is there any set rate to how much dealers pay compared to what the sell for? And does any similar rule apply outside of coins into pure (or in the case of silver, sterling) silver, gold and other metals? 

Thanks. =)

I am assuming that you meant 1945-S wartime nickel.    No there is no set formula that coins dealers use, some (maybe most) will use the graysheet bid and then offer anywhere up to 50% less depending on the dealer and the material being offered.   The better the material the closer (and in some cases over) bid the dealer will offer.   Junk silver and gold under MS64 will mostly be around spot minus 5% or so, again this depends on the dealer and to some extent how much he thinks he can lowball you depending on what his local competition offers.

In the case of your wartime nickel the current melt value is $1.93 today, so no reason you should be offered less than $1.80 for a low grade/junk silver type of example.   Most dealers will operate on the premise that you don't know the value and offer as little as possible, so knowing as much as possible about the material you are selling is the best defense against a low ball dealer.

This site has up to the minute info on melt values for US coins.

Link

[ThePhiladelphiaPenny]

On 10/24/2024 at 5:35 PM, Coinbuf said:

I am assuming that you meant 1945-S wartime nickel.    No there is no set formula that coins dealers use, some (maybe most) will use the graysheet bid and then offer anywhere up to 50% less depending on the dealer and the material being offered.   The better the material the closer (and in some cases over) bid the dealer will offer.   Junk silver and gold under MS64 will mostly be around spot minus 5% or so, again this depends on the dealer and to some extent how much he thinks he can lowball you depending on what his local competition offers.

In the case of your wartime nickel the current melt value is $1.93 today, so no reason you should be offered less than $1.80 for a low grade/junk silver type of example.   Most dealers will operate on the premise that you don't know the value and offer as little as possible, so knowing as much as possible about the material you are selling is the best defense against a low ball dealer.

This site has up to the minute info on melt values for US coins.

Link

 I seem to be making a bunch of typos lately, so thank you for pointing that out! I've been trying to arm myself with as much info and advice as possible for making for first sale to a dealer. Thanks!

[powermad5000]

On 10/24/2024 at 4:41 PM, ThePhiladelphiaPenny said:

I've been trying to arm myself with as much info and advice as possible for making for first sale to a dealer.

I've been at this for years. I keep most of what I obtain, and I have all my coins slabbed, but occasionally I end up with something that didn't exactly come out the way I wanted it to, or some of what I sell is simply because I found better coins which graded higher, so I upgraded and will sell the lower graded slab off.

What I am about to say might (urine passing) some people off, but imho, and especially as of late, a dealer is going to rob you blind. I don't know one that does not buy anything without pulling out that Greysheet and that's where sticking it to you IS going to happen. After my last slabs for slab deal I tried to make at the April CSNS show, there is absolutely NO WAY I will ever move my coins through a dealer ever again. Most slabs I was offered half the price guide value and the one slab that was worth the most in the deal I was given a price that was nearly 60% less, and this was for good graded slabbed coins, not raw. From now on, I will only sell my slabs on eBay or through private deals. I am cutting the dealer out of the equation. I don't care that it takes me longer (years even) for them to finally sell. I just cannot and will not let a dealer rape me at the table.

Imho, it doesn't matter how much knowledge you stuff in your cranium before approaching a dealer because they are going to offer you a low ball offer no matter what.

I'll buy raw from a dealer that is willing to negotiate some as I never really make unreasonable offers. I make offers to dealers based on what I believe the coin will grade out as, and I do not factor what it is going to cost me to have it slabbed into the deal. Grading costs are something I absorb on my own and do not apply those costs to the coin. Basically I see grading as an extra cost. There are times a dealer will offer a coin for what I call "book value" which is how I describe the mean Fair Market Value (basically a little below the price guide value), and I believe the coin to grade commensurate with the price guide value for the grade, which I consider as fair and will pay that price without requesting any kind of a deal. That to me is a fair and equitable dealer that I will remember and buy from again in the future. As for selling to a dealer, for me that is now a hard no.

[ThePhiladelphiaPenny]

On 10/25/2024 at 1:02 AM, powermad5000 said:

I've been at this for years. I keep most of what I obtain, and I have all my coins slabbed, but occasionally I end up with something that didn't exactly come out the way I wanted it to, or some of what I sell is simply because I found better coins which graded higher, so I upgraded and will sell the lower graded slab off.

What I am about to say might (urine passing) some people off, but imho, and especially as of late, a dealer is going to rob you blind. I don't know one that does not buy anything without pulling out that Greysheet and that's where sticking it to you IS going to happen. After my last slabs for slab deal I tried to make at the April CSNS show, there is absolutely NO WAY I will ever move my coins through a dealer ever again. Most slabs I was offered half the price guide value and the one slab that was worth the most in the deal I was given a price that was nearly 60% less, and this was for good graded slabbed coins, not raw. From now on, I will only sell my slabs on eBay or through private deals. I am cutting the dealer out of the equation. I don't care that it takes me longer (years even) for them to finally sell. I just cannot and will not let a dealer rape me at the table.

Imho, it doesn't matter how much knowledge you stuff in your cranium before approaching a dealer because they are going to offer you a low ball offer no matter what.

I'll buy raw from a dealer that is willing to negotiate some as I never really make unreasonable offers. I make offers to dealers based on what I believe the coin will grade out as, and I do not factor what it is going to cost me to have it slabbed into the deal. Grading costs are something I absorb on my own and do not apply those costs to the coin. Basically I see grading as an extra cost. There are times a dealer will offer a coin for what I call "book value" which is how I describe the mean Fair Market Value (basically a little below the price guide value), and I believe the coin to grade commensurate with the price guide value for the grade, which I consider as fair and will pay that price without requesting any kind of a deal. That to me is a fair and equitable dealer that I will remember and buy from again in the future. As for selling to a dealer, for me that is now a hard no.

Good to know, does the same apply to raw? 

[Henri Charriere]

On 10/25/2024 at 10:42 AM, ThePhiladelphiaPenny said:

Good to know, does the same apply to raw? 

No, worse!  In the Power guy's case (which I have found him to be extremely forthright, he hold nothing back.  He tells it the way he sees and experiences it.  That is why I light-heartedly tell him I would take a bullet for him.)

The problem with his narrative is consent.  The dealer knows the last thing someone wants to do is schlep his stuff from table to table, aisle to aisle and one location to another. Not exactly rape, but all of us know what he means.

The worst case of preliminary sexual assault I ever encountered was when I was told to empty everything I was interested in selling in a velvet lined box. Instead of evaluating each item (most of this was old jewelry) he adopted the tactic of most dealers, which is:  "time is money."  His premeditated tactic was to first ask what do you want for [all] this? Always a bad sign because most of us would prefer to have our items examined on a piece to piece basis.  At some point, when he cavalierly low-balled the entire lot with a wave of his hand, I started to gather my things at which point he grabbed a wrist with a vice grip. THAT'S FORCIBLE RAPE, in a figurative sense. I did not wish to create a scene, so I relented.

I do however, know what you, TPP and PM mean.

***

Now let's take a look at their point of view... salaries to pay, property, water, sewage, electric, bills, etc. as well as employee salaries, medical insurance, profit-sharing or thrift plans, etc.

So to get back to your earlier question, "How much should you reasonably expect from selling a '45-S Wartime nickel in circulated condition worth a buck and a half or less?

We all snicker behind our globe-trotter's back because he does not intend to profit personally from his acquisitions.  He has family.  I do not.  Any mistakes we may make would have to impact us directly.  His heirs will be available to sort things out. I have narrowed down my choices to two parties.  I am totally immune from criticism; but then so is our frequent flyer.  He has adequate resources and I have managed to live quite comfortably on a fixed subsistence income.

I wish I could offer you more encouraging advice but 73 years of experience (most of it lived on the periphery of the hobby) has offered me nothing more than common sense.

If you want to know who the real winners are it is those who set their sights high on the finest quality available and those that collected as a hobby for the sheer enjoyment of it all.  As Mike would say, Cheers!

Edited Friday at 06:15 PM by Henri Charriere
Customary die-polishing.

[powermad5000]

On 10/25/2024 at 9:42 AM, ThePhiladelphiaPenny said:

Good to know, does the same apply to raw?

No. Raw is even worse. A coin in a slab has been certified at least, and while some may argue over the grade number on the label in the slab, it pretty much eliminates much of that so a dealer will go right to the graysheet and look it up as it is presented.

When it comes to raw, a dealer can then (and will) throw his own one second judgement of a coin and I can almost guarantee unless it is a really rare one, or a specific key date one, they will say anything to get it from you for next to nothing. Get ready to hear, "Oh, no, that's cleaned", "It's got some problems", "Its only XF" (when it is clearly AU), "I'm going to have a hard time moving this", "This is the best I can do on it" (think Pawn Stars), "I come across these all the time", "There aren't many people looking for these", or any other variation of excuse from the Book of Dealer Excuses (separate unwritten book from the graysheet).