The Appraisal Of Coins

What Are The Characteristics That Compromise The Appraisal Of Coins?

When one is just getting into coin collecting, often the first question is: “What is the Market value of the coin? The answer is: The cost will run you as much as you are willing to pay for it and that range can vary substantially. For instance, a coin dealer’s offer can be a great deal less than a coin collector that without a doubt wants your specimen desperately enough to pay any amount to add it into his collection. Never underestimate the strength of human desire

The following are variables that can effect the true appraisal value.

Grade or condition of the coin. Your coin will be appraised for more when it is in good condition. When in a perfect or mint condition, an “uncirculated” coin will be worth many times more than a comparable coin that has been in circulation.mostly due to the wear and tear factor.
A Ferrari sitting on the showroom floor is worth more than the one that just drove off the lot.

Scarcity is another principal basis for a perceived value. Generally, the rarer that a coin is found to be, the higher it is priced.Be aware that the coins age has very little influence on the value . Chinese coins which are a thousand years old normally sell for next to nothing since there are so many of them; while many twentieth century coins can get up to or over a million dollars because very few specimens are known to be in existence.

The material that the coin is made from, such as, platinum, silver or gold is known as "bullion". A coin rarely sells for cheaper than the coins value when melted, commonly referred to as the "melt value".

There are coins that are seriously in demand; being sought after by many collectors, and if that specific one is in great demand, then the price will be even higher. Even comparatively plentiful coins can mandate higher cost when they are popular with collectors. It is the basic principal of supply and demand.

Here’s how you can determine the approximate value of your coin:

Begin by properly and accurately identifying the year and location of where it was minted, and known approximate value . You can do this efficiently by looking in a catalog or online with the price guide; this will give you an idea of the going rate. Estimate the grade based on your thorough consideration and examination of its current condition. Do your diligence and don't undercut yourself. By the same measure don't get greedy. The Collector/Investor community will surely spread the word if they don't believe you are being fair.

Values are adjusting daily; so you need to use a price guide that is updated on a daily basis to obtain the current value. Look at online sites that offer guidance on how to recognize the current market value. For a more broad ranged estimate, if you so desire, a worthy investment indeed would be to purchase the following:

“A Guide Book of United States Coins”, popularly known as "The Red Book" to coin dealers and collectors, provides information on retail prices for US coins and is available in libraries, coin shops and bookstores. “The Standard Catalog of World Coins” is a guide frequently used by dealers and collectors as well, to provide details on world coins and is available in many public libraries.

Are the type that collect coins primarily for profit? Or do you collect strictly for entertainment and self gratification, with profit being the last consideration.
Even though certain coins do not have a large monetary value, does not mean that it is no longer interesting or valuable to you.

Each one will have a certain appeal in itself, regardless of the condition that it is in and regardless of its appraised value. There will always be a certain characteristic that will draw you to that particular coin; so when that does happen, that's when you should add it to your collection. regardless if it will make you big bucks or not.
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As I always advise, just have fun with it!


H.B. Stone is an avid Coin Collector and Author.
Visit his Blog At http://coincollecting123.blogspot.com