Is Pre-33 Gold Bullion or not?

[ShinyHunterTPT]

I can't seem to come to an answer to this personally. I wanted to get my $5 Liberty Head conserved and graded and the dealer told me not too. He said there isn't much of a price difference between MS62-63 so it won't cover the cost of purchase and grading. The advice was to keep it BU and as a "bullion" coin. Just wondering what everyone else's opinion is on this.

[silversurf]

First thing I would do is look the year up on the NGC  or PCGS website and see what each grade is worth. They also give the latest auction prices achieved. Also each year has different places of manufacture that increase or decrease the value as well as the total mintage which also affects value. The price of $40 odd dollars for grading gives me the satisfaction of knowing that the coin is genuine, trust me there are a lot of fakes out there, and an approximate value.

Secondly do you trust the dealer and is he trying to "stiff" you with a cleaned coin. There's nothing worse then getting  a coin back from grading that has Details -cleaned on it. That might be another reason why he doesn't want the coin graded.

Finally just research, research, research..... the more information you have, the better decisions you will make.

This is just my opinion, hopefully others might agree or disagree. I've had some great success and also some dismal failures, from my mistakes though I'm a lot more careful what I buy now. Everything is a learning curve.....

[SilverTanner]

I seem to member reading on various coin forums ovr the last year that a lot of these coins in nice grades (62,63) were going for about bullion prices at auctions, the feeling was now was a good time to buy graded examples where the premium may increase over time as it is very low at the moment. As a result I would tend to agree with the dealer unless you think a coin will get a 64 or 65, as @ silversurf has said it would be worth checking price guides and auction results particularly for individual dates, confirmation that it is genuine makes it easier to sell later on.

[Cornishfarmer]

Pre 33 and pandas are good buys at the moment, the trend is sovereigns and queens beasts. But trends change.     I’ve got a mix of all. sovs are easier to sell, pre 33 is better to look at.  If you grade it gives piece I’d mind it’s genuine but that comes with a price.     If you want a ms65 coin but it as graded because you can’t guarantee it will be If grade yourself. 

[sovereignsteve]

1 hour ago, Cornishfarmer said:

pre 33 is better to look at.

wash your mouth out with soap young man!!

[SilverTanner]

Just out from NGC news

https://www.ngccoin.com/news/article/7047/

Several comments from dealers but probably the most relevant here is:

Dave Wnuck, Owner/Operator, Dave Wnuck Numismatics LLC
“There are certain areas of the market that are just crazy cheap right now. The most obvious are some generic gold type coins. For example, you can buy desirable and not-easy-to-locate $10 Indians and $10 Liberty gold coins in MS-63 for not too much over melt. This is a conservative way to have fun in the market and possibly capture some upside if the market strengthens. Even better, you have some downside protection if the price of gold softens, as these can sell for a significant premium to melt in times of low gold prices.”

 

 

[Gildeon]

Definitely the smaller ones ($2.5 and below) are not bullion.

[dicker]

On 14/12/2018 at 08:46, SilverTanner said:

Just out from NGC news

https://www.ngccoin.com/news/article/7047/

Several comments from dealers but probably the most relevant here is:

Dave Wnuck, Owner/Operator, Dave Wnuck Numismatics LLC
“There are certain areas of the market that are just crazy cheap right now. The most obvious are some generic gold type coins. For example, you can buy desirable and not-easy-to-locate $10 Indians and $10 Liberty gold coins in MS-63 for not too much over melt. This is a conservative way to have fun in the market and possibly capture some upside if the market strengthens. Even better, you have some downside protection if the price of gold softens, as these can sell for a significant premium to melt in times of low gold prices.”

 

 

I agree - I bought an MS63 20 Dollar Coronet for 2.25 pct over melt from a dealer in Utah this summer.  Slow summer and the couns not popular at the moment apparently.