Rare Coins – American Federal

Rare Coins

Rare Coins

There are many clients who either want to own rare coins or have a portfolio large enough to diversify into rare coins. I still caution that before anyone decides to be in rare coins they have an understanding of this market and have a core position of bullion.

It is important to remember that rare coins are not for everyone as most dealers tell you, nor are most coins the telemarketing salesmen are pushing worth owning.

I routinely see portfolios of $100K, $300K and $1M + in numismatics — that make me shake my head. Some are simply overpriced bullion. While I do believe Modern Eagles have great potential for even the smallest investor, some of the largest sellers simply charge 2 to 3 times more than they are worth. They sell Chinese, British and Australian coins which have little chance of appreciating. That’s not the worst of it, because if you disagree with me and want to own these coins you can’t pay two or three times the value of them in metal. Look … every dealer deserves a fair profit. But when the buyer pays $5,000 – $10,000 for a Chinese Gold set that is only worth $2,800 – $3,800 there is no room for profits. The same goes for the myriad of Modern Foreign and even U.S. coins.

For serious investors/collectors only the finest most historical coins are worth owning.  The collector most frequently makes money because they have knowledge and buy based on love of coins.  The investor too often simply listens to a salesman with questionable experience.

The good news for today’s serious collector is there are phenomenal coins available. Many of the old timers who have assembled the world’s greatest collections over the past 50 – 90 years are liquidating as they reach old age. I have seen more truly rare, historic, significant coins in the past year than I have seen in the previous 30 years.

Sell Your Coins for 30% – 100% MORE

American Federal has recently been authorized as a CAC (Certified Acceptance Corporation) dealer. We are one of two dealers in the state of Arizona and the only authorized dealer in the Metro Phoenix area.

If you own any numismatic coins you know that the price you can get for your coins is based, not only on the grade given by PCGS or NGC, but also the overall look of the coin. This is why 2 coins of the same grade can bring such different prices.

The rare coin market has been lack luster for 25 years except for ultra-rare and truly historically significant coins.CAC

Today’s buyers want something special and CAC fills that need.

CAC holds coins to a higher standard and verifies previously graded coins that are considered the best for the grade. So, when a coins receives a CAC sticker it is considered to be the high end of coins within the grade.

Here is just one example: A $10 Indian in PCGS or NGC MS-65 brings $2400 – $2600 in the dealer market. However, if that same coin is CAC verified it can bring $3500 – $4100. The difference can be substantial. In recent auctions a 1911-D $2 ½ Indian graded PCGS MS-63 sold for $10,869 while a CAC verified coin brought $14,100.

Rare coins can go for as much as 200% more with the CAC verification.

Even coins like the $20 St. Gaudens in MS-65 or MS-66 bring more money once they are CAC verified. If you own numismatic coins this is the one service we can offer you to increase the value of your coins, whether you want to sell right now or not.

Let me be clear. Not every coin you own will receive the CAC verification. They only verify coins that are the best within the grade. Coins that just barely make their grade, will not be verified. However, even if a few choice coins you own receive the CAC verification it can mean thousands, even tens of thousands of dollars.

If you own any rare coins, especially if you have truly rare or unusual coins, it could really be worthwhile to talk to us. You can call 1-800-221-7694 for more information or to talk about your specific coins. You can also fax 480-553-5290 or EMAIL your list of coins. This is truly one service that I can offer you that can make a huge financial difference in your portfolio. I don’t make a penny getting your coins verified, but I want to do everything possible to help you maximize your value whether you are ready to sell or not.