Every Coin Collector is proud of their collection, and you should also be. However, that is possible only when you create a unique collection of coins.
This can happen when you follow a specific strategy or plan right at the outset. Though experience plays a key role, it is just one aspect of the equation. To become a good collector, you should focus on several others. This will ensure you enjoy your hobby and stay motivated to follow your passion.
Dealing with coins requires adhering to a precise set of guidelines. You will become a better and more successful coin collector as a result of this.Like all others, you must also look out for better ways to add the best and unique coins to your collection to improve it.
Besides looking for newer and better ideas, consider all other perspectives that will establish you as a successful Coin Collector.
When you follow a clearly defined strategy in coin collecting, it will increase the value of your coins. If you follow them, you can grow your collection and master the art of coin collecting.
Here are the top 10 strategies for you.
Do not be over-enthusiastic
Coin collecting is all about passion. It is certainly not a competition. Therefore, do not think of beating the other coin collectors and be over-enthusiastic and become a general Coin Collector who has everything in his collection.
Do not make any compulsive or irrational decision, and never carry a notion that you must have all coins in your collection. Avoid or control such emotions. This will prevent you from creating a mess of your collection.
A good Coin Collector is one who specializes in a specific category of coins. There are lots of categories and subcategories of coins to collect.
You can collect historic coins, proof coins, bullion coins, or coins with specific relief features or designs to commemorate a specific event.
Specializing in any one specific series of coins or sticking to a single area of interest will provide a much higher return than the effort put in. This way, you will become a good Coin Collector with a unique collection.
Yes, you may have to wait for some time between two subsequent purchases or sales for the right time to act. However, it is worth waiting.
If you are impatient and cannot stand such downtime, you may start a secondary, inexpensive collection. This will keep you engaged and allow you to have a more varied and extensive collection.
You may gain enough knowledge from the internet or by reading a lot of books on coin collecting, but there is no better alternative to working with a dealer.
Partner, not literally, with a local dealer and build a strong relationship. This will not only help you in finding easy access to excellent and rare coins but also gain some valuable info.
Online stores are a good source of coins. They advertise for authenticity, but there is hardly any guarantee of it. These stores will be of little help in case of any problems.
Your local dealer will always be accessible and a trusted source to fall back on.
You must think and act like an investor to become a good and successful Coin Collector. Be knowledgeable about the gold or Silver coin you want to buy and stay in the loop with the developments around to invest in it at the right time. This will increase your chances of making profits.
Also, hold your coins as an investor holds onto the stocks. Do not go for low short-term profits. Holding and waiting for the right time will fetch higher returns on your investment.
Just as it is in all other areas, look matters in coin collection as well. If you have coins in your collection with minimal eye appeal, it will be very hard, if not impossible, to sell them. Therefore, select coins that are quite good to look at.
Unless it is extremely rare and priceless, which are exceptions to the rule, you will have to retain it for almost eternity. If you do not want to part with it, then it is a different matter altogether.
Needing little explanation, quality is an important aspect that every Coin Collector should look for in each item.
Never select a coin because it is cheap. There is a famous saying in the numismatic niche: “Good coins don’t come cheap and cheap coins are not good.”
Therefore, be more careful about the quality of the coin, especially when you buy it from a cash-strapped individual or dealer in need of money badly. Even avoid coins that sell at low bids in an auction.
Since the law of demand and supply of economics apply to the coin market as well, prices of good and rare coins are never cheap. So, never consider a cheap bargain to be good. Usually, it is not.
This does not mean coins with a high price tag are always the best. You will get a lot of coins that may be good but are usually unnecessarily overpriced.
If you do not want to pay more for a coin than it is worth, then research thoroughly. Do not buy any coin that is overpriced. It will eat up your profits during the sale.
While buying a coin, you must follow your interest and listen to your instinct. Do not buy any coins if you are not interested. It will be a bad investment doing no good for your collection.
Also, avoid buying those coins for which you have to ‘force’ yourself to like them. If you do not fall for a coin naturally, it is not worth buying. It is the same as the ‘Love at first sight’ concept, and your coins are your ‘love.’
Never fall for any offer made by a dealer or an individual that seems ‘unbelievable’ or ‘too good to be true.’ They actually are. Any suspicious or hair-raising offers should be summarily rejected.
This is a very important factor that every Coin Collector should focus on. If you do not know how coins are evaluated, you will not be able to price your collection. And, if you do not price your coins correctly, you will leave behind a major slice of profit on the table
Follow the general rule of thumb and avoid underpricing or overpricing of coins. This will have a negative impact. Learn more about the factors that influence the price of a coin and consider them while evaluating your coins.
Some of the significant factors that influence the price of coins are:
· Its type
· Its condition
· Its age
· Its availability and
· Its demand.
Of course, this rule does not apply to extremely rare pieces but only to those coins that are commonly traded.
One of the most significant numismatic virtues is patience. If you rush things, you are bound to make wrong decisions, buy the wrong coins at a higher price and sell them at a lower price to lose a significant profit margin.
Being patient in coin collecting is more rewarding, and it will exceed your expectations at most times. This particular market is not like any other, where products are available galore.
Therefore, you must be very patient if you really want to buy rare gems and add them to your coin collection.
There is no end to learning new things about coin collecting. Therefore, grab all the opportunities with both hands to learn more.
However, you will not need to go deep inside to be an expert numismatic to tell the difference between grades, value, and other aspects. You can at least know the basics of the coins to have a fair idea about their value.
Such knowledge will help you to know what should be the real color of the coin and whether or not it is cleaned to regain its color, to the extent of being ‘damaged.’
You can also make out whether the coin is new or old and what it is worth in the market now and potential worth in the future.
Apart from that, you may also gain some helpful insights about the issuance of the coin, how good and original the surface is, and how authentic the coin is on the whole.
Those were the major strategies that every beginner or an expert Coin Collector should follow. Apart from them, here are a few bonus tips to improve your coin collection and get higher returns.
You must create a proper plan to collect and sell coins at the right moment. It is essential to stick to your plan because the coin market, just like any other, will change continuously. Therefore, expect the prices to fluctuate.
Do not fret during such conditions because having a clearly defined plan will help you to be flexible and make necessary changes to respond to the fluctuations in the market in the best and most productive manner.
All your purchases will be purpose-driven, and you will therefore be able to focus more on the quality aspect rather than the quantity of coins to buy.
This will help you to crack a good deal while purchasing coins by evaluating it based on the look, type, and other aspects. If there is anything that is detrimental to the look and appeal of the coin, it is not a deal to go for.
There is no scope for buying coins that are any of the following:
· With a minor scratch, but is still a coin offering a good deal
· Lacking luster but is still a coin offering a good deal
· With some minor imperfections, but is still a coin offering a good deal
Stay clear of these coins if you want to improve your collection. A proper plan will help you to accomplish this feat.
The gist of the matter is you must always focus on the quality of the coins and never on the quantity.
Make a list of the coins included in your collection. As a good Coin Collector does, it will make your collection look more organized and arrange them in a better way. It will also not let you buy the same coins again, wasting your money. It will also help others to decipher your collection.
Ensure your catalog consists of all relevant information about the coins, such as:
· The date of purchase
· The source
· The price, along with a receipt, if any, for provenance
· Grading details
· Year of minting
· Country
· Mint mark
· Denomination
· Type or variety and
· Condition, if not graded.
You may also add a brief description along with your formal catalog. This will help a lot during insurance appraisal.
You may always choose to have a catalog that is not as formal as above but more descriptive. You may add the associations, personal thoughts, symbolism, history, and even a story on how you acquired it if it is unique and exciting.
To wrap up, all these strategies are proven to make even a beginner a better coin collector. Though they will not make the process quicker, it will make things more exciting.
However, all of them may not be applicable to you because this article is meant for all the coin collectors out there, you included, and not for any one particular kind. It involves the common mistakes made by a coin collector, which both novice and sophisticated players must avoid.
Select the one that you are not following and implement it. You will surely enjoy your hobby more and be able to collect and add rare coins to your collection to make it complete and unique. It will help you to become a good coin collector and numismatist in the long run.
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