Old Coin Prices - Understanding the Difference Between "Value" and "Price"

In most situations, people use the terms valueanywhere from 85% to 95% of the retail price
and price somewhat interchangeably. While thethe coin would sell for currently. The downside to
meaning of the words is similar, when you arethis is that when gold prices fall, the value of your
looking to get accurate old coin prices, you shouldbullion will fall as well.
understand that in many instances, "value" andIt's important to be realistic when you are gauging
"price" are not the same. The price of your coin isprice versus value. On the one hand, it can feel
generally considered to be whatever you paid tolike a major coup when you pick up coins for less
obtain the coin. In this instance, price equals yourthan the retail price from a dealer or elsewhere.
purchase price. The value of your coin, byBut you must be certain that the coin's value
contrast, is considered to be what you wouldmakes the price worthwhile. Buying a coin that
receive if you sold the coin today. Because coinhas been graded by a reputable coin grading
dealerships are in the market to make money,company, for example, will have more value in
the price you will receive if you sell is oftenthe long run than purchasing from unofficial
considerably less than the price you paid to buy.sources.
Therefore, the value of your coin collection mayThe difference between value and price in the
be less than the old coin prices paid to amass thenumismatics world is a significant one, and it is in
collection.your benefit to research the accurate pricing and
The exception to this rule can be found in bullionvaluation of coinage in your collection before you
coinage. Because bullion is more closely tied to theattempt to buy or sell. Understanding the
value of the precious metal, versus the value ofdifference between what dealers will pay, versus
the coin for aesthetics, rarity, or other issues, thewhat they'll expect you to pay when you buy can
value of your bullion coins will fluctuate along withhelp you to make wise choices that will increase
the pricing of the precious metal comprising thethe value of your collection, while minimizing the
coinage. For example, as gold prices rise, the valuecosts to you.
of your gold bullion coins will also rise - typically