Just think, if you wanted to make $50,000 a year (as like a full-time job), if you were lucky enough to make 20% on every coin you sell, you’d have to sell $250,000 in coin value (and you’d have to buy all that for $200,000). And, there’s no assurance that you will sell everything you buy right away (or that you’d make a guaranteed 20%), either. And that’s not spending anything on a store front or table fees at shows, cases, travel (gas, lodging and meals at shows), shipping, grading fees, auction site fees, packing materials, insurance on your stuff, etc. 20% sounds great until you do the math. You gotta tie up a lot of capital for not so much profit dollars to make it a full time gig.
Exactly! You are 100% correct. It is very difficult to make money when the margins are that low and the expenses are so high. You have to sell such a high volume just to make a livable wage. The capital needed is also extremely high just like you mentioned and it takes time to sell coins and get a good return on them. Thank you for the feedback and for the great breakdown!
Great points Jadon. Now you have to factor in this huge flood of young Covid era vest pocket dealers combined with a declining market and all the sudden it’s really hard. In 2020-2022 the coins were bouncing from dealer to dealer going up in price each time. Now they have to sell the coin soon as they get it before it drops. Because of this and some personal goals I’m selling off again and rooting for a big drop in the market to 2019 prices. Once things settle down I plan to jump back in again. I can’t predict the future it’s only a guess but I think it’s what will happen…
I definitely think the market is softening. I don’t know if we will see prices go back to 2019 but I could see a lot of coins drop back to 2021 prices. It will be interesting to see what happens. I think if you want to sell the market is definitely still steady enough at the moment. Thank you for sharing your thoughts!
You make a lot of excellent points. Being a coin dealer today is all about inventory turnover and being in tune to the whims of the market. Dealers have to be highly capitalized these days too. Lots of risk. Lots of expenses too. Excellent Video!!
Thank you! Yes, it is definitely a tough business to get into these days. There are definitely some dealers here on RUclips who have figured it out and have reached a really large audience. This being said, I like the idea of just collecting coins and looking at it as a hobby and investment rather than an actual business opportunity.
Been collecting coins for about 50 years,I was about 9 when I started and still have my first coin collection of wheat,Buffalo and mercury dimes.Have sold quite a few coins over the years,mostly to make money to buy other coins I may not have,just a fun and enjoyable hobby and also a good investment over time or I mean many years.Great video and keep doing what you love doing and in time you will reap profit from your investments.
Thank you for the feedback! I completely agree with you. Coin collecting is definitely a good investment in the long run and having the enjoyment of the hobby itself is the best part:)
That is definitely true! If you don’t have a good bank roll then you won’t be able to get the inventory needed to make good money. That’s why it’s so difficult to get into the business of buying and selling coins.
Its a good side hustle with income promised by another stream. The market has dropped since October with sales and PQ inventory going stale. I had a 1851 O trime not sell for over half a year with $500 in it and it definitely slowed my other buys. Do it for a hobby and buy up a flip opportunity when you see it.
Yes, I agree! It’s best to be into coins as a hobby first and if there is a really good deal on a coin you want to flip then you can buy to sell. It’s a tough way to make a living but I love coin collecting as a hobby and long term investment.
Feast or famine. I have never doubled my money unless my lcs gave me a super great deal because he doesn’t care for old anacs holder’s and I got a price for the Coin -1 grade than what anacs gave it. I would never want to try to make a living. Sometimes it’s to get rid of duplicate coins and help purchase other’s for my addiction ;) But yeah that would be a difficult task as a sole profession.
I agree! I think it’s definitely better to get into coins as a hobby first and maybe sell later on down the road for possibly retirement. I enjoy coin collecting but being a dealer is extremely difficult and time consuming and the margins are just too low if you do it the ethical way.
Knowledgeable numismatists - both collectors and dealers - can vary greatly in their offers to buy a particular coin, depending on their personal evaluation, and regardless of whether it’s certified or raw. If you buy without personally examining a coin beforehand, you will not be successful in this industry / hobby, I can assure you of that. And it’s not unusual at all for dealers to make a 100% profit on an item they’re selling - or even more.
Thank you for the feedback. I get what you are saying by looking at a coin in hand before buying can really make a difference. That is also a big expense for dealers because they either need a brick and mortar store or have to travel around their area to coin shows and pay for a table. I’ve just noticed from my experience that it seems to be difficult to make a high margin of profit on coins in general. There are those rare instances where you can double your money on a coin if you search hard enough but they are definitely few and far between. You can definitely make a living as a coin dealer but it is difficult unless you are able to build up a really good supply and network of clients.
Totally agree with you. Briefly held collectable coins seldom have a net-positive buy-sell ratio. One way to increase the chance to make money is to cherry pick for variants, but you need to be sharp and determined to make that work frequently. Good discussion, and love that proof Morgan.
@@ericdelmar2618 yes! I do think if you buy coins and hold them as an investment, you can make money in the long run but it’s definitely tough to do quick flips for big profits. Cherry picking is definitely a good way to make more but you have to find that collector who wants the particular error/variety to get good money for the coin.
TIME TIMING SELECTION I agree 100% I auction silver & gold coins now since 2017 & there is some profit after fees, however i began purchasing from 2015. Multiple revenue sources especially near passive income probably requires time & $ revenue
Yes! You can make money but it takes a lot of time and resources and the payoff is not usually worth it. It’s best just to collect and hold coins as an investment and sell off some when the time is right.
Just think, if you wanted to make $50,000 a year (as like a full-time job), if you were lucky enough to make 20% on every coin you sell, you’d have to sell $250,000 in coin value (and you’d have to buy all that for $200,000). And, there’s no assurance that you will sell everything you buy right away (or that you’d make a guaranteed 20%), either. And that’s not spending anything on a store front or table fees at shows, cases, travel (gas, lodging and meals at shows), shipping, grading fees, auction site fees, packing materials, insurance on your stuff, etc. 20% sounds great until you do the math. You gotta tie up a lot of capital for not so much profit dollars to make it a full time gig.
Exactly! You are 100% correct. It is very difficult to make money when the margins are that low and the expenses are so high. You have to sell such a high volume just to make a livable wage. The capital needed is also extremely high just like you mentioned and it takes time to sell coins and get a good return on them. Thank you for the feedback and for the great breakdown!
Great thoughts
Big like number 14! Excellent video and thank you so much for sharing!
Thank you for the support!
Interesting facts and figures for the novice. Thank You!
Im glad I could help. Thanks for watching!
Great points Jadon. Now you have to factor in this huge flood of young Covid era vest pocket dealers combined with a declining market and all the sudden it’s really hard. In 2020-2022 the coins were bouncing from dealer to dealer going up in price each time. Now they have to sell the coin soon as they get it before it drops. Because of this and some personal goals I’m selling off again and rooting for a big drop in the market to 2019 prices. Once things settle down I plan to jump back in again. I can’t predict the future it’s only a guess but I think it’s what will happen…
I think you are right. I've been looking for a correction in the collecting market for a long time. 2024 might be the year.
I definitely think the market is softening. I don’t know if we will see prices go back to 2019 but I could see a lot of coins drop back to 2021 prices. It will be interesting to see what happens. I think if you want to sell the market is definitely still steady enough at the moment. Thank you for sharing your thoughts!
You make a lot of excellent points. Being a coin dealer today is all about inventory turnover and being in tune to the whims of the market. Dealers have to be highly capitalized these days too. Lots of risk. Lots of expenses too. Excellent Video!!
Thank you! Yes, it is definitely a tough business to get into these days. There are definitely some dealers here on RUclips who have figured it out and have reached a really large audience. This being said, I like the idea of just collecting coins and looking at it as a hobby and investment rather than an actual business opportunity.
@@jadonnoble5621 Well said!
Great Video
Thanks for watching!
Been collecting coins for about 50 years,I was about 9 when I started and still have my first coin collection of wheat,Buffalo and mercury dimes.Have sold quite a few coins over the years,mostly to make money to buy other coins I may not have,just a fun and enjoyable hobby and also a good investment over time or I mean many years.Great video and keep doing what you love doing and in time you will reap profit from your investments.
Thank you for the feedback! I completely agree with you. Coin collecting is definitely a good investment in the long run and having the enjoyment of the hobby itself is the best part:)
Yep it is,i always get excited about getting that one coin im looking for,while my wife rolls her eyes and buys a new purse,lol@@jadonnoble5621
Yep it is,always get that excitement when I get a new coin I'm wanting,my wife will roll her eyes and buy a new purse,lol.
Hi Jadon. In the coin business, the old adage is literally true. You need money to make money. Have a wonderful weekend, My Friend.
That is definitely true! If you don’t have a good bank roll then you won’t be able to get the inventory needed to make good money. That’s why it’s so difficult to get into the business of buying and selling coins.
Its a good side hustle with income promised by another stream. The market has dropped since October with sales and PQ inventory going stale. I had a 1851 O trime not sell for over half a year with $500 in it and it definitely slowed my other buys. Do it for a hobby and buy up a flip opportunity when you see it.
Yes, I agree! It’s best to be into coins as a hobby first and if there is a really good deal on a coin you want to flip then you can buy to sell. It’s a tough way to make a living but I love coin collecting as a hobby and long term investment.
@@jadonnoble5621 two peas in a pod
Feast or famine. I have never doubled my money unless my lcs gave me a super great deal because he doesn’t care for old anacs holder’s and I got a price for the Coin -1 grade than what anacs gave it. I would never want to try to make a living. Sometimes it’s to get rid of duplicate coins and help purchase other’s for my addiction ;) But yeah that would be a difficult task as a sole profession.
I agree! I think it’s definitely better to get into coins as a hobby first and maybe sell later on down the road for possibly retirement. I enjoy coin collecting but being a dealer is extremely difficult and time consuming and the margins are just too low if you do it the ethical way.
Knowledgeable numismatists - both collectors and dealers - can vary greatly in their offers to buy a particular coin, depending on their personal evaluation, and regardless of whether it’s certified or raw. If you buy without personally examining a coin beforehand, you will not be successful in this industry / hobby, I can assure you of that. And it’s not unusual at all for dealers to make a 100% profit on an item they’re selling - or even more.
Thank you for the feedback. I get what you are saying by looking at a coin in hand before buying can really make a difference. That is also a big expense for dealers because they either need a brick and mortar store or have to travel around their area to coin shows and pay for a table. I’ve just noticed from my experience that it seems to be difficult to make a high margin of profit on coins in general. There are those rare instances where you can double your money on a coin if you search hard enough but they are definitely few and far between. You can definitely make a living as a coin dealer but it is difficult unless you are able to build up a really good supply and network of clients.
Totally agree with you. Briefly held collectable coins seldom have a net-positive buy-sell ratio. One way to increase the chance to make money is to cherry pick for variants, but you need to be sharp and determined to make that work frequently. Good discussion, and love that proof Morgan.
@@ericdelmar2618 yes! I do think if you buy coins and hold them as an investment, you can make money in the long run but it’s definitely tough to do quick flips for big profits. Cherry picking is definitely a good way to make more but you have to find that collector who wants the particular error/variety to get good money for the coin.
TIME TIMING SELECTION I agree 100% I auction silver & gold coins now since 2017 & there is some profit after fees, however i began purchasing from 2015. Multiple revenue sources especially near passive income probably requires time & $ revenue
Yes! You can make money but it takes a lot of time and resources and the payoff is not usually worth it. It’s best just to collect and hold coins as an investment and sell off some when the time is right.