First of all, there are two different types of coins that you can discuss when talking about Silver Dollar Coin Value, in this article we are talking about numismatic grade coins, not bullion.
The value of numismatic coins is based on their collector value, rather than the intrinsic value of the weight of the precious metal it contains.
Supply and demand rules in all areas of investment.
Even more specifically I am going to talk about the value of the American Silver Eagle as a numismatic coin rather than it's bullion counterpart.
Another aspect of numismatic coinage is condition or what they call in the industry, "grade".
Coins are graded on a scale with 1 being the lowest and 70 designated as the "perfect" coin.
Mint State/uncirculated or Proof coins fall into the range of 60 to 70.
Unlike bullion coins, numismatic coins are not valued based on the amount of the precious metal contained, but solely on the price that a willing buyer will pay for the coin in an open competitive bid/ask system.
This is much like the art market where paintings sell to the highest bidder.
Unlike stocks or bonds, numismatic coins can be traded tax-free/tax-deferred, under the IRS like kind exchange rules.
So what determines Silver Dollar Coin value? As we are again, NOT, talking about bullion.
Silver Dollar Coin value is affected by grade, year and type.
One thing to note is a perfect coin (MS-70 or Mint State 70) is typically worth almost 3 times as much as it's MS-69 counterpart.
There is a premium value on perfect coins.
If you are wishing to secure graded and certified coins, you should only buy from the big three of coin certification companies which are PCGS, ANACS and NGC.
You can easily find out more about these companies by searching online.
ANACS is the oldest of the three but all three are good companies.
A silver dollar that I currently collect is the MS-70 American Silver Eagles.
They are the most collected silver coin ever and have a great track record but be sure to do your research before buying any coins.
The value of numismatic coins is based on their collector value, rather than the intrinsic value of the weight of the precious metal it contains.
Supply and demand rules in all areas of investment.
Even more specifically I am going to talk about the value of the American Silver Eagle as a numismatic coin rather than it's bullion counterpart.
Another aspect of numismatic coinage is condition or what they call in the industry, "grade".
Coins are graded on a scale with 1 being the lowest and 70 designated as the "perfect" coin.
Mint State/uncirculated or Proof coins fall into the range of 60 to 70.
Unlike bullion coins, numismatic coins are not valued based on the amount of the precious metal contained, but solely on the price that a willing buyer will pay for the coin in an open competitive bid/ask system.
This is much like the art market where paintings sell to the highest bidder.
Unlike stocks or bonds, numismatic coins can be traded tax-free/tax-deferred, under the IRS like kind exchange rules.
So what determines Silver Dollar Coin value? As we are again, NOT, talking about bullion.
Silver Dollar Coin value is affected by grade, year and type.
One thing to note is a perfect coin (MS-70 or Mint State 70) is typically worth almost 3 times as much as it's MS-69 counterpart.
There is a premium value on perfect coins.
If you are wishing to secure graded and certified coins, you should only buy from the big three of coin certification companies which are PCGS, ANACS and NGC.
You can easily find out more about these companies by searching online.
ANACS is the oldest of the three but all three are good companies.
A silver dollar that I currently collect is the MS-70 American Silver Eagles.
They are the most collected silver coin ever and have a great track record but be sure to do your research before buying any coins.
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