1808 $5.00 PCGS AU53 CAC

BD-3. Rarity-4. Normal 5D. Struck from clashed dies. This is the second 1808 half eagle in PCGS AU53 with CAC approval that I've handled since ANA; the last one sold quickly and was the slightly more common BD-4 variety. This piece is very lustrous with light, even wear that is most noticeable in the obverse fields. There is enough body remaining to consider this coin at an AU55 grade but there are just a few too many very light ticks in the fields. The strike is sharp with full detail at the centers and borders; the surfaces lack any adjustment marks. Another handsome example and good value at under $10,000.

1877-CC $20.00 PCGS MS62

In the early 1990's, a small group of high quality 1877-CC Carson City double eagles was found overseas and repatriated to the United States. They were sold mostly in the Bowers and Merena Stetson auction in 1993 and the present example, I believe, is from this group. It is tied with a small number of other coins as the single highest graded example of this date and it is certainly one of the finest--if not the finest--1877-CC available to collectors. The best feature of this coin is its superb natural deep orange-gold color which is accentuated by darker highlights on the relief areas of the obverse and, to a lesser degree, on the reverse. There are a few light scuffs on Liberty's face and neck; the central reverse shows some abrasions and there is a scrape right below the mintmark that serves as identification. With the popularity of Carson City double eagles reaching an all-time high, coins like this become more and more in demand.

1800 $5.00 PCGS MS62 CAC

BD-5, High Rarity-3. Terminal reverse die state with cracks as shown on the BD plate coin. I've always thought that this issue had a highness "coolness factor" due to the fact that it is the first half eagle produced in the 19th century. As a date, the 1800 is underrated in all grades and it becomes really scarce in MS62 and rare in MS63 and above. This coin is exceptional for the date with light green-gold color atop reflective, slightly PL surfaces; the reverse is a bit more frosty in texture. Both sides show just a few marks consistent with the grade and the strike is sharp except for the absolute center of the obverse; a characteristic seen on all examples of this die variety. As I have written before, MS62 is a great value point for early half eagles as coins in this grade are generally nice but priced considerable lower than those in MS63 holders. This 1800 half eagle would make a great type example for the collector searching for a high quality Capped Bust Right half eagle.

1872-CC $20.00 PCGS EF45 CAC

This is one of the few really nice examples of this date that I have seen in an EF45 holder; most are overgraded, overdipped and overabraded. The surfaces are extremely clean with limited abrasions and attractive medium natural green-gold color. The 1872-CC is the first double eagle from this mint that can be acquired by the collector of average means. It is comparable to the 1873-CC but it is a touch more available in higher grades. I rank it as the fifth rarest of nineteen CC double eagles in terms of high grade rarity. This issue becomes pricey in AU grades and, to my eyes, this choice EF example has better eye appeal than most graded AU50 or even AU53.

How to Add Value to Your Early Gold Collection

You can make random purchases of early United States gold coins and, if you are lucky, you might acquire some nice pieces as time passes. But if you follow some of these suggestions and formulate a game-plan, my guess is that you will have a better grasp of what is (and what isn't) good value in the area of United States gold produced between 1795 and 1834. As someone who handles a bunch of early gold, I have established some personal parameters that guide nearly all of my purchases. I'd like to share them with you.

When it comes to early gold, most of my purchases revolve around the concept of value. Buy/sell spreads tend to be very tight in many early gold series. As an example, a nice mid to high range half eagle from the early 1800's might be worth $9,500 to buy and $10,000 to sell. I am always looking for the coin of this type that is still OK to buy at $9,500 but which can be sold, fairly, for $10,500 or even $11,000.

On certain very rare early gold issues, the concept of buy/sell spreads and value get thrown out the window and "rarity" becomes the key issue. How do you figure the price of an issue of which 30 exist in all grades and only two have traded at auction in the past five or six years? I'll answer this question and many others in the paragraphs below.

1. Buy Coins From the 18th Century. I know this seems somewhat simplistic but a 1799 eagle, while common, just seems "older" than an 1801 or 1803 (two comparable dates). The fact that it is an 18th century coin just gives it an inherent coolness factor that is lacking on most 19th century issues.

Many of the 18th century gold issues are quite rare and are out of the price range of most collectors. But there are others that are not priced at all that much more than comparable 19the century issues. This list includes the 1798 Large 8 13 Star reverse half eagle, the 1799 half eagle and, of course, the 1799 eagle. An issue that is harder to find in affordable grades but which is not extremely expensive is the 1798 quarter eagle.

2. Cherrypick Tough Varieties. Variety collecting of early gold remains in its infancy and it isn't likely to ever approach the status of Capped Bust half dollars or early Large Cents due to the high price per coin factor.

That said, there are some very rare die varieties that can be found in the half eagle and eagle series; often times for little or no premium. I'd suggest buying a copy of the Bass-Dannreuther book and becoming familiar with the multiple varieties of coins such as 1799 half eagles and eagles or 1806 half eagles.

At this point in time, there are no real premiums for any varieties that are R-5 or lower. Coins that are R-6 are probably worth around a 5-10% premium and this seems like good value for the collector. Coins that are R-7 are currently realizing a 10-20% premium. It is possible that an R-7 early half eagle or eagle could have a 50% premium sometime in the future, although I'd suggest to the collector that he not pay this sort of premium right now.

3. Buy in the Best Value Grades: AU58 and MS62. Depending on your budget and personal preferences, AU58 and MS62 are often the best value grades in early gold.

For common dates and rarities alike, it is hard to go wrong with a lustrous slider AU58. Many early gold coins age handsomely and just a little bit of wear on the high spots seems to add character. The price levels for common date early half eagles and eagles in AU58 also makes sense. These coins often don't sell for large premium over AU53's and AU55's. As an example, the current pricing for common Bust Right half eagle is around $9,500 for an AU53, $10,500 for an AU55, and $11,500 for an AU58. At a 20-25% premium over an AU53, an AU58 just seems like good value to me.

If you prefer Uncirculated coins, I suggest pieces graded MS62. In early gold, many coins in MS60 and MS61 holders are "rubby" and appear worn. MS62 coins are typically truly "new" and have good eye appeal, color and surfaces. The price differential between an MS62 Bust Right half eagle and an MS63 can be substantial; a 1799 eagle in MS62 will run you around $35,000-40,000 while an MS63 should cost $60,000-70,000. In many cases, there won't be $30,000 worth of difference, visually, between a coin in a 62 holder and one graded MS63.

4. Don't "Overbuy" Common Dates: If you are putting together a date run of early gold coins, it is easy to "overbuy" the common issues. I think this is a mistake.

What I mean is buying a coin like an 1806 Round Top 6 half eagle in MS65 as opposed to MS62, MS63 or even MS64. If you can find one, a Gem is going to cost you $125,000+. That doesn't seem like great value to me.

There are exceptions. If you are collecting early gold by type, looking for one really great coin makes sense. At the recent Chicago ANA, I saw no less than three MS64 1799 eagles and they were all exceptional coins. Yes, they were expensive (ranging in price from the mid 100's to the low 200's) but they made sense for the collector looking for one scintillating Capped Bust Right Heraldic Eagle ten dollar gold piece.

5. Buy CAC Coins I tend to like CAC approved early gold better than non-CAC coins. CAC does a good job distinguishing original, nice early gold from average quality, processed pieces and I think the 5-15% premium that these coins sell for is more than worth it for the average collector.

In the recent Stack's Bowers and Heritage sales, there were a lot of early gold coins, and the pieces with CAC stickers (or the ones that I thought would sticker if sent to CAC) generally brought higher prices than their sticker-less counterparts.

Good rule of thumb: unless you are extremely comfortable with your grading skills, stick with CAC approved early gold coins in most instances.

6. Look For Coins That Are Original. It is becoming harder and harder to find early gold coins, in all price ranges, that are original. In spite of this, the premiums for coins with lovely original color are not nearly as great as you might think they are.

Case in point: at the recent ANA show I sold a superb, beautifully toned 1805 half eagle in AU58 to a collector for $11,500. At the same show I wholesaled a totally unoriginal heavily processed 1803/2 for $10,500. The difference in quality between the two coins was astronomical, but at a $1,000 premium, the 1805 just seems like exceptionally good value.

As you view early gold more and more, you'll learn that certain issues are incredibly hard to find with original color and surfaces. As an example, there are hardly any 1796 No Stars quarter eagles left with rich natural color, and an AU50 example that was untouched and original should, in theory, be worth a 25-35+% premium over a typical schlocky AU50 coin.

7. Learn the Undervalued Dates. In all three denominations of early gold, there are dates that are undervalued. The savvy collector can take the time to learn them; or he can continue to the next paragraph and let me do the work for him...

In the quarter eagle series, the dates that I feel are undervalued include the 1798, 1806/4, 1826/5, and 1833.

The early half eagles that I find to be undervalued include the 1798 Small 8, 1799 Large Reverse Stars, 1800, and 1806 Pointed 6.

I don't think that at current levels any of the early eagles are undervalued but a case can be made that the 1797 Small Eagle and 1798 9+4 stars are both good values if you can find examples that are choice, original and priced anywhere near current published levels.

8. Buy Interesting Naked Eye Varieties. There are numerous interesting naked eye varieties in the various early gold series that do not necessarily command a premium but which have enough of a coolness factor that I think they are good value.

One that I can think of right off the back is the 1804 half eagle with a Small 8 punched over a Large 8. This variety sells for no premium over the 1804 Small 8 but if you have seen it in person, you know that it is really interesting.

Another variety that I find very interesting is the 1795 half eagle with the second S in STATES punched over a D. Its not rare but I will almost always buy one if I see it for sale because I like the variety so much.

I think that all early gold that is overdated falls into this category. While some "overdates" like the 1802/1 and 1826/5 quarter eagles have been debunked, others like the 1802/1 and 1803/2 half eagles are very impressive from a visual standpoint and carry no premium over other less interesting dates of this era.

9. Put Together Mini-Sets. If you are going to purchase a few different early gold coins, why not do a small thematic set?

The most obvious set is a three coin denominational group, including a quarter eagle, half eagle and eagle.

Or, you could do a year set. The years in which all three denominations were produced were 1796, 1797, 1798, and 1804.

A "first and last year" set would include quarter eagles dated 1796 and 1834; half eagles dated 1795 and 1834; and eagles dated 1795 and 1804.

Most people collect early gold more traditionally, choosing to either do date sets or type sets.

Collecting early gold is one of the most challenging and entertaining areas in all of American numismatics. It takes a pretty hefty checkbook to do it seriously, but collectors of average means can dabble and buy the occasional coin that is really special. Do you collect early gold? What are your "tricks of the trade?" Let me know what they are and let's begin an early gold discussion in the comment section of this article.

Was This 1875 $10.00 Worth $345,000?

With more than $75 million dollars in rare coins having sold at the pre-ANA and ANA auctions, it is inevitable that some amazing individual pieces might have been lost in the shuffle. One coin that hasn't received much publicity is the 1875 eagle in the Stack's-Bowers sale (lot 7732 and graded AU-53+ by PCGS) that brought $345,000.

As far as I know, this is by far a record price for the 1875 eagle at auction, and I believe it is also an all-time record price for any business strike Liberty Head eagle.

Was this coin a good value?

When I first saw that this coin was reserved at $300,000 (meaning that you had to bid at least this amount, plus the 15% buyers premium) I was pretty aghast. This exact coin, then graded AU53 by NGC, had last sold for $41,400 in the Heritage 2001 ANA and the last auction trade of relevance was $74,750 for an NGC AU55 in the DLRC Richmond I sale of July 2004. My initial reaction was, "this coin will never sell and the consignor is being unrealistic."

But A LOT has changed in the coin market since 2001 and 2004. For one, the formerly-unpopular Liberty Head eagle series has become a collector favorite. I have written in the past that it only takes a small number of wealthy, passionate collectors to turn a formerly-overlooked series into one that is "hot." And this is exactly what has happened with Ten Libs. In a few minutes I made a quick 180 degree turn from "it will never sell" to "hmmm...it might actually sell."

Before we discuss the market for the 1875 eagle, I think its a good idea to talk a little about the issue itself.

With a mintage of just 100 business strikes, the 1875 is the undisputed key to the series. I believe that fewer than ten business strikes are known. Most of the 1875 eagles, like the one is the Stack's-Bowers sale, aren't especially attractive. This date tends to come with heavily abraded surfaces and since all the known examples are prooflike, these marks tend to be magnified. And this is further compounded by the fact that most 1875 eagles have been cleaned or dipped and do not have nice, warm color.

Here's another way of thinking about this issue. Let's say there are actually nine business strikes known. Of these nine, at least six or seven are off the market in tightly-held collections. This suddenly leaves us with maybe two or three examples that might be for sale. Of these two or three, at least one is going to be a coin that even by the standards of this date is going to be ugly enough that a wealthy collector will not want to use it to fill a hole in his set. That leaves serious collectors of Liberty Head eagles with very few chances to purchase the "right" coin.

Which is why this 1875 was being sold at a perfect time.

There were a few others factors working in this coin's favor. For one, it was in a PCGS holder and any of the Registry Set collectors thinking about this coin would have preferred it to its previous NGC holder. Secondly, it was a "+" coin, meaning that the graders thought it was above-average quality for the grade. I'd have to agree with them. For an 1875 eagle in AU53 it was actually a decent coin (though certainly not a "pretty" one in the true sense of the word) and I don't think the grade was pushed because of the Great Rarity factor.

The major factor was timing. Selling it at the ANA was a good decision and there was the X factor of wealthy collectors looking for places to put their money in these uncertain times.

But I think the numismatic significance of this sale is not fully appreciated by many dealers and collectors.

Only recently, circulated rare date 19th century gold coins were popular issues but they were never really the "big buck" coins that 18th and 20th century issues--typically in high grades--were. Until recently, the rap on coins like the 1875 eagle were that although they were really rare, collectors weren't sophisticated enough to pay huge premiums for rarity over condition. There were exceptions to this maxim (the 1854-O, 1856-O and 1870-CC double eagles, for starters) but these exceptions were almost always big, popular coins like double eagles.

I think the argument for rarity over condition grew louder a few years ago when coins like the 1854-S quarter eagle began to sell for $250,000+ in EF grades.

You can make the case that the 1875 eagle is a "better" coin than the 1854-S quarter eagle for a number of reasons. Firstly, its rarer. There are as many as 15 examples of the latter known and many are in wretched condition. Secondly, the 1854-S is a smaller coin, size-wise, and, as we all know, size does matter when it comes to value. Thirdly, the Liberty Head eagle series is probably more popular with collectors at this point in time than the quarter eagles of this design.

Coincidentally, in the same Stack's-Bowers sale there was a no-grade example of the 1854-S. It wasn't a "sort-of" no-grade; it was a total, absolute no-grade, and it still brought $201,250.

Using this sale as a measuring stick, I think the 1875 eagle was good value.

If that's not a compelling enough argument for the 1875 eagle, then how about this? In the Stack's-Bowers sale there was a Proof 1975-S "No S" Dime that sold for $345,000. It is (currently) a major modern rarity with just two known and its the first one ever to come up for sale.

But its a frickin' Roosevelt Dime...and a coin that half the dealers at the ANA (myself included) probably wouldn't have been "smart" enough to have paid $25,000 for if it had walked up to our table(s).

Using that sale as a measuring stick, the 1875 eagle might have been more than a good deal; it might have been a great one.

I remember talking to David hall a few years ago about the 1875 eagle. He was still collecting this series and he hadn't yet purchased this date. I remember him asking me what I thought he'd have to pay for one (I think I said around $100,000 at the time) and I remember him, presciently, asking me, "Why isn't this a half a million dollar coin?"

His question seemed sort of goofy then. It seems really smart now.

1806/4 8x5 Stars $2.50 PCGS AU55 CAC

BD-1, High R-4/Low R-5. It is believed that fewer than 100 examples of this variety are known from an original mintage of just 1,136. The 1806/4 quarter eagle is rare in all grades and the few high quality examples known (other than this one) are off the market in tightly-held collections. This piece is amongst the most attractive circulated early quarter eagles that I can recall having seen. It is very lustrous and shows little in the way of actual wear. Some weakness of strike at the centers is typical for the issue and even the six to eight known Uncirculated 1806/4 quarter eagles show a similar lack of detail, especially at the central reverse. The color of this coin is superb with deep yellow-gold color accentuated by splashes of red on the obverse and deeper, more even orange-gold on the reverse. There is an old, well-hidden scrape on the obverse that is located at Liberty's ear but it is almost impossible to see without a glass. This date is many times more rare than the 1802, 1804 14 star, the 1805 and 1807 yet it doesn't bring the premium it should have. I have long thought that this was amongst the most undervalued of all early quarter eagles and nearly all known circulated examples have been cleaned or processed. If you have been looking for a special piece of early gold to salt away, I'd give this wonderful 1806/4 quarter eagle some serious consideration.

Ex Heritage 7/2008: 1463 ($27,600), Ed Price collection.

Some Post-ANA Show Thoughts

You've no doubt read a dozen ANA Show Reports already and I swore I'd never write one again. But I did want to give some thoughts about the recently-concluded ANA show in Rosemont as I think a good understanding of what happened there is essential to understanding the market. I had a very good show. Not a "great" show or an "all-time" one as I've read a few people write. But I can summarize the show with two statements. First, I wrote so many invoices (from buying and selling) that I ran out of them on Thursday and had to creatively make new ones on a Xerox machine. I've only run out of invoices one other time in 30+ years of going to coin shows.

Secondly, I generally don't put my new purchases out in the case at shows and offer them for sale. I figure that they will sell on my website when I get back home and that giving everyone an equal "shot" ay my newps is the fair thing to do. I made the decision to put them all out in my cases on Wednesday because, quite frankly, they were selling so well. By Friday morning, I had sold so many new purchases at the show that I decided to quietly put many of them away in the safe so I could come home with good coins to sell on the site.

The show itself was an epic. I was there for eight days and I know some dealers were there for 10 or 11. By Thursday, most of the dealers were absolutely exhausted (I know I was) and it proved to me that, as a collector, if you come too late to an ANA show you might as well not come at all.

It was huge as well. I don't know if it was the biggest convention hall I've ever been in for a coin show but I know I walked an average of six or seven miles a day and that there were nooks and crannies of the room that, by Friday, I still had not made it to.

In fact, the room was so huge that it was difficult to figure how crowded the room actually was. My impression was that the show was "fantastic" from a wholesale standpoint but only "good" from a retail standpoint. I sold quite a few interesting gold coins to collectors at the show but it tended to be to pre-existing clients and mostly coins under $5,000.

I had a feeling that there would be good buying opportunities for dealers at the ANA and I was not disappointed. I spent the most at this show that I have at an ANA since 2006 and I loved what I was able to buy. As usual, I bought coins in small groups; one here and one there. Very few dealers had "deals" or collections to break up; the days of the ANA show being THE source for great coins is over. Today, many of the fresh coins find theirway to auction.

There were two massive auctions in conjunction with the show. The Heritage sale was held prior to the regular ANA and it was more interesting for non-gold than gold. That said, prices were extremely strong and most dealers I spoke to had the same success rate with their bids: they generally bought less than a quarter of the lots that they bid on and what they did buy was invariably at their absolute top bid.

I thought the Stack's-Bowers sale was going to be a better opportunity to buy in for a number of reasons. The sale was huge and I thought it was possible that some coins would fall through the cracks. There were a ton of fresh coins including many that had been off the market since the early to mid-1980's. Most importantly, Stack's-Bowers doesn't have the retail bidding that Heritage has (yet) and I figured that I might not have to compete with end users on every last coin.

Prices in the Stack's-Bowers sale ran the gamut. There were some good deals, some coins sold for the "right" price and a number of the really high end, really fresh coins brought a fortune. I do think that Stack's-Bowers made a real statement to Heritage regarding their viability as a competitor. The auction business needs competition and two strong companies is better, in the long run, than just one.

I've been a big supporter of CAC since it began (disclosure notice: I am a shareholder in the company) and I noticed more collectors asking for CAC approved coins than I can remember. Amongst dealers, CAC still has a mixed reaction. Honestly, it seems to me that the dealers who are real connoisseurs sell CAC coins and the dealers who don't have a good eye don't bother. I have the feeling that after a dealer has sent fifty coins to CAC for stickering and had a 15% or lower success rate, he or she probably just gives up. It takes a really good eye to have a 50% or 75% success rate.

One thing that disappointed me about the show was the lack of interesting fresh material from the public that I was offered. Perhaps all the great gold coins went somewhere else but this wasn't a show where I was able to buy Proof gold coins or cherry, original branch mint gold as I have in many of the past ANA events.

While I hated the fact that we were trapped in the suburbs for a week, Rosemont is clearly a good location given the fact that it is convenient to nearly every location (except Portland, of course...). It helped that the weather was gorgeous, and my hotel was lovely. However, I ate so often at Gibson's across from the convention that I was on a first-name basis with the waiters by Thursday.

I finished the show with a nice event: the bi-annual meeting of the 20th century Gold Coin collector's club. (Held, of course, at Gibson's...) I generally don't go for numismatic schmoozing but this is a great group of collectors and dealers and interacting with everyone there is a blast. The featured speaker was dealer Kevin Lipton who told his numismatic life-story, in progress, from the 1970's to the present. Kevin is exactly the same age as I am and grew up in the same part of the country, so it was fun listening to him tell stories about shows on the east coast back in the day.

If we had a chance to get together at the ANA show, thanks. I saw so many people and had so many conversations that its all a blur at this point. A quick note: I have posted many new purchases from the show on my website and invite you to take a look at what I bought; they can be found at www.raregoldcoins.com.

1859-D $1.00 NGC AU50

Evenly worn with pleasing medium to deep natural coloration on the obverse and the reverse. The strike is typical for the issue with some weakness at the centers but all of the details are defined except for the bow knot. The surfaces are especially clean which is uncommon for this issue. The 1859-D tends to be found in either very low grades or higher grades (AU55 and above) making it a hard issue for the collector on an average budget to acquire. This is a really solid example that would fit nicely into a date set of D mint gold dollars.