First graded coin ?

[R.BENKO]

I have a 1913 $2.50 gold Indian that I submitted for grading. The coin came back as AU DETAILS,

Removed from mount.  That tells me that it was in a piece of jewelry at on time either a ring or benzel. My question is what is the honest  value of this coin? It's easy if it received a numeral grade and looked at past eBay auctions to get an idea on its true worth But without receiving an actual numeral grade  it makes it difficult? I am purchasing this from a friend and want to give him a fair price as the coin really looks nice just to the eye. Any thoughts or opinions are greatly appreciated and welcomed.

[MarkFeld]

I think a fair price would be approximately $200.

[Matt_dac]

In my opinion it's worth $150 in gold/melt value (.12 ounce of gold and gold is $1255 per oz right now) and maybe a pinch more because the coin is a work of art.  I'm sorry your first foray into grading was a details coin, but better a $150+ coin than something much more expensive. 

[Raisethis2]

Something like this only has numismatic value above it's bullion value if it's high grade or a rarer date. The generic coins or details coins get clobbered in the marketplace. 

 

 

[MarkFeld]

1 hour ago, Raisethis2 said:

Something like this only has numismatic value above it's bullion value if it's high grade or a rarer date. The generic coins or details coins get clobbered in the marketplace. 

 

 

The coin in question is worth (roughly 30%) more than its bullion value, despite its condition. And with respect to ex-jewelry pieces, as a general rule, the smaller gold coin types are likely to trade at much higher percentage premiums to bullion,  than their larger gold coin counterparts.

[thebeav]

On the bright side, at least you know it's genuine. This was a commonly counterfeited type, with many of those counterfeits subsequently used in jewelry.

[KMAG100]

16 hours ago, thebeav said:

On the bright side, at least you know it's genuine. This was a commonly counterfeited type, with many of those counterfeits subsequently used in jewelry.

......That is always the positive I pull from "details" attributed coins.    

[BillJones]

This happens. I was looking at a piece I bought in 1987 and discovered that it had been mounted. I missed it back then, and the mark doesn't amount to much, but it's there.

[USAuPzlBxBob]

On 3/28/2017 at 6:34 PM, MarkFeld said:

The coin in question is worth (roughly 30%) more than its bullion value, despite its condition. And with respect to ex-jewelry pieces, as a general rule, the smaller gold coin types are likely to trade at much higher percentage premiums to bullion,  than their larger gold coin counterparts.

What is the reason for ex-jewelry pieces trading at much higher percentage premiums?  They're bought to eventually head back into jewelry pieces?

[MarkFeld]

1 hour ago, USAuPzlBxBob said:

What is the reason for ex-jewelry pieces trading at much higher percentage premiums?  They're bought to eventually head back into jewelry pieces?

I don't know, but will see if I can get an answer for you - if so, it will be next week.

[BillJones]

On ‎3‎/‎30‎/‎2017 at 9:50 PM, MarkFeld said:

I don't know, but will see if I can get an answer for you - if so, it will be next week.

I would say that it is the same reason that no problem smaller gold coins trade for higher premiums than their larger counterparts. For common date "generic gold," the bullion value accounts for a large portion, usually well over 50% for $20 gold pieces, of the selling price.

[MarkFeld]

On 3/30/2017 at 7:30 PM, USAuPzlBxBob said:

What is the reason for ex-jewelry pieces trading at much higher percentage premiums?  They're bought to eventually head back into jewelry pieces?

Following up on this - I checked and the reason is that the supply of the lower denomination gold coins is typically a lot smaller than that of the larger ones. And the smaller ones are a lot more likely to be used in jewelry. So the short answer is "supply and demand". 

[USAuPzlBxBob]

Thanks everyone.

[lordmarcovan]

Yes, as mentioned, at least you know it's genuine and the holder will help establish that fact with others, should you sell it.