trading 20x 40% for 2x 1oz silver coins. deal or bad deal?

[Liu21]

i made a post on craigslist and i got an offer. the person said he knows he got one maple leaf, but will have to go home and check to see what else he has for trade. he is also buying a 2nd roll for 45$ Do you guys think this is a fair trade for both party?

 

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[Red James Cash]

keep the coins,you might need them.Makes it easier to barter with.

 

[TheMastermind]

You're giving up a larger amount of silver (20 40%ers = ~2.95 ozt) to get a smaller amount back (2 ozt) that may or may not command a premium.

I wouldn't do it, but if you're happy with the outcome go for it.

 

[Avago]

You'd be paying 2.95oz of silver to get 2oz of silver... That's a high premium in my opinion, even though 40% command a lower or non-existent premium. I was able to trade 75 40% for a 10oz bar on Craigs, meaning I paid 11.09oz for 10oz.

You would probably be better off selling both rolls of 40% for $45 each and then going to your LCS for some generic rounds. If your LCS charges $1.50 over spot for generic rounds, with that $90 you could buy 5.02oz at the cost of 5.91oz in the 40% you sold. More bang for your 1oz of premium.

 

[Liu21]

I've thought about selling for all cash, but I give in NYC, and Coins shops are nearly non existence. If they do the premiums are over the top. I've been to a small shop in China town, that shares a 8x5ft section among other jewelry shops.. The listed price for a 2015 ASE was 25$!. Im waiting for the person to get home later today to text me what other coins he has. If i do not like any of his offers, I can just sell him a roll for 45$.

 

[MIhunter]

I don't see the value in trading one type of silver for another.
I am aware of the premium on ASE, Canadian maple leafs, etc but you are ending up with less silver.
If you want to hang on to silver, to see if the price rises, than you will do better with nearly 3oz of silver (in the form of 40% halves) than 2 oz (of 0.999 silver coins.)
If you are trying to diversify than sell for cash and buy another type of investment.

 

[Avago]

I don't see the value in trading one type of silver for another.
I am aware of the premium on ASE, Canadian maple leafs, etc but you are ending up with less silver.
If you want to hang on to silver, to see if the price rises, than you will do better with nearly 3oz of silver (in the form of 40% halves) than 2 oz (of 0.999 silver coins.)

This is also a good argument. There are only a couple problems that I see... one .999 round takes up significantly less space than seven 40%s, so for storage convenience having the .999 makes sense. Also, everyone's wants/needs are different. Some collectors just prefer to stack bullion over junk and vice versa. Finally, our CRH silver is basically found money, so I don't see the issue in sacrificing a little of the gains to get something you want or need.

Whether or not it makes sense to trade is not absolute.

 

[ArkieBassMan]

In any trade, if both parties are happy, then its a good deal...regardless of what was traded for what.

 

[BuffaloBoy]

I am not going to tell you what to do, but I can sell my 40%ers for92% of their melt value all day long, and get even more if I tried harder. 1 oz rounds only sell for a few bucks above spot IF THAT.
Do what makes you happy.

 

[Liu21]

Thanks for all the advice, I am having second thoughts now, especially when i went over the coins last night.

 

[MIhunter]

This is also a good argument. There are only a couple problems that I see... one .999 round takes up significantly less space than seven 40%s, so for storage convenience having the .999 makes sense. Also, everyone's wants/needs are different. Some collectors just prefer to stack bullion over junk and vice versa. Finally, our CRH silver is basically found money, so I don't see the issue in sacrificing a little of the gains to get something you want or need.

Whether or not it makes sense to trade is not absolute.

ah.... the old storage argument
Well you are going to pay a lot for that space.....
If one is REALLY that tight for space, I would suggest buying gold

I wasn't trying to argue 'wants" and "needs" but to say that it will cost to convert 40% halves to 0.999 rounds/bars and that it doesn't make financial sense.
Ultimately it is your silver to do what you please with it.

The most important thing is that your heirs need to know the following:
UNDER NO CIRCUMSTANCES, TAKE THESE COINS TO THE BANK AND CASH THEM IN FOR FACE VALUE!!

 

[CincinnatiKid]

These days, folks don't want to take time doing the math.
Sterling is even unwanted?
Buy bullion.
Peace ✌

 

[fistfulladirt]

Considering that we used to throw the 40% back, I'd say deal -

 

[CW3(ret) US Army]

i made a post on craigslist and i got an offer. the person said he knows he got one maple leaf, but will have to go home and check to see what else he has for trade. he is also buying a 2nd roll for 45$ Do you guys think this is a fair trade for both party?

As far as I'm concerned trading almost 3 ozs of silver for 2 ozs of silver isn't a smart move. After all you're not the govt & after a while you would go broke doing deficit spending (lol). In the end it's up to you to decide if this is a good deal for you or not.
HH
Gary