Morgan Silver Dollars are among the most popular collector and investment coins in the world. You can still buy Morgans at reasonable prices. Although the rarest coins in the best condition command huge prices, good coins can still be had for under $100. Not only are they a beautiful piece of American history, Morgan Dollars have shown dramatic increases in price during silver bull markets. The world is entering one now.

Collecting Morgan Silver dollars, like any hobby or investment, requires you do your homework to succeed. There are many factors that go into the price of collector coins, including dealer profit, dealer overhead, inflation, and increasing scarcity. The numbers of coins available in different mint marks and conditions vary greatly from year to year. Scarcity commands a higher price.

Morgan Silver Dollars Background

Although they are still fun to collect, Morgan Silver Dollars that have a numismatic grade below AU-50 or so, are not worth much more than the value of the silver content. There are exceptions for rare dates and mint marks.

You will find the coins minted at the Carson City, Nevada mint are particularly sought after and command a premium. However, the Morgans on the market today never circulated as coins in day-to-day use. Many more were produced in the 1800's than were needed in commerce. Most simply sat in large canvas bags in bank vaults.

Between 1978 and 1904 more than a half a billion Morgan Silver Dollars were minted. Three out of every four were melted down before they ever circulated! Most of the Morgans on the numismatic market today were released from Federal vaults after 1960. As a consequence, uncirculated Morgan Silver Dollars are the most common types.

Grading is a critical element of valuing Morgan dollars. Coin grading is an area where newcomers to the game can run serious risks.

An Excellent Reference Guide

Since most Morgans are in uncirculated condition, the most common dated in the mid-uncirculated grade, MS-63 can be had for $35 to $70 from honest dealers. These same coins can be flacked by telemarketers for as much as ten times that amount! To learn more, invest in a copy of The Official Red Book. For less then $15, you can have an excellent reference guide that will save you many times its price! Till then, you are safest investing in professionally graded coins in sealed holders.

Invest in the Best

The large number of Morgans available in uncirculated condition means that only the highest grades command large premiums. It is these coins that are the safest investments. Coins honestly and accurately graded at MS-65 and above have consistently outperformed the garden variety coins in MS-60 to 63. Invest in the highest grade Morgans you can afford.

Who Graded the Coin?

Always consider the source of the grade on the coin. The difference between a coin graded MS-63 and MS-65 doesn't sound like much, but it can be worth thousands of dollars. Grading standards are not perfectly uniform across the industry. The two oldest and most successful coin grading companies, PCGS and NGC, are consistently worth more than coins in slabs from other minor grading services with poorer reputations for accuracy in grading. PCGS and NGC have been able to standardize coin grading to an extent impossible in the early years of the trade. They have a reputation today for consistency and objectivity that translates to higher prices in the marketplace.

Store Your Own Coins

Always take delivery of your coins. Dealer promises of safe storage may or may not be true. Don't take a chance. If the dealer you are buying from can't deliver or seems overly eager to store your coins for you, find someone else. There are numerous options for coin storage they you control, from home safes to safe deposit boxes. Something built in and fireproof is best, but something you have control over is most important.