75th Anniversary San Francisco Silver Eagle Set

UPDATE: The US Mint has started taking orders, and will do so for one month (June 7 through July 5). Mintage will depend on how many are ordered. For me, this is problematic. If I don’t know the mintage beforehand, I can’t gauge the value. At $149, the 2012 American Eagle San Francisco Two-Coin Silver Proof Set is too risky and presents little opportunity to make a quick buck.

75th Anniversary San Francisco Mint SetRecently it was announced that the US Mint would produce a 75th Anniversary San Francisco Silver Eagle Set, a two-coin proof set featuring an “S” mint mark proof and reverse proof.

According to the US Mint website:

 

 

“The United States Mint at San Francisco plays an important role in our nation’s coinage. Although it does not currently produce circulating coins, it is the exclusive manufacturer of regular proof and silver proof coin sets that set the standard for numismatic excellence with their brilliant artistry, fine craftsmanship and enduring quality.”

With the massive success of the 25th Anniversary Silver Eagle Set late last year, collectors are perking up their ears. So are coin-flippers who are looking to make a quick buck.

Count me in that group of flippers. While there was a time when I thought the lure of collecting fine silver coins would take over my brain, the luster has faded.

I’m not sure if it’s the drop in the price of silver from around $40 to around $30, or that my extra money got tight when I committed to saving for and paying cash for a European vacation. Previously I had allowed myself to purchase 2-4 ounces of silver each month as part of a dollar cost averaging strategy.

When I learned about the 25th Anniversary Set, I was still too new to collecting physical silver to know for sure whether I’d be able to flip them for a good profit. For that reason I did not buy the maximum five sets that the Mint was allowing.

Instead I bought two sets at $300 each. As soon as I received my sets in the mail, I immediately listed one on eBay with a Buy It Now price of $740.

It sold within a few hours.

This means that after fees, I made about $300 in profit. This made the other set that I bought for $300 essentially free. At the time of this writing, these sets are selling between $600 and $700 on eBay.

In hindsight, I wish I would have purchased the household max of 5 sets. I would have made over $1000 in profit. But I think it’s important to be careful when “investing” in things we don’t quite understand. At the time of my purchase I only had a strong hunch.

 

75th Anniversary San Francisco Silver Eagle Set

25th Anniversary ASE Set

Is the 75th Anniversary San Francisco Silver Eagle Set the next big thing?

At this time I can’t tell. There is some strong, initial interest on the Kitco Silver forums. I think this is a good indication that there will be collector interest.

Collectors are part of the buying pool when you look at flipping numismatic collectibles. The other part are other flippers who want to buy your set at an inflated price with the hope of selling it to a real collector at an even higher price.

This is a risky move, as you could get stuck holding physical silver that is worth a lot less than you paid for it. Speculation has the price of the 75th Anniversary San Francisco Silver Eagle Set between $150-200. For a two-coin set, that means you would be paying $75-100 per ounce, when the spot price of silver is around $32.

Should I Buy the 75th Anniversary San Francisco Silver Eagle Set?

That is the $64,000 question, or rather, the $200 question.

As I said, speculation is running wild as to what the mintage will be. If it is 500,000, I will probably pass. If it is 250,000 or less, I will be very interested.

All we really know now is that it will be a 2-coin set with an “S” mint mark proof and reverse proof.

 

How Do I Buy the 75th Anniversary San Francisco Silver Eagle Set?

I’m guessing that like the 25th anniversary Silver Eagle set, the 75th Anniversary San Francisco Silver Eagle Set will at first only be available directly from the Mint.

That means on release day you will need to be in front of a computer and also on the phone, frantically trying to get some sets. Last year the 25th Anniversary set sold out in about 4 hours. There were widespread complaints over people not being able to log in or get through on the phone.

In response, the Mint is working on a beefed-up ordering system, but I would still proceed as if it is going to be difficult to attain these.

This could all change if, for example, the Mint makes a ridiculously high mintage (say 1 million), or prices them way outside the bounds of reality.

If you don’t get the 75th Anniversary San Francisco Silver Eagle Set on your first try, you will be stuck trying to buy it from flippers like me on eBay.

 

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26 Comments
  1. I love it if I will have the San Francisco Silver set eagle. this is so great!
    Carol recently posted..Murano glassMy Profile

    • Good luck. I think production starts May 11. Thanks for reading!

  2. Interesting…I’ve never owned silver in my life. I think it’s cool to collect coins if you’re into that but it’s never really peaked my interest.

    I like the flipping idea though…but I’m not sure it’s worth the gamble. I’m a conservative dude.
    WorkSaveLive recently posted..Read My Guest Post at Tackling Our DebtMy Profile

    • I hear ya. I knew I’d be able to get out of it at least what I put in for the 25th Anni set. I don’t have much of a gambling side, like you.

  3. I’m intrigued by this sort of ‘investing,’ but I think you really have to know what you’re doing, yes? Your comments about the size of the mintage, prices on eBay, and gauging collector interest are telling. Probably not something a person (like me) should jump in on without doing quite a bit of learning first?
    Kurt @ Money Counselor recently posted..Fake Debt CollectorsMy Profile

    • Yeah, I did months of research before I bought anything. I recommend having physical silver as an emergency fund, so it’s relatively safe if you buy 2-5 ounces per month from your local coin shop.

  4. Wow, I guess “flipping coins” has a whole different meaning, eh? I never would have considered the financial benefit to buying these and then selling them on eBay, but now I’m intrigued. I hope you’ll post some updates on this – especially if you decide to go ahead and buy the 75th Anniversary coins. I tried making money on eBay (and wrote about it here: http://blog.readyforzero.com/trying-to-make-extra-money/) but wasn’t able to make very much. Anyway, keep us posted on this.
    Benjamin Feldman recently posted..What To Do If Your Credit Limit is LoweredMy Profile

    • Thanks Benjamin. If I decide to buy, it’ll be as close to a “sure thing” when it comes to a risk averse person like me.

      My brother has been having a bit of luck selling designer label clothing he finds at thrift stores.

      I’ll be sure to check out your post.

  5. Nice work on the previous EBAY sale! That’s a hell of a profit. But I’m not so sure you’d be as lucky with this go around. I don’t think silver has the same lust this year as it did. Maybe just one set?

    • I’m kinda thinking the same thing – silver probably isn’t as popular this year as last. Following the Kitco silver forum is a good way to gauge whether there will be strong interest. The mintage will be key as well.

      Thanks for stopping by!

  6. “But I think it’s important to be careful when “investing” in things we don’t quite understand. ”

    I agree, you could have made a killing if you got five. However, you might have ended up losing big time.
    Danny recently posted..visit las vegas for cheapMy Profile

    • Silver American Eagles are 99.9% pure silver and weigh 1 troy ounce which is equivalent to a bit less than 1.1 ounces. At the current rate of exchange, the value of the actual silver content is a bit more than half the original cost, so at least you would have that.
      Mike@Investing in Silver recently posted..Gold vs Silver InvestmentsMy Profile

  7. Very interesting article, I will have to keep an eye on this. I tend to stray away from purchasing these sorts of things as I’m not a coin collector, but rather an investor. The value here is in the rarity of the set rather than the silver contained within the coins, which works for some, but makes the coins less liquid as you will need to resell it to a collector.
    Mike@Investing in Silver recently posted..American Silver EaglesMy Profile

  8. Whenever I’ve purchased silver in the past, it’s just been in my trading account. I’ve never taken possession. This sounds like fun, at the very least. It also sounds like the downside is fairly reasonable, considering the price of silver.
    AverageJoe recently posted..Getting Things Done (GTD) or Creativity: Which Is More Important? Our Thursday Cuppa Joe DiscussionMy Profile

    • That’s very risky due to the high amount of fraud involved in silver. When you are investing in any precious metal, you should always enter the transaction with the thinking, if the silver/gold/whatever is not physically in my hand, I don’t really own it.
      Mike@Investing in Silver recently posted..Identifying Fake SilverMy Profile

      • Sorry, I think I need to be more specific. There is a lot of fraud involved in silver certificates and silver you purchase from some sort of trust that retains the possession of all physical silver. If you do not hold the actual silver in your hand, you cannot be 100% certain that you actually own anything.
        Mike@Investing in Silver recently posted..Identifying Fake Silver CoinsMy Profile

    • Exactly – even if it turns out to be a bad deal, you still get to have and hold some physical silver, which is nice to look at.

  9. Hi, you seem to be just like me. I placed my order for 2 of the sets and barely got my order in 4 hours after it came out. However, there is nothing to worry about here, they have a return policy! if you can’t flip them, you can always lean back on their return policy. I’m in for the household limit for 3 homes…. my own, my brother’s, and my wife’s property.

    • Thanks for pointing that out Pete because I forgot about that point.

      That was one of the reason I was kicking myself for not getting five – the fact that you could return them to the Mint if they didn’t sell.

      I’ll bet they have the same deal for the 75s.

      Thanks for adding that.

      • So, if indeed they do release this set, what do you think the household limit will be, and how many minted? I’m guessing 2 and possibly 250k minted? The price will probably be below $150 considering the 25th set was an avg of $60 per coin. I don’t think it’ll be $120 though because they aren’t giving you an ugly bullion coin (just proof and reverse proof). maybe $139.95? Also, the mint has already released their schedule up until june of 2012, so will it come out before june, or after? I haven’t seen an official us mint notice of this yet, but I am going to look right now.

        • I know production starts May 11 so I’d guess late summer on release. The lack of a date yet is kinda scary as I heard a rumor about an unlimited mintage.

          You scenario would be perfect (250k, $150). I’m afraid the collectors bullied the Mint so much over the 25th set that Mint will try to do it bigger this time.

          Let us know if you find any more details.

  10. Personally, I will get whatever the max allowable. I don’t think it will be a huge success as the 25th was. Too many will be minted… The rarity 2008 with the 2007 ‘reverse’, est 40,000+ should be in the $1,000′s but remains around $300.00. How can a set with 6 X’s that number become a greater ‘winner’? I think everyone whyo wants a set will easily be able to buy one or more from the U.S. Mint.

    • Hi Peggie, I’m afraid you might be right. I’m hoping for another “flipper” for this year so I can make some cash or at least buy some spot bullion.

  11. Excellent post, very straightfoward.

    • Thanks – I was hoping to be concise and informative – thanks for reading

  12. Yesterday it was confirmed that the 06/07/2012 2012 American Eagle San Francisco Two-Coin Silver Proof Set is coming out June 7. It’s ashame that I will be taking my final exams in school that day, but maybe I’ll have time to squeeze and order in if they don’t sell out immediately. Ps: it probably will be released at 12noon eastern time. Thats the key time.

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