"Book Value" vs. Reality

One of the basics of collecting anything is the realization that "Knowledge is the Key."

Whether you are buying or selling or studying antiques, it is important to learn the relative scarcity and value of whatever you collect.

Dealers and collectors alike refer to antiques as having a "book value."  Although the Internet provides valuable information, many collectors get their knowledge from reference books and value guides.

Books provide a good deal of information, but some are off base when it comes to the values they list.  A good example is Scott's StampValues for stamp collectors.  If Scott's says you have a stamp worth $100.00, and someone offers you $30.00 -take the $30.00.  Scott's is nearly four times higher than reality.  Several price guides for sports cards list values that are twice as high as reality.  

As a lifelong coin collector, I learned long ago that price guides for coins were often misleading because the value of gold and silver would change after a book was published.  That would cause values in the book to be inaccurate for many coins containing gold or silver.  A visit to a coin show or coin shop would provide me with real, up-to-date values.

So how does one know if the values stated in a book are accurate?  Easy - get out into the "real world."  Here's how:

1. Visit local antique stores and compare asking prices versus "book values"
2. Check out Ebay.  How high are people bidding on whatever it is you collect?
3. Attend antique shows and do some price comparisons.
4. If you know someone else who is a collector, ask him or her for assistance.

Reference books and price guides are excellent sources of knowledge, but the reader needs to understand values stated versus reality.  Once you understand that a reference book is 20 percent high or 50 percent high the book is much more valuable whether you are buying or selling because you can "do the math."

Another great source of knowledge is to attend a public auction.  Lincoln has a lot of auctions that feature antiques, coins, jewelry, etc.  Auctions offer a dose of reality. Legitimate auctions are advertised each Sunday in a newspaper's classified section.

Visit local antique shops, auctions, or estate sales and take notes.  Then compare prices paid for items with your reference book's values - Voila, now you know more about "book value versus reality."