Head scratching over t206 price boom

[donmuth]

My impression is that lot of working age collectors are not enamored with the stock market, 401ks, IRAs, etc. As a result, they have put their money into crypto (not a good week for that... yikes!!), sports cards, and other stuff as "investments". They aren't merely spending a little discretionary income on a hobby. It seems they are trying to make bank on cardboard (or whatever they are buying). Sports card investing is core to their retirement plan.

I was listening to a podcast this morning and one of the guys lost about $13k on one high end ultra modern card that he bought for around $24k and ended up selling recently for $11k. Ouch! His rationale was he needed the cash to make another large card purchase to try to make some money. OK. I understand needing to, and being OK with, taking losses here and there. It seems like there is a widespread casino and status symbol mindset though. So many think/act like they are high rollers and prices will continue going up, up, up and they'll be able to retire early or something.

Personally, I think people are going to get blind-sided by what is coming later this year and next year. There is a saying that you can't eat gold. Well, people can't eat slabbed cards either. Maybe I'll be able to trade some grass fed beef for cards I've always wanted...

[RCMcKenzie]

$22,200 for a Demmitt St Louis. I see 340 on the combined pops of the big 2 graders. It was a 4.5, which is a condition rarity for Polar Bear, but still, 22 K for a common.

[Exhibitman]

Originally Posted by donmuth

My impression is that lot of working age collectors are not enamored with the stock market, 401ks, IRAs, etc. As a result, they have put their money into crypto (not a good week for that... yikes!!), sports cards, and other stuff as "investments". They aren't merely spending a little discretionary income on a hobby. It seems they are trying to make bank on cardboard (or whatever they are buying). Sports card investing is core to their retirement plan.

I was listening to a podcast this morning and one of the guys lost about $13k on one high end ultra modern card that he bought for around $24k and ended up selling recently for $11k. Ouch! His rationale was he needed the cash to make another large card purchase to try to make some money. OK. I understand needing to, and being OK with, taking losses here and there. It seems like there is a widespread casino and status symbol mindset though. So many think/act like they are high rollers and prices will continue going up, up, up and they'll be able to retire early or something.

Personally, I think people are going to get blind-sided by what is coming later this year and next year. There is a saying that you can't eat gold. Well, people can't eat slabbed cards either. Maybe I'll be able to trade some grass fed beef for cards I've always wanted...

All a matter of time and timing, my man. Live through several of these cycles and you come to understand that they are cycles. There are multiple threads on this board about cards as investments, so not rehashing it here. Suffice it to say that there is a fifty year history of cards as an asset class, and lots of really interesting money is pouring into the hobby infrastructure, so the odds of a fire sale event taking the market for collectibles to zero is minuscule. It will turn down, like real estate, and present some great opportunities for buyers.

[GregMitch34]

You may well be right, but I am more interested in the current--it's easy to understand why an investor type would spend 2000 or 6000 for a high-grade Ruth or Mays (and maybe take a bath down the road) but not why dozens or hundreds are paying inflated sums for a VG-EX or Ex common. Why I asked about lack of knowledge about pop and sellers successfully hyping "only three higher" when it's just only three higher for typical Piedmont...

[Popcorn]

I use to just flip them to make a few $ going back to early 2000’s but they are so hard to find now I’ve turned into a collector! Why sell something that appreciates and is enjoyable to own.

[chjh]

The Rhoads card was a PSA 7. It is a Pop 6 with 3 higher.

T206 with low pop or rare backs are going up in price. I think they are undervalued.

Collectors/investors are finding their way to T206 for the same reasons this community has an interest in them. I enjoy all vintage but nothing compares to T206 when it comes to offering something for everyone. Plenty of HOF, different backs, low pop for higher grade cards, plenty of lower grade cards that are affordable, great history, plenty of raw and graded, etc.

I think T206 set collecting is picking up and will continue pushing up higher grade/lower pop cards.

[Casey2296]

Originally Posted by chjh

The Rhoads card was a PSA 7. It is a Pop 6 with 3 higher.

T206 with low pop or rare backs are going up in price. I think they are undervalued.

Collectors/investors are finding their way to T206 for the same reasons this community has an interest in them. I enjoy all vintage but nothing compares to T206 when it comes to offering something for everyone. Plenty of HOF, different backs, low pop for higher grade cards, plenty of lower grade cards that are affordable, great history, plenty of raw and graded, etc.

I think T206 set collecting is picking up and will continue pushing up higher grade/lower pop cards.

Agree

[GregMitch34]

The Rhoads (as I said) which went for $7200 was indeed a PSA 7--but it is indeed a Piedmont 350 common and while "only 3 higher" sounds good there are also 2 higher in Sweet Cap--and, besides, there are dozens of others with very similar numbers going for 1/3 that. Hell, I got a Chase PSA 7 privately last week with similar pop numbers at that level--I guess it's worth $10,000 by those standard--and also a Doyle PSA 7 with only ONE higher as a Piedmont 350 so maybe that it is worth $15,000 now. Ya think?

[Casey2296]

Originally Posted by GregMitch34

The Rhoads (as I said) which went for $7200 was indeed a PSA 7--but it is indeed a Piedmont 350 common and while "only 3 higher" sounds good there are also 2 higher in Sweet Cap--and, besides, there are dozens of others with very similar numbers going for 1/3 that. Hell, I got a Chase PSA 7 privately last week with similar pop numbers at that level--I guess it's worth $10,000 by those standard--and also a Doyle PSA 7 with only ONE higher as a Piedmont 350 so maybe that it is worth $15,000 now. Ya think?

There's new money, and lots of it chasing pre-war right now. Combine that with the "chase the slab" mindset and you see the results.