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What it is
Provides valuation methods, market reference sources, and pricing frameworks for collectible items.
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SKILL.md
307 lines · 3,166 words
Use this skill when:
User asks about determining the value of collectible items
User wants to understand how collectible pricing works
User needs to compare valuation methods (market comps, auction results, price guides, dealer appraisals)
Provides valuation methods, market reference sources, and pricing frameworks for collectible items.
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Step 1
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“Create a bot that uses the Collection Valuation Guide skill, and show me the plan first.”
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What it covers
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Edge Cases
Example
Collection Valuation Report
User is preparing a collection for sale, insurance, or estate purposes
User asks about current market conditions for a collectible category
User mentions wanting to know what their collection is worth
Do NOT use when:
User needs to verify authenticity before valuation (use collectible-authentication-guide first)
User needs inventory or cataloguing help (use collection-inventory-builder)
User asks about collectibles as a financial investment strategy (this is collecting, not investing)
User needs a certified appraisal for legal proceedings (requires a licensed appraiser)
User asks about counterfeit currency valuation (law enforcement matter)
Identify the valuation context. Ask the user for:
Collection type: coins, stamps, trading cards, comics, art, memorabilia, watches, records, books, etc.
Specific items to value: individual high-value pieces, entire collection, or representative sample
Valuation purpose: personal curiosity, insurance coverage, sale preparation, estate settlement, donation tax deduction
Condition information: has the collection been graded, or is it ungraded with self-assessed condition
Authentication status: has authenticity been verified for high-value items
Timeline: how quickly does the user need the valuation
Explain the four valuation methods. Present each method with trade-offs:
Method 1: Market Comparison (Comps)
How it works: Find recent sales of the same or very similar items and use those prices as value indicators
Best sources: Completed auction listings (not active listings -- asking prices are not market values), dealer sales records, collector community sale reports
Strengths: Most accurate reflection of what buyers actually pay; accounts for current market conditions
Weaknesses: Requires finding comparable items (rare items may have few comps); prices vary by condition, so exact condition matching is critical
How to use comps effectively:
Find 3-5 completed sales of the same item in the same condition
Discard the highest and lowest prices (remove outliers)
Average the remaining prices for a fair market estimate
Note the sale dates: prices from over 12 months ago may not reflect current market
Method 2: Auction Results
How it works: Review results from established auction houses that specialize in the collectible category
Strengths: Transparent pricing, verifiable results, competitive bidding often reflects true market interest
Weaknesses: Auction prices include buyer's premiums (typically 15-25% above hammer price); rare items at major auctions may achieve higher prices than private sales due to auction excitement
Important distinctions:
Hammer price: what the winning bidder bid
Buyer's premium: additional percentage charged by the auction house (typically 15-25%)
Total price realized: hammer price + buyer's premium (this is what the buyer paid)
Seller's received amount: hammer price minus seller's commission (typically 10-20%)
How to interpret auction results:
Use total price realized as the market value indicator
Compare to pre-sale estimates provided by the auction house
Items that sell below estimate may indicate soft demand
Method 3: Price Guides
How it works: Published reference books and online databases list estimated values by item, year, and condition
Strengths: Comprehensive coverage of common items; standardized format; easy to look up
Weaknesses: Published values are often higher than actual market prices (guides tend to lag behind market changes); values are estimates, not guarantees; annual updates mean prices can be 6-12 months out of date
Common price guide types by collectible:
Coins: annually published numismatic references
Stamps: annually published philatelic catalogs
Trading cards: annually published card price guides and online databases
Comics: online comic price databases
Records: online record price databases based on actual sales
How to use price guides effectively:
Treat guide values as a ceiling estimate, not a sale price
Reduce guide values by 20-40% for a realistic private sale estimate
Method 4: Dealer Appraisals
How it works: Take items to a knowledgeable dealer for an in-person evaluation and price opinion
Strengths: Expert eyes catch details that reference materials miss; physical examination adds confidence; dealers know the local market
Weaknesses: Dealers have a conflict of interest if they also want to buy the items (appraisal values may be lower than market); single-dealer opinions should be confirmed with a second opinion; fees may apply for formal appraisals
Types of dealer appraisals:
Informal opinion: free or low-cost verbal estimate (not suitable for insurance or legal use)
Written appraisal: formal document with item descriptions, conditions, and values (suitable for insurance; fee typically $50-200 per hour)
Purchase offer: what the dealer will pay (always below market value -- dealers need margin)
How to get the most value from a dealer appraisal:
Separate the appraisal from the sale: get the appraisal first, decide whether to sell later
Visit 2-3 dealers for high-value items and compare their assessments
Ask the dealer to explain their reasoning for each value estimate
Guide the valuation process. Walk through a systematic approach:
Step 1: Triage the collection. Sort items into three tiers:
Tier A: Potentially high-value items (older, rarer, better condition) -- these get individual valuation
Tier B: Mid-value items with identifiable catalog entries -- these get price guide estimates
Tier C: Common items, bulk lots, damaged items -- these get a lot estimate, not individual pricing
Step 2: Authenticate before valuing. For Tier A items, verify authenticity before investing time in valuation. An unauthenticated item cannot be reliably valued.
Step 3: Grade condition accurately. Value is highly sensitive to condition. Use the standard grading scale for the collectible type. When in doubt, grade conservatively (lower condition = lower but more realistic value).
Step 4: Research values. Apply Method 1 (comps) and Method 3 (price guides) for each Tier A item. Use Method 2 (auction results) for rare items without easy comps. Reserve Method 4 (dealer appraisal) for items where the other methods give conflicting results or where a formal appraisal is needed.
Step 5: Calculate the total. Sum individual Tier A values + Tier B estimates + Tier C lot estimate. This is the collection's estimated total value.
Explain value types. Different purposes require different value definitions:
Fair market value (FMV): What a willing buyer would pay a willing seller, neither under pressure. Used for estate settlements and tax deductions.
Replacement value: What it would cost to replace the item at current retail. Used for insurance coverage. Typically 20-40% higher than FMV.
Liquidation value: What you would receive selling quickly (dealer buy price, auction estimate minus commissions). Typically 40-70% of FMV.
Retail value: Price at which a dealer sells to a collector. Typically 10-30% above FMV.
Wholesale value: Price at which a dealer buys from another dealer. Typically 30-50% of retail.
Document the valuation. Create a valuation record:
Item description (specific enough to identify the exact item)
Condition grade and grading basis (self-graded, professionally graded, service name)
Valuation method(s) used
Comparable sales cited (dates, prices, sources)
Estimated value with value type specified (FMV, replacement, liquidation)
Date of valuation (values change over time)
Appraiser (self, dealer name, or professional appraiser)
Address purpose-specific needs.
For insurance: Use replacement value. Obtain a written appraisal from a qualified appraiser for collections over $5,000. Update every 2-3 years. Photograph every item.
For sale preparation: Use FMV as the asking price basis. Research the selling venue that matches the collection (auction house for high-value, online marketplace for mid-range, dealer for quick liquidation). Factor in selling costs (commissions, shipping, fees).
For estate settlement: Use FMV at date of death. May require a certified appraisal depending on estate size and jurisdiction. Keep documentation for tax purposes.
For personal tracking: Use FMV updated annually. Trends matter more than exact numbers. Track whether the collection is appreciating or depreciating.
## Collection Valuation Report
### Collection Overview
| Parameter | Value |
|----------------------|------------------------------------|
| Collection type | [Type] |
| Total items | [Number] |
| Valuation purpose | [Insurance / Sale / Estate / Personal] |
| Value type | [FMV / Replacement / Liquidation] |
| Valuation date | [Date] |
### Valuation Method Summary
| Method | Used For | Weight |
|---------------------|-----------------------|------------------|
| Market comps | [Tier A items] | [Primary/Secondary] |
| Auction results | [Rare items] | [Primary/Secondary] |
| Price guides | [Tier B items] | [Primary/Secondary] |
| Dealer appraisal | [Confirmation] | [Primary/Secondary] |
### Tier A: Individual High-Value Items
| Item | Condition | Auth? | Method | Comparable Sales | Est. Value |
|---------------|-----------|-------|----------|-----------------|------------|
| [Item 1] | [Grade] | [Y/N] | [Method] | [Sales cited] | $[Value] |
| [Item 2] | [Grade] | [Y/N] | [Method] | [Sales cited] | $[Value] |
| **Tier A Total** | | | | | **$[Sum]** |
### Tier B: Mid-Value Items
| Category | Items | Method | Est. Range | Est. Total |
|------------------|-------|------------|-----------------|--------------|
| [Category 1] | [N] | Price guide| $[low]-$[high] | $[Estimate] |
| [Category 2] | [N] | Price guide| $[low]-$[high] | $[Estimate] |
| **Tier B Total** | | | | **$[Sum]** |
### Tier C: Common/Bulk Items
| Description | Items | Method | Est. Total |
|-----------------------|-------|-----------|----------------|
| [Bulk description] | [N] | Lot est. | $[Estimate] |
| **Tier C Total** | | | **$[Sum]** |
### Collection Total
| Tier | Value |
|--------|----------------|
| Tier A | $[Sum] |
| Tier B | $[Sum] |
| Tier C | $[Sum] |
| **Total** | **$[Grand total]** |
### Value Context
- Value type: [FMV / Replacement / Liquidation]
- Market trend: [Appreciating / Stable / Declining] for this category
- Confidence: [High / Moderate / Low]
- Next update recommended: [Date]
### Recommended Actions
1. [Action based on purpose]
2. [Action based on purpose]NEVER provide a specific dollar value for an item without citing the valuation method and data sources used -- unsupported numbers are meaningless
ALWAYS distinguish between the value type being estimated (FMV, replacement, liquidation) -- the same item has different values depending on the context
ALWAYS recommend authenticating high-value items before valuation -- an unauthenticated item cannot be reliably valued
Price guide values must be discounted by 20-40% for realistic private sale estimates -- guide values are not transaction prices
Auction results must distinguish between hammer price and total price realized (including buyer's premium)
Dealer purchase offers are not market value -- dealers buy below market to resell at a profit
NEVER recommend selling high-value items without first obtaining multiple valuation opinions
Condition is the single largest value determinant for most collectibles -- a one-grade difference can change value by 50-200%
Market values change over time: always note the date of valuation and recommend periodic updates
Liquidation value is typically 40-70% of FMV -- users planning quick sales should expect significantly less than reference prices
For collections worth over $5,000, always recommend a written professional appraisal for insurance purposes
User has items they cannot identify: Valuation requires identification first. Recommend starting with the collection-inventory-builder skill to catalogue and identify items. For unidentified items, photograph them clearly (front, back, any markings) and consult a specialist dealer or collector community for identification. Value estimation can only follow identification.
User has a collection that appears mostly worthless: Most collections have a small percentage of items that hold the majority of the value. Focus the triage process on identifying those few items. Common items in average condition often have minimal resale value regardless of sentimental attachment. Be direct but respectful: "Based on current market data, the majority of these items have minimal resale value ($1-5 each), but items X, Y, and Z may have significant value and are worth individual research."
User wants to value a recently deceased relative's collection for estate purposes: Handle with sensitivity. FMV at date of death is the legal standard for estate valuation in most jurisdictions. Recommend a formal written appraisal for collections that may exceed estate tax thresholds. Advise against selling immediately unless required -- grief and urgency often lead to undervaluing. Connect with an estate attorney for jurisdiction-specific requirements.
User's collection has items in multiple categories: Valuation methods differ by category. Group items by type and apply the appropriate method for each group. The total collection value is the sum of category subtotals. Some items may cross categories (e.g., a signed first-edition book involves book valuation + autograph valuation).
User found items at a thrift store and wonders if they are valuable: Start with identification and authentication before valuation. Thrift store finds are occasionally valuable, but most items are common. Check for any identifying marks, dates, signatures, or labels. Compare to reference materials. If the item appears potentially valuable, the investment in professional authentication (typically $20-75) is worthwhile before assuming value.
Input: "My dad collected coins for 40 years. He passed away last year and I inherited about 500 coins. I don't know much about coins but I need to figure out what the collection is worth for estate purposes and eventually decide what to do with it."
Output:
| Parameter | Value |
|---|---|
| Collection type | Coins (U.S. and possibly world) |
| Total items | ~500 coins |
| Valuation purpose | Estate settlement + future disposition |
| Value type | Fair Market Value (FMV) at date of death |
| Valuation date | [Current date -- but estate FMV should be pegged to date of death] |
Given the estate context, here is the step-by-step process:
Step 1: Triage the Collection (Time: 2-3 hours)
Sort all 500 coins into three tiers. You do not need to be a coin expert for this step.
| Tier | How to Identify | Expected % of collection |
|---|---|---|
| A | Gold coins, silver dollars, coins in individual holders with notes, coins in certified slabs (hard plastic cases with labels), anything that looks old (pre-1900) | 5-15% (~25-75 coins) |
| B | Silver coins (pre-1965 U.S. dimes, quarters, half-dollars are 90% silver), individual coins in flips or holders with year/mint mark notes, foreign coins that appear old or unusual | 20-30% (~100-150 coins) |
| C | Modern circulated coins, penny collections, common commemoratives, wheat pennies (1909-1958) in average condition, loose coins without holders | 55-75% (~275-375 coins) |
Step 2: Professional Appraisal for Tier A (Strongly Recommended)
For estate purposes, Tier A items need professional evaluation.
| Action | Why | Expected Cost |
|---|---|---|
| Written appraisal from a numismatist | Estate tax compliance, FMV documentation | $100-300 for the collection |
| Individual authentication for potential key-date coins | Ensures accurate grading and identification | $20-50 per coin |
Visit 2-3 coin dealers. Ask for a written appraisal for estate purposes (specify you are not selling yet). A written appraisal documents the FMV and is defensible if the estate is reviewed.
Step 3: Price Guide Estimates for Tier B
| Method | How to Apply |
|---|---|
| Silver value | U.S. pre-1965 silver coins: calculate melt value. Weight x 90% silver x current silver spot price per troy ounce. This is the floor value. |
| Price guide | Look up individual coins by year, mint mark, and condition in an annual coin reference guide. Use the grade that matches the coin's wear level. |
| Comps | For coins that may be above common value, check completed auction listings for the specific year/mint/grade. |
Step 4: Lot Estimate for Tier C
| Item Type | Typical Value |
|---|---|
| Common modern coins | Face value only ($0.01-$1.00 each) |
| Wheat pennies (avg. condition) | $0.05-$0.25 each (bulk lot price) |
| Common world coins | $0.10-$0.50 each (bulk lot price) |
| Common commemoratives | Face value to $2-3 each |
Without seeing the specific coins, here is the typical range for a 500-coin collection accumulated over 40 years by a dedicated collector:
| Tier | Items | Est. Value Range | Notes |
|---|---|---|---|
| Tier A | 25-75 | $500-$10,000+ | Depends heavily on whether gold or key-date silver is present |
| Tier B | 100-150 | $200-$2,000 | Silver melt value provides a reliable floor |
| Tier C | 275-375 | $50-$200 | Mostly face value with occasional exceptions |
| Total | 500 | $750-$12,000+ | Wide range reflects uncertainty without item-specific data |
Important: These ranges are illustrative. The actual value depends entirely on the specific coins. A single rare coin could be worth more than the rest of the collection combined.
Value type: Fair Market Value (for estate)
Market trend: U.S. coin market has been stable to appreciating over the past 5 years, with key-date coins and gold particularly strong
Confidence: Low (no individual items examined yet)
Formal appraisal needed: Yes -- for estate settlement
Immediate: Do not clean any coins. Cleaning reduces value by 50% or more. Store in a dry location at room temperature
Within 30 days: Complete the triage sort to identify Tier A items
Within 60 days: Take Tier A items to 2-3 coin dealers for written appraisal quotes
Within 90 days: Obtain formal written appraisal for estate documentation. Share with the estate attorney
After estate settlement: Decide whether to keep, sell, or donate. If selling, auction houses typically achieve better prices than dealer purchases for valuable coins. Dealer purchases are faster but at 50-70% of retail value
SKILL.md
307 lines · 3,166 words
The text of SKILL.md is shown as it downloads, under the Apache-2.0 license, by Ferrox Labs. The license is the one in the file's own frontmatter.
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Collection Valuation Guide bot
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Items that sell above estimate may indicate strong demand or underestimation
Use the condition-specific values (a VG coin is worth far less than a Mint coin)
Cross-reference guide values with recent comps to see if the market has shifted
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