Treasure Hunting On Ebay?

I'm new to the hobby, and so far the learning curve has been immense. Properly identifying stamps is HARD. I doubt that big sellers who encounter large lots of covers and stamps have the time and the eyesight to sit there for hours with a gauge, a loupe and a Scott catalog and discern the nuances in each stamp that could mean the difference between $0.25 BV and $10,000. Heck, after about 3 hours with a stamp gauge yesterday I started to get tired after measuring about 100 covers or so and Googling in between.

I don't want to out anyone's top secret gameplan for assembling a collection (feel free to be as vague as possible), but it seems to me that an expert in this field can make some serious money buying and flipping undervalued covers on ebay.

When I first started, I would scan like 15-20 stamps and post them on a forum and ask if there was anything of value. Most of the time, the response was "it's very unlikely. They are rare for a reason." I think people are prone to this line of thinking sometimes, and they may have a huge hoard of stamps but not check each one carefully enough. There are probably so many undiscovered stamps sitting out there.

How possible is it to find a $1,000+ stamp on ebay if you're sufficiently knowledgeable?

What's your biggest auction or flea market find?

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My best find was a Latvian postcard that I bought from a dealer at Chicagopex a long time back for $10 and sold on ebay for $1975. But that was one of those things where you really had to be really knowledgeable about Latvian postal history to catch. It was one of maybe 5 known examples known in collections worldwide. To the majority of collectors it would only be that $10 postcard.

I have no experience with ebay or other online sellers who are not recognized philatelic dealers.

When I've purchase modern (post 1960) lots at our club, I always find a few varieties with values ranging from $5 to $75, but that's because older members generally do not collect modern and do not know which varieties exist or don't scan then under UV for tagging varieties and errors.

I think that 'big sellers' could immediately recognize stamps which may be valuable, and those are the ones that would be checked more closely.

I am like Blackjag. I find quite a lot of treasures in the APS sales circuits because Scott lists very fe varieties, een in their so-called Specialized catalogs

Peter

It takes a while to build that experience and it takes a really keen eye. I've been a small seller on ebay for over 5 years now and sometimes I've mis-priced things. Some of the most valuable things I've sold I've dismissed as crap the first time I looked at it. It can take me like 2-3 looks before I catch a small detail. That's what I always do now, I check everything once, and then check it at least twice before listing. It helps to do it on separate days when your mind is fresh.

Good question and a very slippery slope.

I try to discourage new hobbyists from 'treasure hunting', it is a fools errand. You can easily find many stories about others who hit the jackpot, but the truth is that humans tend to remember when a thing hits, but not when it misses. So for every story you hear about a ebay 'hit' there are thousands of 'misses'. Ever hear anyone talk about going to a casino? Same thing at play, people will be very quick to tell you about winning but rarely talk about losing their shirt.

If you have an interest in fine art you would not be told to go to garage sales and look for mis-identified rare artwork. You would want to simply purchase what you find pleasing, what you would enjoy for years to come hanging on your wall.

Also keep in mind that vast majority of stamp/cover/lots found on ebay have already gone through generations of collectors and dealers. The amount of material which is truly 'market fresh' is very small. As such, many, many eyes have already seen these stamps and covers. Can things be missed after decades? Yes, it is possible. Is it likely? No.

Those which have the best luck with online 'finds' are folks who have invested years and years of time; have access to reference materials, and have very good online skills (searching, filtering, etc.).

But new hobbyists can avoid much of this and develop a great new hobby without 'treasure hunting'. Buy what you will enjoy, after many years a few 'finds' will come your way.
Don

I'm a treasure hunter at heart though. Nothing gets my adrenaline pumping like finding something valuable among the rubbish. It's like bungee jumping off a cliff to me. I found two checks signed by Civil War generals last year in an ephemera lot and sold them for $1,000. My heart was pumping like crazy when I discovered them.

And people play the lottery for the same reasons; odds are about the same.
Don

My best finds have come from large lots from traditional auction houses. I stopped ebay hunting a very long time ago. My reasoning initially was that large auction houses will not devote the costly resources (paid knowledgeable people) necessary to sift through six cartons of jumbled stuff. It has proven to be true. I still have my share of duds though. The bottom line is I need to enjoy the process of the hunt or it simply becomes drudgery. For me the fun factor is still there. Best of luck in your endeavors.

Is that really the best analogy? The lottery is just blind luck. I'm not much of a gambler at all, even coming from a finance background where a lot of gambling does happen.

I think my example is more analogous to counting cards at blackjack or calculating poker odds in your head better than your opponent. Less pure luck, and more skill.

The stamp market, like the antiques market, is an extremely inefficient market. Arbitrage opportunities abound.

"Treasure hunting" on ebay, or any other auction/sales site, depends on your level of knowledge. The more specialized knowledge you have in any aspect of philately, the better chances of finding hidden treasures. If all you have to go on is a Scott catalog, and if you are fine with it, you probably won't find anything beneath the surface. You might even have, in your possession, items that others might consider hidden treasures. Many times I've looked at others collections and pointed out something more valuable than they thought, simply because I have a deeper knowledge of some things. Within the last week, I cherry picked the Hipstamp site and am waiting for the stamps to arrive.
It's not that hard, it just takes lot's and lot's of reading, studying and asking questions.

I always have to remind myself it's possible, even likely, to find under-priced stuff for sale everywhere. Sometimes you fall into routine and assume the market has everything perfectly priced and you lose that child-like curiosity to investigate and discover hidden gems.

WASTE OF TIME -----Thinking your going to find something .Basically you don't have the reference material or experience to know what your looking at .
The problem with rare treasure items today is that yea it is unusual and rare but go and find a buyer at retail or wholesale price . I see it all the time a $9,000 stamp with certificate not getting $1,000 at public auction -THAT THE PROBLEM TODAY .

appletonco, I believe what everyone is trying to tell you, very politely, is that the best way to succeed at stamp collecting, or "treasure hunting," as you like to see it, is to gain the knowledge first.

You allude to this yourself when you compare your idea of "treasure hunting" to someone skilled at blackjack or poker. This is the same thing. Are there items which have been improperly described? Absolutely. Unfortunately, it works both for and against someone who hasn't yet acquired the knowledge necessary to spot the diamond in the dross.

I completely understand your thrill of the hunt. That is probably something every collector shares with you, whether we're talking million dollar artwork or twenty-five cent stamps. How you go about it, though, will determine whether you are successful or frustrated.

I just want to see how many people actively go about searching for gold versus just buying at retail or at major auction houses for a personal collection.

You think the efficient market hypothesis applies to stamps?