Yesterday I acquired 5 more proofs from the Heritage FUN auction. There were 81 proofs (not counting the "special" proofs in the auction. Alabama and Arkansas notes drew respectable prices, but the longer the auction wore on the lower the prices got. By the time they reached the Maryland notes it seemed like anyone who placed a bid won the lot. Many of the notes went for half the low estimate, which was the reserve. Three of the notes I bought went significantly cheaper than that, apparently having no reserve.
To be sure the notes I bought were "impaired". But if you review the Christies catalogue carefully, some of them were only available as impaired notes. Case in point, I bought the Howard Street Savings Bank $1 note for $55 because it was in very rough condition. Read what Christies had to say about these:
Quote:
613 Baltimore, The Howard Street Savings Bank, four sheets of demand notes and a sheet of certificates of deposit, the first three sheets $1-$1-$3-$5, 18__, DB, the One Dollar notes similar to MD-85-G2 except for bank title, the Three and Five Dollar notes are unlisted, the certificates of deposit $1-$1, 18__, H&D, the fourth sheet $20-$50, 18__, DB, the first three sheets show extensive damage including tears, tape repairs and missing pieces, the last sheet is nearly flawless, the certificates of deposit are aged with small missing pieces confined to the margins, the last sheet is mounted on card, the others are mounted or stamped (5). $200-300
Another of the bargain finds was a $5 Farmers & Millers Bank note from Hagerstown for which only three examples were sold at Christies likely all of which had stains and tears. Another $55 purchase.
As a general rule, buying impaired notes is not really a good investment, obviously... but at these prices and with the rarity being as high as these are, I couldn't pass them up. I still wonder whether people factor rarity into their value calculations, or is it all about how pretty something is?
Here are the pictures:




