Jefferson nickel worth explained - do you have one at home that could be valued at $1,600? |

RARE coins often sell for more than the value of their original denomination.

Typically, the value of a coin depends on a few factors including grade and condition.

First minted in 1938, the oldest-dated Jefferson nickels are typically worth the most.

We reveal a few ways to examine coins and determine how much they may be worth.

What is the Jefferson nickel?

Jefferson nickels feature the third US president's portrait on the obverse with the date and mintmark.

And coins that do not bear a letter mark, typically mean it was minted in Philadelphia.

If you think you have a rare coin in possession, how much it’s worth could depend on grade and condition.

Other factors could depend on low mintage or another unique element.

While there are some Jefferson nickels in circulation that can be rare, coins graded in Mint State (MS) or higher are the most valuable.

Keep in mind that MS-graded pieces are uncirculated - meaning they haven't been issued to the public.

That means they are tougher to find.

For example, a 1961 Philadelphia Jefferson Nickel graded in MS 65 sold for more than $1,600 recently sold on eBay.

But not every Jefferson nickel is going to sell for thousands.

In fact, a 1949 S Jefferson Nickel claimed by an eBay seller to be in an uncirculated grade sold for just under $20.

Going even lower in value, a 1987 Denver Jefferson Nickel frequently sells anywhere between $1.50 and $5.

This won't make you rich - but it's still worth several times its face value.

Meanwhile, error Jefferson coins could also be valuable.

For example, one Jefferson nickel 70% off-center sold for $171.

One thing to check for on your nickel is whether there is a mint mark on the coin.

The letter marks could be found near the top of the reverse or on the bottom right of the obverse.

S-Jefferson nickels, in particular, can be quite rare.

Fewer minted coins signal to collectors a higher value.

Another thing to watch for is the unique silver alloy nickels of 1942 to 1945.

Because they contain silver, each is a premium value nickel.

Large mintmarks were placed on all silver alloy nickels to indicate the alloy change.

This means the "S", "D, or "P marks will be printed more boldly above the Monticello picture.

There are many ways you can find rare coins.

But first, make sure you research the coin first and know what it’s worth before buying.

Typically, the most valuable coins are ones with a low mintage or an error, as it makes them rare.

You could try to get a good deal online through eBay, where rare coins are frequently auctioned.

You just need to search the full coin name, select the "sold" listing and then toggle the search to "highest value”.

If your coins are rare and valuable, you can sell them on eBay or go through a specialist site such as Coinappraiser or USA Coin Book.