All the desire in the world will not get you very far in stamp investing without the knowledge to go with it. And unfortunately, as with every field, there is no easy way to obtain knowledge. But there a few shortcuts.
Beware of price shopping. Price shopping is an excellent way of saving money when you are searching out a brand-name dishwasher, but it can be dangerous when you are buying a stamp. Suppose you see the same stamp graded the same way by two stamp dealers, but one is hypothetically priced at $500 and the other at $300. The novice’s brain will be hearing, “I’ve got a bargain,” whereas the more advanced collector-investor will only hear, “Danger…” In the highly competitive stamp business, it is unlikely (not impossible but unlikely) that two stamp dealers will have high-grade philatelic material at such widely varying prices. Variations of 20 percent may exist, but much more is improbable. Be especially careful if one price is much lower than the prevailing price usually charged for that item. No doubt the dealer with the very low price will proudly tell you that his is so low because he recently rooked some widow. But even if the dealer does have the smell of a skunk, is it realistic to assume that he would pass on the results of his dishonesty to you? More likely, it is not only the widow who gets ripped off. People who are sold repaired or altered stamps usually paid no more for the stamps they bought than the stamps were really worth. It’s just that the buyers thought they were getting a bargain.
A collector-investor’s stamp room should look like a library. He should subscribe to stamp papers and magazines, auction catalogues (with prices realized), and price lists. There is no substitution for knowledge.