The art market has seen a significant shift as the tastes of the super wealthy have changed in recent years. What was once a world of Old Masters and Impressionists has become a market for contemporary and emerging artists, where value is driven by demand more than scarcity. The high-end art market is now a global marketplace that reaches far beyond traditional galleries and auction houses.
Taste, however, remains personal. Some collectors will buy what they like, while others will buy what will increase in value over time. Whatever your objectives are, it’s important to make sure your collection is properly stored and insured so that you can enjoy it with peace of mind.
Here we offer 10 tips for making the most of your fine art collection:
1. Consider digitizing works in your collection.
2. Take inventory of your collection.
3. Make sure your artworks are properly insured and stored at all times.
4. Protect against theft by installing alarms and motion sensor lights at entrances to exhibition spaces or bedrooms where works are displayed.
5. Keep a photographic record of your collection to help with valuation and insurance purposes if needed.
6. Research auction records for comparable pieces sold by reputable auction houses to get an idea of what your works may be worth in
When it comes to art as an investment, focus on the basics.
One of the best ways to create a profitable art collection is to buy what is already popular.
Fine art is like any other kind of art, except more so. Music, film, and literature all have their stars: names better known for their popularity than for their creativity. And those stars are the key to success in any of the arts, but particularly in fine art.
Taste happens to be one quality that makes an artist popular. And one reason why some artists are more popular than others is because they manage to convey complex ideas and emotions in a way that appeals to wide audiences.
These are the artists who will continue to increase in value over time.
1. Buy art when you are young and wealthy. If you buy art when you’re young and wealthy, you can afford to make mistakes.
2. As an extension of buying art when you’re young and wealthy, buy art before it’s “discovered.” I don’t mean that buying a work of art should be a speculative endeavor, but if you have the opportunity to purchase a young artist’s early works, take advantage of it; those early works will appreciate faster than later ones.
3. Buy with your heart and not your head. Many people buy art to be investment vehicles; if you’re going to buy for investment purposes, don’t let anyone (including yourself) know about it or the prices will drop precipitously as soon as it is perceived that the piece has been purchased only for investment purposes.
4. Buy what moves you in some way, whether that be a painting by a known artist, or an unknown who has caught your fancy.
5. When considering pieces for purchase, look at how they fit with other works in your collection; this will help guide future purchases and give a sense of cohesion to your collection as well as making it more marketable. Also, look beyond just the aesthetic value of a piece and consider how
1. Art is a great investment. Art does not always appreciate in value, and it’s true that you can’t eat a painting or wear it to the office. But art is one of the few assets that will never lose its intrinsic value, and it is historically proven to increase in value over time.
Grow your own art collection by choosing one piece at a time and keeping it forever.
2. Consign with professionals. If you are interested in selling a piece of art, consigning with an auction house or gallery may be right for you. The gallery or auction house will do all of the work to sell your work and typically takes 25%-40% of the sale price as their commission.
3. Don’t sweat over condition reports. When consigning art with a professional, don’t worry about the condition reports provided before the sale. Condition reports are meant to protect both parties; they will outline any known defects such as cracks, damage or restorations and will also provide estimates on what kind of monetary return those conditions could cause for the buyer after purchase. The estimates are just that—estimates—and should not take precedence over what you think your art is worth or what you might get from another collector down the road if you choose not
1. Separate your personal and commercial art. If you are not sure whether you’re willing to sell your art or not, keep them separate. You will have clearer expectations about pricing the pieces and be able to negotiate better with buyers, who are often looking for specific pieces.
2. Keep track of the realistic value of your art, based on prices that are currently being sold for by other artists in similar mediums and with similar experience levels.
3. Price your work at a realistic level by checking out prices of artwork on websites such as Artnet or Artspace, or by asking gallery owners what they would sell it for.
4. Price your work per square inch rather than per piece, especially when you have large works that can’t be broken down into smaller pieces without damaging the integrity of the piece itself (this rule is different if you’re selling multiples).
5. Don’t get too attached to the materials and techniques used in creating a work of art—a painting could be worth more if it’s done on paper over canvas instead of oil paint on canvas; a drawing could be worth more if it’s done in pencil instead of crayon; etc. The exception would be if there’s an historical significance with the materials used or technique
Art collecting is a way to build wealth if you are a serious collector. Many of the world’s wealthiest people have art collections that they can use to make money. You can even start building your own art collection with these ideas:
1) Buy from Art Fairs. The best time to buy fine art is at an art fair. There are many different types of fine art available at art fairs. You can find everything from original photographs to paintings, sculptures and ceramics.
This is good for you because you don’t have to pay auction prices for the work of artists who have been vetted by experts. And because there is so much art available in this way, it is easy for buyers to compare prices and check out the quality of different pieces.
2) Buy what you love. When buying works of fine art, it’s important to buy things that you love rather than things that will appreciate in monetary value over time.
Buying what you love will give you more pleasure than something that is just going to increase in value over time anyway.
3) Don’t be afraid of reproductions or copies of famous works. If you have never bought reproduction prints or copies of famous works then now might be the time for you to buy them. These
Art As An Investment:
The art market is notorious for being an extremely difficult one to be successful in. This does not mean that it is impossible to find a decent return on your investment. However, you must know what you’re doing. The most important thing you can do before buying art as an investment is to have a plan. You must know the following:
What kind of artist do I want to invest in?
Why do I want to invest in this artist now?
How will I promote and sell this artist’s work?
What are my goals for this investment?
If you are able to answer these questions, then you may be more likely to succeed in the art market. To help you get started, consider these tips: