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A CRASH COURSE IN LIMITED EDITION ART INVESTING

by: roadmoretraveled( 2 )
3 out of 3 people found this guide helpful.
Guide viewed: 1795 times Tags: prints | limited editions | signed prints | art | limited edition artwork


LIMITED EDITION HUMOR ART. HOW DO YOU BENEFIT? Collecting art can be one of the most enjoyable ways to spend your money. A beautiful work can provide its owner with years of viewing pleasure and it may also give monetary joys as well. It is possible to not only collect, but also invest in art. As in any other field research must be done before the investment is made. Profits can be made through the purchase and sale of art, but it is also easy to lose money doing so. The trick of course is predicting which works of art will increase in value. The problem with this is that there are so many artists in the world and finding the one that will become the next Rembrandt or Picasso can be next to impossible. However, this does not mean that you cannot find works that will increase in value; they are out there. Below you will find some general guidelines that should help you with your investment strategy. Buy the Best You Can Afford The best work by artists--great and not-so-great--appreciates in value more than mediocre work by the same artist. The same is true for antiques and collectibles, too. Even in a down market, prices hold-up better for the top examples of any type of object. Buy Items with a Paper Trail A good provenance hikes the value and adds to the resaleability of an object. Two reasons: it testifies that the piece is authentic & it tells a story. People love a story. We always offer a signed, dated, numbered Certificate Of Authenticity with each piece. In addition, our offices are located in the same studio as the creator so there is no "wondering" if it is the real thing. It is, and we see each piece signed, packaged, and shipped. Buy Signed Objects The signature doesn't show when you exhibit the item? Nobody sees the signature on a Cartier brooch. For resale value, it's got to be there. Is "Just Signed" enough, though? No, of course not, that is, if you are a serious investor or even a novice. Sure it's wonderful to have signed open editions hanging around the house and office. But if you are a savvy investor you are keenly aware there are thousands more just like them and the resell investment market is dismal at best. A signed, numbered limited edition by a unique creator like rLondon is a rarity and the value, according to Amazon is rising at an extremely rapid rate. Buy Items in Perfect Condition Everybody knows stories about the huge price spread between mint-in-box toys versus ones that kids actually used. Sure, you can have a piece restored, but it will never be as desirable as something that was never damaged. We guarantee each product is printed the same day it is shipped and offer a 100% money back guarantee, no questions asked if not satisfied. Keep Items in Perfect Condition Simple attrition is one of the basic reasons antiques have value. Over time, fewer items survive and those that have survived usually deterioriate. Your investment goes up because you take care of it. This not only protects your investment, it expedites the rising value of it. Buy Small Scale Objects Like Artwork On Heavy Durable Paper On a dollars/square inch basis, small items trade higher than big ones. This has to do with display logistics : People prefer Amish crib quilts versus full size ones, because you get the idea, and it takes half the space to show it. All our prints are on 8.5 X 11 115 lb. cardstock paper. Buy Known Entities And Look For Up-And-Coming Talent Of course you could buy a Jackson Pollock drawing showing a representational depiction of a reclining nude. When your friends walk in the door, they say: "nice nude". For resale, buy a Pollock dripped painting. Friends' response: "awesome Pollock!" (Resale market: nice nude=$X0,000; awesome Pollock=$X,000,000) But if you by a Gary Larson, Charles Schulz, or rLondon, people will not only want it, but pay its full value (and usually more). rLondon prints selling on Ebay for just a few dollars, often bring over $300 at charity auction events. The sky is the limit with these prints for a myriad of reasons. rLondon is just becoming an entity, not a matured ripened creator. His work's value is rising per day, faster than many of the famous masters in history. Do NOT Buy at the Top Tempting it may be, but whatever is terminally cool and on everyone's tongue this week is probably not a viable long-term investment. (That's not to say you can't flip it.) If an object, period or artist you own is all over the mass media, it's time to think about unloading. Our primary illustrator, and a principal in our firm, rLondon, is considered "up-and-coming". This means you get the benefits of watching the value rise in its earliest stage. A good analogy might be buying a Van Gogh (had you lived in that era) after he finished his first rendering for a few sheckels. There truly is not a big difference as far as this unique investment value. Of course no investment is guaranteed, but the track record of rLondon is considered a phenomena. The reviewers (worldwide) are beginning to rave, a rarity in the early stages of a creator. Sensitize Yourself to Major Trends Global political and economic shifts are a great clue in trendspotting: In the early 80's as OPEC's oil-pricing power declined, prices of oriental rugs took a hit. In the late 80's the price of Korean antiques skyrocketed as that Tiger economy grew. In the 90's, the fracturing of the USSR generated good interest in Stalinist memorabilia & other tchotchkas since they marked the Cold War--an era now relegated to the history books. Pick your political or economic scenario and build a portfolio of tangible investments around it. Here are a few more points to be aware of when investing: Size Matters One factor to consider when buying art is its size. The smaller the object the easier it is to handle and store. The shipping costs for large artworks are very high (and that's not even including shipping insurance). It is simpler to purchase something which you may take with you, and even carry on your person, than a large object which may need special handling care. Also, if you plan to display the object in your house, it is easier to accommodate a smaller object which can be moved to different locations without disrupting a room's original layout. If you wish to store an object it is most convenient to use a safety deposit box at your local bank. Search for good deals: Once you are familiar with your field seek it out. If you are on vacation visit local galleries and dealers. Different areas have different fancies. You may find that the works you desire may not be as popular in a given area and therefore their prices may be lower. It is almost always true that art objects are cheaper at their point of origin (especially folk art). If you are travelling in an area which produced a specific type of art you may find some worthwhile purchases. On auction sites, there is no need to travel, and with overhead so much lower than brick and mortar stores, you benefit even more. You get to buy low, sell high, or keep and watch the value increase. When learning about your art field you will often learn of other collectors who share your passion. These people may be potential buyers or sellers that you may contact. Also, their estates, for whatever reason, may at some time be auctioned off. This of course is an excellent time to buy. Auction sites such as this one is an ideal place to truly buy this type of artwork at a bargain. You might walk into a gallery and you can be sure to pay at least 8 times the price if not more for the same piece. Be Patient! Don't rush into buying or selling anything. Patience and select buying will help you get the best value for your money. Unlike stocks it often takes years for a work to increase significantly in price, but the increase is usually greater than that of inflation, so hold on. Expect to keep a piece for at least a year before selling.

Guide ID: 10000000001181716Guide created: 06/11/06 (updated 11/03/07)

 
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