How to Buy Ancient Art

An insider's guide written by
Bob Dodge, owner/partner
Artemis Gallery Ancient World Art

So you think you want to collect ancient art? 

Some chemical in your brain has triggered this need to surround yourself with art/artifacts of cultures long lost… to collect items that will sit on shelves and gather dust and aggravate your spouse, confuse your family, turn friends glassy-eyed and provide enjoyment that only you really understand.  If it is any consolation, you are not alone.  There just happens to be a growing number of us out there with this obsession to spend our money on trinkets and treasures discarded thousands of years ago.

If you are going to collect ancient art, make sure you do it right - and yes, there are definitely ways to do it right... and ways to do it very wrong!  Listed directly below are a few of the major pitfalls you will encounter in collecting ancient art:

1) Fakes
2) Fakes
3) Fakes (are you getting the picture?)
4) Grossly misrepresented pieces
5) Grossly over-priced items
6) Items that can make you run afoul of the law (national and international laws relating to cultural patrimony)

To avoid these pitfalls, there are steps you must take to protect yourself and your investments.  Trust me, taking shortcuts will only increase the odds of stepping on the landmines listed above, so without any further ado, let's tackle the steps one by one...

STEP #1

Start by doing a bit of research.  Get an idea of just what kind of ancient art you’d like to collect.  If you think it would be really neat to have examples of art from ancient Egypt or ancient Greece, or the Pre-Columbian worlds, get your hands on books related to the arts from these areas.  There are wonderful coffeetable books covering the major examples of ancient art from most major ancient cultures.  There must be over a dozen major books on Egyptian, Roman and Greek art available at any large book store, and several examples of great books on the art of the Pre-Columbian worlds of West Mexico, Peru, Panama, Costa Rica, the Mayan territories, Casas Grande, Colombia/Ecuador, as well as most other ancient cultures.  If you can not find a book to fit your liking at your local bookstore, try Amazon.com.  We have bought dozens of great books through Amazon.

Once you get your hands on a couple books, look at the objects to get a sense as to what you like/don't like in the way of art of your chosen area.  I highly recommend that beginning collectors specialize in a limited area, because the wider a collecting interest, the much more likely you will stumble into the pitfalls listed above (unfortunately, this advice often falls upon deaf ears in the beginning). 

In most major ancient cultures, you will find an assortment of mediums used in the creation of art - glass, metal, stone, wood pottery, among others.  If you find your interests are drawn more to one medium than another, make a note of that and concentrate on learning all you can about objects made in that medium. 

A big word of warning before we leave Step 1…

The art you’re likely to see in ancient art books are most often very expensive and come from major collections.  Unless your budget is very big, do not assume you’re going to be able to buy major examples of ancient art just yet.  I will cover this is greater detail a little later on, but I never fail to be amused by sellers of fake King Tut stone panels on eBay getting bids in the $1,000-$2,000 range.  To put things in proper perspective, an authentic King Tut panel (if you can even find one, which is highly unlikely outside of a major museum) would cost in excess of $1,000,000.  We were offered a Tut head (just 3-1/2"H) priced at $3.5 million...

STEP #2

Now that you have an idea of what you like, let's go spend some money!  No, not on the art… on more research.  But this time, let's go see what items have actually been available for sale and what other people have paid for them.  Where can we find this critical information?  Auction catalogs!  Maybe by sheer luck, but when I first started collecting many years ago, I got my hands on every darn auction catalog I could find.  I studied these like seminary students study the Bible.  I wanted to see what things sold for, what real items looked like, what cultures were selling for the highest amounts, what set apart items that sold from items that did not sell.  There are perhaps a dozen auction companies around the world that handle ancient art, but I would concentrate on maybe three or four, specifically Christie's, Sotheby's, Bonhams and Arte Primitivo (formerly Harmer Rooke).  Go back as many years as you can find and study them.  When you are done, study them again, and again.  There is a wealth of information in these catalogs.  You will also run into items that you've seen in Sotheby's that later sell in Christie's (and vice-versa), allowing a glimpse at how specific examples of art appreciate (or depreciate) over time.  You will learn various attributes that sets apart Greek from Roman, Mayan from Inca, Egyptian from Assyrian and learn shapes and names of specific items.  In Greek pottery alone, there are over two dozen different shapes/styles of pottery, each with different name and function and value.  One very important lesson you will pick up in studying catalogs is what attributes most affect value.  If I were to rank these attributes and how they impact price, it would be something like this:

1)  Quality of art
In ancient Greece, a small handful of master painters created vessels with such fine art that today these vessels command huge dollars.  In all ancient cultures, there were artists that were exceptional, those that were proficient, and quite frankly those that were lacking (often apprentices).

2)  Condition of the Item
Items in perfect or near-choice condition sell for much more than items that are broken, repaired and especially restored.

3)  Size of the Item
Generally speaking, larger items typically sell for more money than smaller items of comparable quality.  Exceptions do, of course, occur for such things as certain types of miniatures.

4)  Provenance
Items coming from major museums/collections generally command higher prices than comparable items with no famous provenance.  Generally, the older the provenance, the higher price an item will command.

STEP #3

OK, by now you are probably asking can we please now go buy something?  NO!  Before you go out and buy anything, you first need to make sure you have some kind of financial strategy in place.  I do not care whether you're Bill Gates or a school teacher struggling to make ends meet each month, if you are going to collect ancient art, you need to establish a budget – and stick to it!  I can not tell you the number of addicts who buy week in and week out just to be buying something.  They often buy garbage, bad fakes or items that have no real value, with no hope of seeing any meaningful appreciation in the future.  What should your budget look like?  That depends entirely on you, but most investment advisors would tell you do not put more than 10% of your assets into art.  Also, before you begin investing, have some kind of exit strategy in mind.  Do not assume that ancient art is a liquid asset that you can turn around and resell the next day for the price you paid.  Ancient art has appreciated in value in the past, but you will likely experience selling costs to liquidate your collection, so it may take you several years to recoup your initial investment -- and several more to start making any kind of meaningful return – and as they say on TV, past performance is no guarantee of future earnings.

Let's say we have developed some framework for what you can/want to spend on ancient art.  And, for the sake of argument (and as a nice round number to work with), let's say that number is $1,000 per month.  How should you spend it?  Remember, this is still WAY before you decide what to spend your money on...  Should you buy ten $100 items each month?  One $1,000 item each month?  Or one $12,000 item each year?  Decisions, decisions! 

An important rule of thumb…

Buy the very best piece you can, for the budget you have set aside.  That means under no circumstance should you spend your $1,000 on ten $100 items! 

Another important rule of thumb…

Discover your own threshold for pain/reward.  If you get nervous about buying a piece of art for more than $1,000, for whatever reason, don’t force yourself.  Trust me, your tolerance/acceptance for purchasing more expensive items will come in due time as your personal tastes develop and more importantly, as you get comfortable with what you are buying.  We have several wealthy clients who can afford to spend any amount they want, but for whatever reason, they will not buy any single piece for more than $2,000.  They may spend $10,000 per month, but never over $2,000 per piece.  If that works for them great, but this strategy impacts future returns on investment.  Better pieces of art almost always appreciate faster than lower-end material (or they may not appreciate at all), are almost always easier to sell when it comes time to divest of your collection, and perhaps most importantly, tend to hold the owner's interest longer. 

I have a confession to make…

I was one of those compulsive buyers in my early years.  I bought simply to buy, because I was in-the-game.  With the exception of my very first acquisition (which I paid a whopping $200 for!), I no longer own any of those early pieces.  They lost favor and were sold or traded for larger more interesting pieces later on.

STEP #4

The day has finally come – to do more research!  You know what culture(s) you want to possess, you know how much you can afford to spend, you know how much you want to pay for your first purchase, but do you know from whom to buy this piece?  Probably not… 

There are hundreds of dealers out there - many of them are very good, knowledgeable, honest folks who stand behind what they sell.  Unfortunately, there are probably an even larger number who will steal you blind and make you believe they're your best friend along the way.  The trick is to know how to uncover the bad… and locate the good. 
 
Yet another important rule of thumb… DO NOT BUY YOUR FIRST PIECE OF ANCIENT ART ON EBAY! 

That may sound harsh, and I would be lying if I told you there were not good buys to be had on eBay despite all the fakes being sold, but if you do not know what you are doing or do not personally have the eye to tell authentic from fake, avoid eBay like the plague!  Based on current estimates, somewhere around 95% of all items listed under the category Ancient Egyptian, 99% of all ancient Chinese and perhaps as much as 75% of all ancient Roman (with over 95% fakes in anything made of metal) and 75% of all Greek material -- are just plain fake.  The Pre-Columbian category is a wee bit better, but at best you are still looking at a 50/50 chance of buying something that is actually an authentic piece of Pre-Columbian art.  End of story; do not let yourself be tempted to buy from eBay… at least not yet!

eBay is OUT, but here is a great resource you should consider…

Your two options are to buy from auction houses or from a dealer.  The major auction houses are a great place to buy - they generally stand behind their merchandise (at least for a little while) and are run by true experts in ancient art.  I highly recommend Christie's, Sotheby's, Bonhams or Arte Primitivo.  The only caveat is that you can only buy when they are selling and they don't sell more than a couple times per year. 

As for dealers who sell authentic ancient art, there are a number of very good and reputable dealers out there.  With a bit of research you can find out who is the best, who is honest, who is expensive, who is a thief, etc.  A good place to begin your research is a Yahoo group called Ancient Artifacts.  This group, which counts among its members a number of very good ancient art dealers, is always willing to share experiences about dealers, look at photos of items to give educated guesses on authenticity, as well as share their experiences in buying and selling ancient art (they also do not pull punches when it comes to outing dealers who are less than honest).  My only complaint is that, on occasion, the group takes on the personality of an old, whining nag complaining about the same thing again and again – while not actually doing anything about the problem. 

If you have identified a couple of dealers and are curious if they are legit, this group will be glad to help, as will myself.  We know most of the major/ minor dealers and will gladly tell you what we know about them, their product and their reputation in the business.   Once you have identified a dealer/couple of dealers who handle products that you might like to purchase, it is time to do a little bit of interviewing.  These dealers are asking you to spend your money with them, so you darn well want to be sure you get what you pay for.   Starting out, I would recommend asking each dealer to provide you with specifics relating to their guarantee of authenticity, any allowable return periods should a piece not be as stated, how they acquire their pieces, is there any chance that their pieces do not follow national and international guidelines of cultural patrimony (in a nutshell, a complicated series of laws passed by the USA and most countries from which ancient art has originated that requires items of ancient art be legally exported from those countries, usually prior to 1971; varies by country and treaty entered into between the US and said foreign country). 

If you weren’t aware, you should know this…

In most cases, as an American citizen you can be prosecuted for knowingly buying or importing stolen examples of ancient art under US laws, but on two large cases, individuals in the US were prosecuted and convicted in US courts of breaking Egyptian and Italian laws.  In other words, be careful! 

A word about guarantees before we go to the next step…

Most legitimate ancient art dealers offer extensive guarantees relating to authenticity of any item they sell.  Most of these guarantees are Lifetime, which, in theory, means as long as the dealer is living, he/she will stand behind products should they ever prove to be other than ancient/as described.  If a dealer offers anything significantly less than a lifetime, be worried.  You might also want to ask for references of past buyers, see if they have dealt with the major auction houses, any museums or institutions, etc.

Another important lesson about NOT buying on eBay…

Most of the thieves who sell fakes on eBay offer a 7-14 days return period, if that.  Think about it - there is no way, you as a buyer can have any chance to check out a piece in such a short time frame.  These thieves know this and use it to their advantage; however, on the other hand, a very well known dealer of fakes with a shop in New York offers a lifetime guarantee of authenticity.  He has figured out that a portion of his clients will learn the truth about his fakes, but the vast majority will not.  If he buys a fake item for $25, sells it for $500 and has a 10% return rate, he is making a ton of money.  This particular individual has also figured out that as long as he continues to offer this unlimited return, and claims that he is unaware the pieces he sells are fakes, the law cannot touch him.  To date, this (il) logic has worked in his favor, but every effort is being made to shut him down. 

On any purchase you make, be sure that you get an iron-clad guarantee IN WRITING, and that this information is on the actual invoice you receive from the seller.  As we say in the business, a COA (Certificate of Authenticity) is only as good as the dealer who stands behind it.  Believe nothing if it is not in writing.

STEP #5

Now the fun can really begin as you're actually ready to buy your first piece – yes, it's time!  You've identified the culture you want to start with, you've done your research to see what similar items have sold for, you've established a reasonable budget, you're beginning to get an idea of what authentic pieces of ancient art look like, you know what to look for in terms of quality and condition, you've asked the right questions about guarantee of authenticity and cultural patrimony, you've identified a dealer or two you feel you can trust and may have even identified a piece or two that you really like. 

What to do next… 

The first thing is to ask the seller what his best price is.  If you don't ask, you won't know.  Most dealers have a bit of wiggle room built into their pricing and if you are a new buyer, most are eager to sell you your first piece, which means a discount is very possible.  I would also ask the seller for his recommendations and what he likes/dislikes about the piece.  A good dealer is out to make you a long-term buyer and wants you to be happy with each and every purchase.  In fact, it is very common for great friendships to develop between seller and buyer (I bought my first piece of ancient pottery from Howard Rose when he was part of Harmer-Rooke and all these years later, I consider Howard a good friend and great resource).  

Ready to pull the trigger? 

Then it's time to buy your piece!  If you have done all your homework and are comfortable with the dealer and the piece, there should never be any buyer's regret.

QUICK RECAP…

1) Get your hands on books of beautiful ancient art and study what you like.

2) Buy as many auction catalogs as you can find.  Study what sells at what prices.  Get to know the shapes, forms, mediums, quality and condition of ancient art.  You might actually want to study eBay just to see if you can spot the obvious fakes – and there are plenty!

3) Develop your personal financial strategy for collecting ancient art.  Identify a budget you can live with and stick to it!

4) Identify a group of dealers you think you would like to buy from, conduct interviews, get references, delete those dealers you just don't feel comfortable with and start a relationship with those you do like.

5) Identify a couple of pieces that you might like to purchase and compare the attributes of each.  Decide which one makes you smile the most when you see it – only buy ancient art because you LOVE it!  Do not buy ancient art because it is a great buy, but instead always buy because of what it does for your heart!  If you do, you can not go wrong.

6) Negotiate your best price.  Be fair, be considerate, but try.  Never accept the listed price as the only price until you ask for the dealer's best price - sometimes it all depends on how nicely you ask.

7) Buy the piece, but make sure you get all guarantees in writing on your invoice.  If the seller offers a Certificate of Authenticity that's fine, but be sure that it is also the invoice as the invoice is your official contract with the seller.

8) Enjoy your art and take great care to make sure it will survive to the next generation.

Collecting ancient art is a wonderful hobby/interest that has provided untold enjoyment for thousands of individuals, for countless generations.  To hold a piece of art in your hands that was made by a Greek craftsman 2,400 years ago, or an ushabti made by an Egyptian artist assigned to the royal family, or a Mayan potter making cocoa cups for a high priest is an incredible feeling.  It puts you in direct touch with souls who were very much like us, and yet were so very different from us.  It puts life and death into serious perspective and shows us that we are just caretakers of those things in our life that we find important and beautiful. 
I hope you found this article informative and thought-provoking.  I welcome your thoughts and comments.

All the best!
Bob Dodge

---
Artemis Gallery Ancient World Art
400 W. South Boulder Rd., #1300
Lafayette, CO 80026   USA
Phone:  (720) 890-7700
Fax:    (720) 890-4946

(c) 2007 Artemis Gallery Ancient World Art.  All rights reserved.  No portion of this article may be used/reprinted without permission.