Investment is the practice of making your money make money for you. Investing in artwork such as paintings, sculptures etc. is considered as one of the best investment options. When compared with risks associated with investments made in the stock market, investing in art items is relatively less risky. However, as the value of the art pieces appreciate with time, it has a different kind of risk associated with it such as theft, damage, and counterfeit pieces. It is a time tested and evergreen investment avenue which provides the double benefit of owning an art masterpiece while its value appreciates.
What are the advantages of art investment?
An advantage of Art investment is that it is shock proof; any kind of socio-economic uncertainty does not affect its value. The market of art is growing day by day and if you own a master piece, it can give you exceptional returns in long run. You do not have to track it daily like the stock market and it is not deeply affected by volatility. You can sell your assets easily through international auction websites.
Tips before investing in art
- Before investing, you should check the artist who has made the artwork, his past records and the valuation of his creations. This is because the artwork of a famous artist commands a higher value than the others.
- You should compare the prices of the artwork of different artists, the selling rate of their pieces in galleries and auctions.
- Always buy from a dealer and not from the art gallery. This is because the galleries charge a high rate of commission, thereby, the price of the art that you wish to buy also increases. The dealer, on the other hand, would give the piece at a low rate.
- Opt for the artist who is experienced, is reputable in the market, and is consistent with his work and success. Do not go for the ‘one time wonders’.
- As the field needs a keen eye for detail for the art piece, you need to consult an expert to get an alternative view. Any kind of mistake could lead to a heavy loss. Avoid grey art market for a safe and better deal.