Antique Victorian Furniture - Permanent Devaluation Or Unusual Opportunity?
If you collect, deal or invest in antique Victorian furniture, you've likely received some mixed messages recently with regard to the market.
Let me share what I myself have come across over the course of the past four months or so and then give you my thoughts.
I'll present my research in the confusing and conflicting stream that it has come to me, to show you that you're not alone in wondering what's going on right now.
My first source tells me to be boldly bullish.
It says that now is the time to invest in Victorian antiques, because values are due to rise 60% or more over the course of the next two to three years.
Victorian antique furniture is an upwardly mobile investment.
The next source tells a different story.
It says that Victorian furniture is rapidly losing its value and is perhaps permanently devalued as a result of changing tastes.
But wait, says another.
Sales of antique Victorian furniture are actually on the rise, precisely because of their currently attractive prices.
And antiques in general are enjoying an influx of investment money because people believe that their value will turn around, unlike other investment alternatives.
Now is the time to buy, with the real thing going for less than reproductions.
Then comes a mixed perspective, reporting that prices are at their lowest level in a decade, following the boom of the 90s.
Pieces of antique Victorian furniture are selling for 70-80% less than they were in 1998.
People are desperately selling their antiques to pay off debt.
Dealers are giving up.
Auctions, however, are booming because so many people are selling.
And because prices are unusually attractive, younger people are buying.
A new generation of collector is being formed out of the economic rubble.
And then there's the news that all the misery is really about low-end antiques.
Business at the high-end remains brisk.
After all, a Victorian bed by Herter Brothers just went for $326,000 at auction, a record or near-record for Victorian furniture.
Good antique shows are still drawing crowds.
And the ratings for The Antiques Roadshow are outrageous.
Next I run into a decidedly pessimistic report.
There is a deadly combination of factors working against Victorian furniture, it says.
Economic conditions are leaving people strapped for cash, so everybody is dumping their stuff, young and old alike.
And the market for antiques in general is in the tank because of the internet.
eBay and Craigslist is making it too easy to get things that previously had perceived rareness.
And the young people of today simply aren't collectors, despite the source that claims a change in this regard.
What are we to make of all this? As with most everything, your own perspective is essential.
What is your personal stake and involvement? Are you a dealer with a huge inventory, a beginning collector, an investor looking for an opportunity? Do you own presently devalued Victorian furniture and need to sell it to pay bills? Have you always wanted to acquire nice antique Victorian furniture but haven't been able to afford it in the past? Do you believe that the currently depressed market will never recover? Or do you feel that the best time to buy in any market is when prices are down? Are you an optimist or a pessimist? Okay, here's my take.
If you're facing severe financial hardship right now and need to turn your Victorian antiques into cash, the market is against you.
Selling anything when you desperately need the money puts you at a disadvantage, even when markets are strong.
But you may want to hold on to those antiques if you truly feel you can't get what they're worth.
On the other hand, those of you who are interested in buying Victorian furniture, start looking now.
Get some advice, but don't procrastinate.
See what's online, but be sure to go to the auctions.
Antiques need to be seen, touched, sensed from every angle.
And avoid the very low-end.
Do you know what the ultimate criterion is when assessing the value of an antique? It's this: how much was the piece worth when it was first made? A low-end piece now was a low-end piece in the 19th century.
High-end is still high-end.
Sure, not many of us can afford genuine Herter Bros, but don't go after the cheapest pieces available.
At auctions, you'll be competing largely against dealers who are looking to resell.
See what they're paying.
Dealers know what they're doing, and they're still buying.
They're survivors.
I really don't think that dealers are closing their doors everywhere.
If a dealer is willing to pay a certain price for a piece you like, offer a bit more without getting into a bidding war.
You'll get a good buy that way.
Finally, pessimism is futile.
It attracts what it fears.
Tastes shift.
Markets come back.
As I mentioned above, there's evidence that the current state of the market is actually creating an opportunity for young people to collect antique Victorian furniture, despite what people claim about the tastes of the times.
Be the type of person who sees opportunity in the midst of gloom.
Be an optimist with open eyes.
Who knows, you might just find a gorgeous Victorian antique to put into your home for a lot less than you would have dreamed it would cost.
And if it rises in value over time, as it is likely to do, what a bonus!
Let me share what I myself have come across over the course of the past four months or so and then give you my thoughts.
I'll present my research in the confusing and conflicting stream that it has come to me, to show you that you're not alone in wondering what's going on right now.
My first source tells me to be boldly bullish.
It says that now is the time to invest in Victorian antiques, because values are due to rise 60% or more over the course of the next two to three years.
Victorian antique furniture is an upwardly mobile investment.
The next source tells a different story.
It says that Victorian furniture is rapidly losing its value and is perhaps permanently devalued as a result of changing tastes.
But wait, says another.
Sales of antique Victorian furniture are actually on the rise, precisely because of their currently attractive prices.
And antiques in general are enjoying an influx of investment money because people believe that their value will turn around, unlike other investment alternatives.
Now is the time to buy, with the real thing going for less than reproductions.
Then comes a mixed perspective, reporting that prices are at their lowest level in a decade, following the boom of the 90s.
Pieces of antique Victorian furniture are selling for 70-80% less than they were in 1998.
People are desperately selling their antiques to pay off debt.
Dealers are giving up.
Auctions, however, are booming because so many people are selling.
And because prices are unusually attractive, younger people are buying.
A new generation of collector is being formed out of the economic rubble.
And then there's the news that all the misery is really about low-end antiques.
Business at the high-end remains brisk.
After all, a Victorian bed by Herter Brothers just went for $326,000 at auction, a record or near-record for Victorian furniture.
Good antique shows are still drawing crowds.
And the ratings for The Antiques Roadshow are outrageous.
Next I run into a decidedly pessimistic report.
There is a deadly combination of factors working against Victorian furniture, it says.
Economic conditions are leaving people strapped for cash, so everybody is dumping their stuff, young and old alike.
And the market for antiques in general is in the tank because of the internet.
eBay and Craigslist is making it too easy to get things that previously had perceived rareness.
And the young people of today simply aren't collectors, despite the source that claims a change in this regard.
What are we to make of all this? As with most everything, your own perspective is essential.
What is your personal stake and involvement? Are you a dealer with a huge inventory, a beginning collector, an investor looking for an opportunity? Do you own presently devalued Victorian furniture and need to sell it to pay bills? Have you always wanted to acquire nice antique Victorian furniture but haven't been able to afford it in the past? Do you believe that the currently depressed market will never recover? Or do you feel that the best time to buy in any market is when prices are down? Are you an optimist or a pessimist? Okay, here's my take.
If you're facing severe financial hardship right now and need to turn your Victorian antiques into cash, the market is against you.
Selling anything when you desperately need the money puts you at a disadvantage, even when markets are strong.
But you may want to hold on to those antiques if you truly feel you can't get what they're worth.
On the other hand, those of you who are interested in buying Victorian furniture, start looking now.
Get some advice, but don't procrastinate.
See what's online, but be sure to go to the auctions.
Antiques need to be seen, touched, sensed from every angle.
And avoid the very low-end.
Do you know what the ultimate criterion is when assessing the value of an antique? It's this: how much was the piece worth when it was first made? A low-end piece now was a low-end piece in the 19th century.
High-end is still high-end.
Sure, not many of us can afford genuine Herter Bros, but don't go after the cheapest pieces available.
At auctions, you'll be competing largely against dealers who are looking to resell.
See what they're paying.
Dealers know what they're doing, and they're still buying.
They're survivors.
I really don't think that dealers are closing their doors everywhere.
If a dealer is willing to pay a certain price for a piece you like, offer a bit more without getting into a bidding war.
You'll get a good buy that way.
Finally, pessimism is futile.
It attracts what it fears.
Tastes shift.
Markets come back.
As I mentioned above, there's evidence that the current state of the market is actually creating an opportunity for young people to collect antique Victorian furniture, despite what people claim about the tastes of the times.
Be the type of person who sees opportunity in the midst of gloom.
Be an optimist with open eyes.
Who knows, you might just find a gorgeous Victorian antique to put into your home for a lot less than you would have dreamed it would cost.
And if it rises in value over time, as it is likely to do, what a bonus!
