ORIGINAL ART AS INVESTMENT

By Hall Groat Sr.

IMPORTANT LESSONS IN COLLECTING ART

Entry level stock investors may not have the funds to buy the blue chips, Therefore, they must wait for the market dip to build a portfolio that may grow. Buy low and sell high takes patience although the bottom is illusive and the risks are always there in a volatile economy. Lets talk about taking a different tack and a way of elevating your lifestyle while still building equity.

COLLECTING ART 101

Buying direct from an established artist is always better than dealing with a gallery. Artists are generally fair minded people and more accessible than you think. If you have little to spend and only buy unframed work you may receive a much better price and not end up with a glut of framed work and no way to store it. If you pay a gallery commission of 40 to 50% you will limit your ability to enjoy a profit down the line. Buy low and sell high in art- is smart business!

COLLECT ORIGINAL ART ONLY

Avoid buying any art referred to as an original reproduction. This is double talk and you will be stuck with a worthless investment regardless of what you may be told by a dealer.

BE A SOPHISTICATED COLLECTOR

Study everything about each artist you collect and build a file tracking their shows and market activity. Obviously, names mean everything. Its much easier to resell an artists work with international name recognition than a pretty picture by your aunt Minnie- who won a prize on a clothesline sale in Peoria.

DONT PLASTER YOUR WALLS WITH ART

Wall to wall paintings do not mean you are an art collector. It means you are a dust collector. Nothing worse than a glut of unorganized stuff when you have no idea of origin or value. The best idea for a serious collector is to build a storage rack in a dry place in your home. Label each piece of art so it will be accessible.

ROTATE YOUR ART COLLECTION

When you begin to enjoy being a collector of fine arts, you will find yourself rotating your work to different locations in your home or place of work. Your friends and business associates will know you are a serious collector and you may become the go -to-guy when they are looking for a new painting for their home. And that's when you begin to turn a profit.