Factors influencing value

The nature of the antiques business is different from that of others because the value of an item depends on many different factors. It is not a simple matter of supply and demand. There are hoards of antique price guides in existence that might be taken as "the gospel" by a novice antique collector. However, these books should merely serve as a gauge of general price ranges rather than the precise value of an antique.

Additionally, the antique industry is unique because the merchandise is usually rare. When you buy or sell an antique, you are trading an item that probably is not very common. Therefore, when a seller departs with a piece, it may or may not be replaceable. This aspect of the antique business makes it very hard to determine value. However, the major factors that most antique dealers say will influence their perspective of the value of an antique are: collecting crazes, condition, completeness, repair and restoration, scarcity, geographic location, and cross-market appeal.

Authenticity:

Determining authenticity is a learned skill that requires a lot of research. Looking for identification marks and certain classic features of an antique will help, but learning to spot a fake can be difficult. If you are interested in an expensive antique, you may want to ask the seller for a certificate of authenticity if one is available. If not, having the antique authenticated will be well worth the investment. Any auction house has the capacity to provide this service, and many will provide free appraisal clinics.

Condition:

The most influential factor in determining the value of an antique is the condition of the item. Does it have cracks in it? Is the material faded? Are the edges frayed? All of these considerations are used to discount the value of an item. Grading standards for condition exist in some antique categories and will be crucial in your ability to communicate with a buyer or seller regarding the condition of an antique. However, remember that condition terms are subjective so precise descriptions are the best form of communication. Here is one example of a grading standard that antique dealers use:

MT Mint condition
NM Near mint condition
VF Very fine condition
F Fine condition
VG Very good condition
GD Good condition
FR Fair condition

Another aspect to consider is that some areas of antique collecting stress original condition or untouched condition, especially for surfaces and patinas. For example, a piece of 18th century silver is more valuable if it has never been aggressively cleaned and polished. Furniture that has never been refinished, thereby maintaining its original finish, is more valuable and desirable than the same item with a recent refinishing. Painted surfaces are most desirable if they have never been altered or overly restored. The unmistakable glow of an old, acquired patina is often the most important aspect when determining an antique's market value.

Scarcity:

Scarcity tends to be very closely related to age. If an item is 5000 years old, there are going to be very few similar items available. However, some antiques are rare for other reasons. For example, Hazel Atlas Glass Company made butter dishes in a pattern called "Crisscross" between 1936 and 1938. The value of the clear dish is around $16, the pink dish around $33, and the deep blue dish around $80. The price values vary because the deep blue dishes are less common than the pink or clear ones. This aspect alone is why the deep blue dishes are worth 5 times more than the clear dishes.

Geographic Location:

Finding an antique close to where it was made will probably cost more. Most people like to buy items that were made in their native locales. Antiquers who both buy and sell use this to their advantage to ensure their profit margin. In this manner, the geographic location effect drives demand and therefore the price of the painting is driven up.

Collecting Crazes:

There are many forces that affect collecting trends. For example, when Andy Warhol's collection of 134 cookie jars sold for $240,350, the demand for kitchenware antiques skyrocketed. Fads from association are very popular and smart antique collectors should "keep their ear to the ground" for the latest fads to capitalize on the upcoming collecting crazes.

Cross-Market Appeal:

Cross-collectables are collectables that appeal to more than one collector group. Cross-market appeal increases the number of people interested in an item, and competition can drive the price upward. Different groups will place different values on the same item, so it is beneficial to think about which collector groups might be interested in what you have to offer. Often you will think of at least 3 or 4 groups!

The above was written using information from Miller's Understanding Antiques by Judith and Martin Miller and Kitchen Collectables: The Essential Buyer's Guide by Diane Stoneback.

Definition of an "Antique"
How to Learn About Antiques
A Brief History of Antiques
Why People Collect Antiques
Major Categories in Antiques
Factors Influencing Value
Tips for Finding and Buying
Tips for Listing and Selling
Displaying Your Collection
Caring for Your Collection
Insuring Your Collection
Books
Glossary