Will my rugs increase in value?

The vast majority of rugs, like most items of decorative art, will not increase in value. Properly constructed rugs will provide years of service and maintain their appearance. Whether or not a rug increases in value is usually based on forces of the market and the whims of fashion.


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Which rugs are the best values?

The best advise is "buy what you like". Beyond that, buy the best example you can afford in a given category. Make decisions based on accurate and objective information. Be sure you understand the item's condition, and its other value attributes. Educate yourself or hire an independent appraiser to advise you.


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We are traveling to rug producing countries. Will we save money buying in the bazaars?

Bargaining in the rug markets can be an enjoyable and memorable part of any travel experience. The act of haggling reveals aspects of cultures usually foreign to westerners. Haggling can be entertaining; but always works best if both participants are well informed, understand the process and the item over which they are haggling. Make your purchase as you would any souvenir; buy an item that reminds you of an enjoyable experience.


If you intend to buy a number of rugs or especially expensive examples, be sure you are completely comfortable with your level of knowledge. Be prepared to make a purchase without "trying" the rug in your house. If you lack the knowledge to make an informed decision, buy at home. Dealers will allow you to inspect rugs in your home and provide some level of guarantee as to authenticity, construction and materials. You will avoid the problems associated with shipping and U. S. Customs by shopping at home.

(See Buying Advice)
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Why use an independent certified appraiser?

Independent certified appraisers provide information regarding value in a specialized area. Examples may range from fine art to business assets to intellectual property. Typically, these appraisers are members of a professional society with a code of ethics. Each of these societies has requirements for experience and education that their members must meet. To continue their membership and good standing they must meet recertification requirements. The oldest multi-disciplinary society of appraisers is The American Society of Appraisers. Visit their site at http:/www.apo.com.


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If I buy a rug from a dealer is his appraisal valid?

Insurance agents, when insuring a valuable rug, request an appraisal or receipt to establish the value of the rug. Some oriental rug dealers provide appraisals at the time of sale that may indicate a price more than double the actual purchase price. This type of valuation is often part of a dealer's marketing strategy, an attempt to mitigate the effect of "buyer's remorse". These inflated values result in higher insurance premiums and in some states result in challenges by the insurance company when a claim is submitted. Consult you insurance agent about the specifics of your insurance coverage. A certified appraisal report will provide an objective assessment of the actual cost of replacement if loss or damage should occur.


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How do I prepare for loss or damage?

As a part of your records keep an appraisal report that fully documents information about valuable oriental rugs. An appraisal will provide a basis upon which a claim for loss may be pursued. It should specifically address all the relevant issues about the rug; origin, size, age, materials, and condition to name a few. Similarly, market factors that influence the rug must be identified, for example: what is the date of the appraisal, is the rug available in the current market or must it be custom made.


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How may I be sure of getting the maximum price when I sell my rugs?

Those who may wish to sell their rugs should understand the concept of "highest and best market". It means that market which possesses the highest level of interest and consistently pays the highest prices for a particular rug. An independent certified appraiser would be able to provide that information in his report. Knowledge of the vagaries of fashion, attitudes of collector's in different markets of the world may be crucial to the successful marketing of certain rugs.


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How may institutional collections benefit by using a certified appraiser?

An important first step is to catalogue, identify, and evaluate the components of a collection. This step will allow informed decisions to be made regarding conservation, use, insurance, etc. Additionally, decisions regarding acquisitions and sales may be made more effectively. An independent certified appraiser will be able to provide an additional dimension by integrating all the elements of collection management.


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Quality - Who makes the best rugs?

Comparing Iranian city rugs to tribal rugs from Afghanistan would be a pointless exercise. Each has its own unique characteristics. For both old and new rugs, comparisons are best made within specific categories. Accurate information that fosters an understanding of these categories is essential to making these comparisons. Fortunately the vast diversity of handmade textiles is the subject of much writing and discussion. Trade publications like HALI, and Rug News provide an on-going exchange of information between collectors, scholars, dealers and others. The biannual International Conference on Oriental Carpets contributes to this exchange as well. The website rugnotes.com provides a steady flow of information. If determining "quality" is an important issue it is best to make comparisons within specific categories that include, age, origin, construction and condition.


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What should I know before buying a rug?

Oriental rug collectors like to say "even though every rug tells a story; pay only for the rug." It can be a challenge for the prospective oriental rug buyer to separate information about the important value attributes of a rug from the intriguing stories told about the rug. The terminology used to describe construction, origin, and materials can be confusing and often misleading. Consider the following buying tips:

  1. Shop with dealers who tag their rugs. The tag should list material content, country of origin, age and price. The dealer, who is anxious to answer your questions and to instruct you on how to recognize quality and value, will probably serve you best. Avoid the dealer who tries to impress you with jargon that you and probably even he does not understand.
  2. If you do not understand a dealer's terminology, ask him to explain. For instance, you may find that "art silk" is not silk, but rather mercerized cotton or some other non-silk blend. Peter F. Stone's, The Oriental Rug Lexicon, University of Washington Press: Seattle, 1997 is a valuable resource to anyone trying to put meaning to the subject of oriental rugs.
  3. Remember there is no shortage of oriental rugs. The dealer who in one breath says oriental rugs are rare, and in the next offers a 70% discount, should be viewed with caution. The selling price is what matters; the asking price is probably based on the dealer's fantasy. Shop around, there is a lot to see.
  4. Some dealers advertise "going out of business forever", when in reality they are "forever going out of business". The "going out of business" marketing strategy focuses on the public's avarice and ignorance. These events are often used to "dump" undesirable merchandise.
  5. Established auction houses can provide an interesting venue for the sale of old and antique oriental rugs. The results of sales at national, regional, and local auction houses can provide valuable insight to the collector. Traveling auctions, especially those that feature dramatic statements, such as: "Custom Seizure", "Auction to satisfy IRS lien", "By order of the Duchy of Luckenbach", or "On behalf of the State Comptroller" should be checked out with the listed agency and the state auction licensing authority. These traveling auctions should be approached with great caution.
  6. Visit as many dealers as possible. As you near a decision, focus on a particular country of origin, style, size, material content, quality, and age. Make comparisons within that narrow range; do not compare rugs across categories. The price of a Chinese rug compared to a similar Pakistani or Iranian rug could be (and probably is) substantially different.
  7. Take the rugs that are prospective choices home on approval. Inspect them for defects, color fastness, stains, pet odors and repairs. Look at them under both daylight and artificial light to see if the colors are pleasing to you.
  8. Any information represented by the dealer such as age, condition, knot count, country of origin, specific identity, guarantees, trade-in promises, etc. should be written on the receipt. If he is reluctant or unwilling to do so, beware! Jon Thompson's, Oriental Carpets, From the Tents, Cottages and Workshops of Asia, Penguin Books: New York, 1993, provides an excellent "Notes for Buyers and Sellers".
  9. Oriental rugs as "investments" lack liquidity and seldom go up in value. Buy them for their beauty, their utility, and for the unique touch they bring to your home. With care and good fortune, they may become a family heirloom.
  10. Engage the services of an appraiser who has been tested in his specialty and accredited by a professional society with an enforced code of ethics. This appraiser should be independent from any seller or broker. His appraisals should conform to the Uniform Standards of Professional Appraisal Practice (USPAP).

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How should I get a rug cleaned?

Improper cleaning and repair are the cause of sizable losses to oriental rug owners. Get to know the cleaner and his techniques. If the cleaner fails to recognize your rugs as handmade, go elsewhere. Ask for references and be sure to call those references. At a minimum, the cleaner should remove dust and dirt; wash the rug and rinse away all residues of soaps and cleaners. The cleaner should know how to keep dyes from running. After cleaning, the rug should have a fresh appearance, be free of loose dirt, extraneous odors, or glossy additives.


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What should I know about conservation, and repair?

The approach of "first do no harm" is appropriate and should be followed. Steps of conservation do not interfere with future efforts at restoration. These steps may include such common sense strategies as regularly rotating a rug to distribute traffic or controlling fading due to sunlight. Examples of more specialized steps may involve procedures for exhibiting especially fragile specimen or for removing migrating dyes.


The individual performing this work should be able to answer questions and to outline an approach. Certain steps are consistent with conservation, others are not. Stitching a cut closed is a proper repair; using latex glue with its permanent residue is not. Securing the ends of a rug to prevent unraveling is appropriate, further unraveling the rug to create an even edge is not. Each set of circumstances must be dealt with individually. What might be appropriate in the case of a 19th century specimen may be unreasonable, economically, for a modern, easily replaceable example. The specialist should be able to guide you in making decisions.


Before you agree to any work, ask to see examples of finished work performed on a rug of similar construction. Be sure that repairs are done with skein dyed wool, and not just "inked" at the end of the process. Most specialists are pleased to show you their work and often will give you a tour of their facility.


A certified appraiser may assist you with information regarding the appropriate steps to be taken in a restoration project. His appraisal report may also aid you in determining the amount of value that would be retrieved by a restoration project. By identifying especially rare and valuable examples an appraiser may help you avoid making major mistakes.


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What is a sound strategy for buying old rugs?

Condition is the most important issue involved in buying and selling old rugs. As the interest in old oriental rugs has increased, so have efforts at resurrecting worn or damaged rugs. Some of the efforts have been nothing short of heroic and deserve praise. However, most have taken the form of strategies designed to fool the eye. Concealing worn areas with ink, piecing together remnants of a once larger rug, and "antiquing" new rugs have become common practices.


Know your dealer and his reputation in your community. Always ask for a complete disclosure, in writing, of the condition of a rug you are considering. All the value attributes including origin, and age should be listed on the bill of sale. Inspect any prospective purchase at your leisure in your own home.


An independent certified appraiser will be able to provide you with information that will aid you in making an informed decision.


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Copyright© 2006 Allen R. Kosub