Arts and Antiques Market Shrugs Off Recession

10/13/2009 20:39

NEW YORK – October 13, 2009 – Cheap money is continuing to drive up prices in the arts and antiques market, according to the latest survey from The Royal Institution of Chartered Surveyors. The all lot net price balance has doubled in the last three months from +7 percent to +14 percent, indicating that an increasing number of arts and antiques valuers believe that prices are rising rather than falling. In fact, the latest responses demonstrate that prices are rising in 70 percent of the market, and that it is the top end of the market that has the strongest readings. However, the contemporary art market is starting to look like the lame duck of the arts and antiques sector as more valuers report that prices are falling. “In the United States, the question of market activity is less about market volume and more about the locus where activity is manifesting itself,” according to Beverly Schreiber Jacoby, Ph.D., FRICS, President of BSJ Fine Art. “Sales venues are migrating from highly public international auctions and fairs to more private and personalized arenas. Since the last quarter of 2008 both buyers and sellers have realigned their expectations to more rational levels resulting in building momentum for successful transactions which are taking place in a more cautious and thoughtful context.” The number of valuers reporting that prices are falling rather than rising in the contemporary arts market increased in the third quarter of this year to 34 percent, from 24 percent in Q2. As in previous quarters, prices fell across the board and show a marked contrast to the rises seen at the start of last year. In contrast, the traditional “safe havens” of jewelry and silverware had strong readings, with positive results in all price brands. 44 percent more surveyors felt that jewelry prices were still rising, and 37 percent more felt that silverware prices were on the up as well. The oil and watercolor sector is still strong at the top end of the market, despite recording an overall net balance of -3 percent. 9 percent more surveyors believed that prices were rising in the market for pieces over £50,000 ($79,250), and 14 percent more agreed that those between £5,000 ($7,925) and £50,000 ($79,250) were still experiencing price rises rather than falls. Notes for editors: RICS Arts & Antiques market survey Published quarterly, the RICS Arts and Antiques Survey measures surveyor confidence in the general arts and antiques market and in certain sub-sectors including gold and silver, furniture, pictures, ceramics and clocks. About RICS & RICS Americas RICS (Royal Institution of Chartered Surveyors), with headquarters in London, is the leading organization of its kind in the world for more than 100,000 professionals in property, land, construction and related environmental issues. RICS Americas, based in New York and covering North, Central and South America and the Caribbean, has more than 3,000 members in commercial and residential development, construction and project management, brokerage, planning and finance, valuation and fine arts appraisal. For further information visit www.ricsamericas.org or e-mail ricsamericas@rics.org.