Commentary on ARTnews article

Contemporary Turkish Rugs

With the recent onslaught of weather related disasters, there’s been a lot of recent media attention to the

 need for appraisals on fine art, antiques and collectibles. And rightly so, as the valuation of art, sterling silver, period furniture and other decorative arts items is virtually impossible if the item is destroyed or lost during a disaster. In a recent article in the May 2011 issue of ARTnews by Eileen Kinsella titled “In Praise of Appraisals” Kinsella interviews several insurance experts about insurance and appraisals, and outlines the need for collectors to have both. In the article various insurance alternatives are discussed, and the need for Insurance appraisals is emphasized.


Sterling Silver



Also discussed in the article is the fact that appraisals need to be current, as values do change. In the article, Vice President Mary Pontillo of the insurance firm DeWitt Stern is quoted as saying “You definitely want to be insured for the value the current market would sustain.” And I agree; appraisals need to be current in order to adequately reflect the replacement cost, as values to fluctuate up and down.

Although the article focuses on fine art, the article and insurance appraisals are applicable to the decorative arts area as well. For example, sterling silver spot prices hit a record breaking high last month, and values for sterling silver hollowware and flatware have increased. It is evident to this appraiser that old purchase records are no longer a good source for determining replacement cost. And values in old insurance appraisals are probably obsolete as well.

In the decorative arts areas, additional insurance coverage may or may not be required, but proof of valuation will always be required in the event of a loss. Ms. Kinsella does discuss the fact that many collectors don’t have items appraised due to the cost involved. And I agree that a lot of collectors don’t have current appraisals as they think appraisals updates are costly.

However, appraisal cost perception is probably unwarranted. I would like to suggest that for most art and decorative arts items, appraisals can be procured at a reasonable cost, especially when considering the value of the item! I offer the following suggestions:

     *Have all of your items appraised at one time. There is a “sunk” cost associated with the appraiser’s writing the core appraisal document, and that cost would be incurred multiple times if you have your items appraised at different times.
     *Procure the services of an experienced and ISA certified appraiser. Don’t waste your money using a least cost appraiser who doesn’t have the right credentials, as it may result in an appraisal that cannot be defended in court in the event of a loss. Appraisals should contain certain elements and be written to USPAP standards, as I have discussed on my website, and using appraisers who don’t adhere to these practices will be a waste of your money.
     *Use an appraiser who archives electronic appraisal records for five years. Our firm retains the document in electronic form, so as values change during a five year period, our clients can have items revalued at a lower cost, as some of the original appraisal information can be reused. As appraisals become outdated, a new appraisal can be obtained at a fraction of the original cost.
     *Get an appraisal estimate in advance. Professional appraisers will normally quote you an hourly rate, but once they see the items and understand exactly what you need to have appraised for insurance purposes, they should be able to provide you with an estimated number of hours.

The other thing that I found missing from the article was the overlooking of the International Society of Appraisers (ISA) in the list of appraiser credentialing organizations. ISA is one of only two organizations that test their members on appraisal theory as well as subject matter material AND retest their appraisers on a routine basis. I am a member of this organization, and in order to maintain my certification, I am request to retest every five years.



I appreciate ARTnews addressing the subject of insurance appraisals, and hope that not only art collectors, but collectors of sterling silver, period furniture, Chinese pottery and ceramics, Chinese export porcelain, Asian art, cloisonné and other collectible items will make sure they have current appraisals that not only reflect current valuation but also accurately document the items in the collection, as you never know what can happen to your precious collection.

Vicky Nash Shaw, ISA CAPP

Certified Antique and Art Appraiser

919 475-6930











Restoration: Do to or not to do?

One of the most common questions that I am asked has to do with the subject of restoration. Should a piece of furniture be refinished? Should a painting be touched up? Should silver be cleaned? What can I do with works on paper? Items age over time, and sometimes they age well and other times, not so well. Furniture is often nicked or scratched. Paintings often fade or get dirty. Silver and other metals tarnish. So, the answer to the question on restoration is always the same, “It depends!”

There are several factors to consider when making a restoration decision. The first situation often encountered is with unusable items; for example, furniture that is broken or porcelain that is chipped. Factors to consider include the value of the repaired piece, cost of repairs, and their sentimental value to you. If you love a piece and it is unusable in its current condition, then having it repaired is an easy decision.

But what about cosmetic repairs, like refinishing furniture or cleaning paintings? For period(original) hand crafted furniture, refinishing a piece of furniture can often negatively impact the value of the piece, especially if it is a signed piece. Often a varnished finish can be simply cleaned, and you avoid the risk of devaluing the piece by having it refinished. Newer machine made furniture presents another dilemma; if the finish is in less than desirable condition, refinishing it will probably add value. However, then you run into the issue of whether it is cost effective, i.e. will it cost more to refinish it than the item is worth?

Fine art should always be stabilized to prevent further damage. For example, a tear in the painting’s canvas should always be repaired. However, there are a lot of factors to consider before cleaning a painting. Is the painting merely dirty from age, or are their foreign substances on the canvas? Are you keeping the painting or are you planning to liquidate it? If you are planning to sell an original work of art, it is best to leave it un-cleaned and let the buyer make his or her own decisions. If you are keeping the painting and are unhappy with the dirt or the darkness of the painting, have it professionally cleaned. Never, never, never try to clean a work on canvas yourself. Leave that task to the experts, as it is easy to do more harm than good.

Paper conservators can do amazing things with works on paper; mold and mildew can be removed, and even tears can be repaired. Again, the question becomes an economics questions; is the item worth the cost of the repairs? For historically significant documents and for important photographs, restoration is always a good idea. But again, trust only an expert who specializes in paper restoration.

And before you go cleaning your silver, brass and copper items, make sure you know what you have and how cleaning impacts the value. I was working with a client a few years ago, and we were selling some of her sterling silver. She had the sterling silver pieces hand cleaned; afterwards they looked great and the value was enhanced with the light cleaning. However, she unknowingly had a silver and bronze Heinz art vase cleaned, destroying the bulk of the value. In a future blog post we will talk more about the care and cleaning of silver.

So, restore or not? It is a personal decision, but consider the above factors when making your decisions. Always use a professional unless you are trained on the type of repairs or restoration your item requires. If you are unsure about the impact of restoration on the value of an item, contact a qualified appraiser. Most credentialed appraisers will also have experts they can recommend for refinishing and/or for repairs. But most of all, make sure your antiques and collectibles are in a condition for you to use and live with. Antiques and art are meant to be used and loved!
Authentic Appraisal & Estate Services © 2010

Vicky Nash Shaw, ISA CAPP
Certified Antique and Art Appraiser

Art, Antiques and Hurriances!

When homeowners prepare for hurricanes, often their art and antiques get overlooked. The Miami CBS4 Affiliate ran an informative and public service article last week; the article was authored by their reporter Jorges Estavez. Here’s a portion of his report:

“When you are preparing for a hurricane, most of us have the basics, like boarding up the house, putting up shutters and stockpiling items like water, batteries, and canned food, down to a science. But there's still the issue of protecting your valuables, the ones you can't lock up like expensive furniture or antiques? Porcelain figurines, ornate chairs, priceless decorations, these are the items on a new kind of hurricane check list.

One woman, who asked to remain anonymous, told CBS4's Jorge Estevez she doesn't want you to make the same mistake she did with her stuff which got ruined after Hurricane Andrew. "My feeling was I really wanted to make sure that I knew what the appraisal value was, God forbid something should happen again," she said. Ever since, she has had everything appraised and thinks everyone else should too.

So make sure and ask yourself before a storm actually begins to head for South Florida, are my antiques checked? An appraisal can cost a couple of hundred dollars, but it could help you save thousands in the future.”To see the entire article, see: www.cbs4.com/local.valuables.antiques.appraisal.2.1109336.html.

Here in North Carolina, we are exposed to potential hurricane and wind damage, even in the areas of Raleigh, Durham and Chapel Hill. It is important to remember that although your homeowners’ insurance may be adequate, it is the responsibility of the homeowner to provide proof of existence and valuation of all art, antiques and collectibles. Insurance companies’ claim policies have different provisions. Without an insurance appraisal, many homeowners have limited options after their loss, and some insurance companies only allow for decorative replacement valuation for art and antiques unless adequate proof of real valuation exists prior to the damage or loss. Investment in an insurance appraisal for your original art, high end collectibles, and period furniture is always a wise choice, especially after you spend a lifetime acquiring your collection.

I provide my clients with two signed original copies of their appraisal: one to retain in their home and one to be retained either by an insurance agent or to be stored outside the home in a secure location. In addition, I retain copies of the appraisal and my notes for five years. So, if a loss occurs, clients will always have access to copies of their appraisal document which not only provides value, but also has detailed item descriptions and photographs. If items have significant historical provenance, I include that information within the appraisal, as provenance can greatly impact value. And, because I have viewed the items included in the appraisal, I am a valuable resource for homeowners who need to prove that items actually existed within their home! For more information on insurance appraisals, see the insurance appraisal section of my website: www.TheAuthenticAppraisal.com/appraisals.php#insurance.

Another good altnernative to insurance appraisals are home inventories, especially when prepared by a professional. Again, you not only have the inventory in a formal document, but your appraiser is your best advocate in the event of a loss.

Vicky Nash Shaw, ISA AM
Accredited Antique and Art Appraiser

Appraisal Studies Journal Presented to North Carolina Art Museum

The Carolinas Chapter of the International Society of Appraisers (ISA) recently donated a copy of the new 2009 Journal of Appraisal Studies to the North Carolina Art Museum Reference Library in Raleigh, North Carolina. The Journal is published by the Foundation for Appraisal Education, a nonprofit organization where the proceeds of the Journal are directed to appraisal educational initiatives and scholarships. The new edition contains 20 articles which focus not only on appraisal theory, but includes diverse topics such as map valuation, autograph forgeries, illustration art resources and photograph appraisals.

The presentation was made to Ms. Natalia Lonchyna, librarian of the art reference library, by art and antique appraiser Vicky Nash Shaw, ISA AM. Vicky is a member of the ISA Carolinas Chapter, and is a full time personal property appraiser working in the Raleigh/Durham/Chapel Hill area. The Journal was purchased by the ISA Chapter specifically for donation to the Art Museum Reference Library. According to Shaw, “The library’s reference collection is a great asset for collectors and researchers, and our local ISA Chapter wanted the Appraisal Journal to be part of the collection.”

The Art Reference Library of the North Carolina Museum of Art is a non-circulating research collection open to the public. According to the museum’s website, the library’s holdings exceed 37,000 volumes, and include books and exhibition catalogues. The library has a large collection of reference material on European and American art. More information on the Museum can be found on its website www.ncartmuseum.org.

The International Society of Appraisers is a professional association that requires the successful completion of specialized course work and standard examinations by their accredited and certified members. The ISA has developed the most comprehensive personal property appraisal education program in America. Vicky Nash Shaw has been an accredited member of ISA for five years. She can be reached through her website www.TheAuthenticAppraisal.com or by phone at 919 475-6930.

Vicky Nash Shaw ©2009

Taking Advantage of the Current Art Market!

Are you taking advantage of the current art market? Art collecting is a passion that many of us share, and hopefully you collect for your personal enjoyment. However, original art can also be a wise economic investment, especially over long the long term. If you can collect and enjoy original art while it appreciates in value, you certainly have a winning combination.

In today’s economy, it is no secret that difficult times are affecting art prices. The Mei Moses Fine Art Index for the first quarter has just been released, and it indicates that art prices declined 35% during the first three months of the year. According to the Financial Times Limited, the “decline accelerated as people who lost money in the financial crisis put up works for sale, often at a loss.” Even the wealthy are experiencing cash flow problems. That is reflected by collectors liquating portions of their collections and by deflated selling prices. Even corporation and museums are selling items from their collections. According to data from the Mei Moses index, contemporary and postwar art prices appear to have been hit the hardest, with works by Old Masters only being marginally impacted.

In the low to mid-range art market, this same type of trend is being seen universally in galleries and in auction houses, both regionally and nationally. Works in this range are also typically selling for 15 to 20 percent less than eighteen months ago. So, is art a wise investment? Like the stock market, unless you have a crystal ball, it is difficult to tell. There are periods in recent history where art prices certainly outperformed the stock market, as measured by comparing the Mei Moses Index to the S & P Index. Many art experts believe that art will outperform the stock index over the long run, and it is clear that the art market did not see a major decline in 2008.

What does all of this mean for the average collector or for someone beginning to acquire works of art? If you have an interest in acquiring art and have the liquid funds to do so, now is a fabulous time to buy original artwork. Good works of art in all price ranges are coming to market, and your investment will go so much further than twelve months ago. If you worry that you might pay too much, engage the services of an appraiser or consultant to advise you or act as your agent; there are deals to be had in almost all categories of art and an expert representing your interest can minimize your risk. Don’t assume that prices for all works of art reflect current market trends; there still high prices out there for the unsuspecting buyer.

But even now, when there are good buys available, remember the most important rule of collecting art. Buy what you like. Collecting art purely for investment purposes is risky and not nearly as much fun as owning art for personal enjoyment. Be selective, know current market trends, look for good value, and buy what you like. Then, you can’t go wrong!

©2009 Vicky Nash Shaw, ISA AM
www.theauthenticappraisal.com