Contemporary art is one of the most popular artistic expressions of this century. It brings together all the works of art that have seen the light of day from 1945 to today. Thanks to this, you will be able to acquire new works, aggressive, bubbling and abundant. Indeed, contemporary art is of a boundless originality. You will be able to find it everywhere, whether in advertising, architecture, cinema or even fashion. Its doors are open to everyone, and it is in no way reserved for a specific elite. Faced with all of its positive points, contemporary art continues to attract more and more investors during the numerous auctions organized around the world.
Investing in contemporary art
Nowadays, there are more than 35 billion works exchanged each year around the world and contemporary art holds more than 70% of this market. Indeed, investing in contemporary art does not correlate with current financial markets. In other words, the flows of this type of market do not influence the value of a contemporary work of art. It is rather the fame and the reputation of the artist who depend on it.
Then, you should know that an investment in this area guarantees you a long-term profitability. Indeed, many specialists compare the investment in a painting to that of acquiring a bottle of wine, because with the passage of time, both increase in value. In fact, it is necessary to count on 7% to 12% of annual revaluation.
Add to this, that contemporary works are masterpieces to display in your home. In fact, they will allow you tooptimize the decoration of your dining room. Finally, investment in contemporary art shows the advantage of flexibility at the level taxes since they are tax exempt. In addition, this type of heritage is transmitted very easily.
The principle of a contemporary art auction
Generally speaking, the auction is an organized negotiation process which puts several economic agents into competition, over a defined period of time, for the acquisition or sale of goods with the most favorable conditions. In order to ensure this mediation, an auctioneer presents each work, with its initial price, and raises the bids as the proposals are made. The sale price is then set when there is only one person remaining who outbids.
You should know that in the majority of cases, the identity of the seller is never revealed. Exceptions are obviously made. This is particularly the case when the contemporary works sold are very prestigious, or during a judicial liquidation. Add to this, that the seller is rarely an employee of the auction house. On the rare occasions when this is the case, the latter is obliged to mention it.
Then, for the authenticity of the works presented during a contemporary art auction, an expert as well as the operator responsible for the sale indicates all the information relating to the works sold during the auction. However, it is essential to be vigilant, because they have the right to make last-minute changes to the specifics of the works. This can also be done during the sale itself orally.
However, in the event that a buyer realizes that the work, after acquisition, is a copy and not the original, the latter has the right to request reimbursement and compensation. In addition, it is essential to understand that an auction does not follow the same sales principles than those of a common sale or consumption. Consequently, when the term “awarded” is pronounced by the auctioneer, the contemporary work is transferred to the owner. As a result, the person with the last hand raised will have to pay the announced price. So, it is almost impossible to change your mind once the sale has been made. Finally, for sellers who cannot attend the auction, other remote means are available, such as bidding by:
- Phone ;
- Internet ;
- Firm order.
Indeed, you should know that several websites are intended for this. We can also cite Auction, Interencheres or even Invaluable.
Participate in a contemporary art auction
For an artist or a simple person to sell their works, a specific process must be put in place. The first step is to find a house or an auction operator, preferably specialized in contemporary art. All houses are listed in a directory posted online by the sales council.
Once you have found a suitable home that is interested in your work, you will need to prepare for the sale. To do this, you will bring them home so that an estimate can be made and a starting or reserve price can be set. After that, you will agree on the various fees that arise from this service. The auction session will be led by the auctioneer. Finally, your funds will be returned to you for each work sold.