If you decide to invest in art, some people around you might well start behaving suspiciously. The reason is pretty simple. In their eyes, you might look like an ultrawealthy collector with a lot of money. This stereotype has long become outdated, but some groups of people still perpetuate it. The truth is that art investment happens to be one of the most profitable ways to use your money. In case you want to become an investor, you will need to know the following five golden rules of successful investing.
Five golden rules of successful art investment
1. Separate collecting from buying
Many art investors don’t understand the difference between buying and collecting art. If you want to invest meaningfully, you become a beginner collector, not a buyer. As a rule, a collector has collection objectives and strategies.
2. Work with professionals
When you want to purchase a painting, a print, a sculpture, or any other form of art, you should work with professionals. Look for reputable art dealers and advisors and avoid shady offers. The art industry is full of crooks.
3. Start small
Many still believe that you need to be a millionaire to start an art collection. No, you don’t. You can start with a minimal budget. Of course, it will require more time and research to make an art investment, but it is still possible.
4. Invest in contemporary art
If your budget allows you, you should invest part of it in contemporary artists and art projects. While it is riskier, it might well generate substantial revenue in the future.
5. Exercise patience
Art investment belongs to long-term investments, so patience is as important as money. You should train yourself to withstand the temptation of selling an artwork when its price slightly rises.
Those five rules are as valuable as gold itself. If you follow them, you have greater chances of success. Good luck!