The art market is very hot right now and the heat makes collectors very confused with a little bit of a headless chicken look and feel. There is a “gold rush” kind of feeling at both American and British auctions ,in the last few months things have been crazy! The economy in the states and in London is going well and investments are flying everywhere.
People were afraid to buy art until recently, but now it’s great time to do so, mainly if you are an Asian millionaire who wants to save his money and invest your dollars somewhere out of Asia. In the first years after the economic crash collector’s world changed and lots of art works, memorabilia and classic cars were auctioned in very low prices so the best thing in this kind of market was to find great bargains on post war items. Now it’s time to sell those and make the profit, or buy now before the prices will get much higher.
The wind of change started blowing last year and by early 2014 the figures started to roll upwards. Last week Christie’s were offering 72 lots with the overall sale estimated in the region of $500 million. At Sotheby’s the situation is the same with lots of more than $10 millions each, including Francis Bacon’s “Three Studies for a Portrait of John Edwards (1984)” for about $75 million.
The volatility of stocks and other economic tools combined with the fact that there are a few new millionaires after the economic crash, makes the players invest their money in real estate (check the blooming London real estate market) and in masterpiece art.Famous works of art, artistic masterpieces of well known artists, are leading the price chart of the art industry, which in turn, make the whole art market better, even for up and coming artists.
This only shows how important the art world is and that you can never know how much the art work you just bought from an emerging artist will be worth in 20 years.
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