Buying At Auction

The Auction block is where the world can see the true value of a painting. It is place where great artworks can be acquired and solid investments can be made. The energy in the room unlike any other place. Emotions can run high, bidding wars happen, but most importantly, the best available artworks are on display ready to change hands. Auction season is a great opportuinty to feast your eyes on new paintings that haven’t been in circulation for sometimes up to 50 or 100 years.
There are many things to consider when buying a painting at auction. Authenticity should be guaranteed by the auction house, but the condition is not always the best, artworks are sold as seen, and, all sales are final - so you want to make sure you are buying the right work, in the right condition as well.

Here are a few more things to consider when buying from auction.

Provenance, Ensure the artwork is genuine and has a documented history of ownership, the less the artwork has changed hands the better, owned by a museum or exhibited by a museum? Even Better.

Condition: Assess the physical state of the piece. Any damage or restoration will affect its value.

Estimate and Bidding Strategy: Review the auction house's estimates and decide your maximum bid ahead of time to avoid impulsive decisions or getting into a bidding war.

Auction Fees: Be aware of additional costs such as buyer's premiums, taxes, and shipping. There is usually a 25% Buyers Premium on top of the final hammer price. This can be negotiated by an advisor but also differs between different auction houses.

Artist's Market: Research the artist’s market history, including past auction results and overall demand. Timing is everything when buying a painting.

Your Taste and Space: Consider how the piece fits into your collection and whether it resonates with you personally.

Legal Considerations and Logistics: Understand the terms of sale and any import/export restrictions and taxes that may apply.

Working with the right advisor can eliminate the stress of buying the wrong painting, buying too high, or can help avoid any surprises that could come up when dealing with a multi million dollar art transaction.