The current world events cause a reluctance to spend. Buying patterns are cautious, but not for the arts.
Most art market reports from the second half of 2017 confirm that political and economic uncertainty is impacting high-end purchases. Experts and data are used to help people make decisions. Statistics show that art buyers are moving away from auctions and towards art dealers.
In 2017, art dealers closed 63% of their sales. Auction houses saw a decline in sales of 19%. Collectors look for a dealer with a reputation based on trust, transparency, and discretion.
The global art market had a more positive outlook in 2017 than in 2016, with an 18% rise in positive opinions and an 8% decline in negative ones.
Prices between $10,000 and $50,000 are rising, but artworks above $1 million are declining.
Galleries also reserve expensive art to prevent flooding the market, which would drive prices down. With mid-market prices rising, buyers are more confident buying more riskier artists.
Online marketplaces are changing the game dramatically.
Smaller online auction platforms and new online marketplaces that sell art are putting pressure on the larger auction houses. Young collectors are willing to take on new challenges and use social media to learn about recent trends, interact with artists and buy artwork. These new technologies allow collectors to interact directly with artists, and they can find affordable investment pieces.
It’s an excellent time to begin collecting art.
Few people collect art for the sole purpose of financial gain. The current market is a great place to buy if you have been following some artists but have yet to make a purchase.
These calculations are less satisfying than acquiring an item you genuinely love and can afford. You can also look at the growing markets of Latin America, Russia, and Chinese and Asian art. American and European art is likely to grow.
If paintings are beyond your budget, photography, new media, and installation art will gain in popularity, particularly among young collectors who nurture their growing collections.