Is Investing in Oriental Hand-knotted Rugs Profitable?

Los Angeles Home of Rugs on May 8th 2024

The allure of Oriental rugs as lucrative investments has echoed through generations. Many prestigious auctions around the world boast stories of rugs entering with modest starting prices only to fetch exorbitant sums at the hammer. But does this investment promise hold true? Let's delve into the matter.

Certainly, there are tales aplenty of Oriental rugs and tapestries making their owners fortunes. From the Turkmen rug languishing for years in a corner antique shop, eventually fetching over $23,000 at a Boston auction, to numerous similar narratives, these stories tempt retirees and investors alike to pour their savings into the beauty of Eastern craftsmanship. However, is this perception realistic?

Buying a rug isn't akin to winning the lottery, but it doesn't spell doom either. Your investment need not skyrocket overnight to be considered successful. A reasonable appreciation over time suffices.

Given these intricacies, does luck play any role in profiting from rug investments? Not entirely. However, engaging in auctions or purchasing rugs with hopes of hefty returns isn't a prudent retirement plan. While quality rugs tend to appreciate long-term, market preferences evolve. Over the past two decades, tastes have shifted towards tribal and simplistic weavings, but these trends are as volatile as they are unpredictable.

Considering these factors, suppose you still wish to invest substantially in rugs. In that case, awareness of the risks is crucial. But what steps should a buyer take?

Firstly, acquaint yourself with handmade rugs. Investing without understanding breeds failure. Secondly, attempt to forecast trends to align your purchases with market demands. While all rugs hold value, certain types, like Persian, Baluchi, Kurdish, and Turkmen weavings, have garnered significant attention. Additionally, Southeast Asian weaves from regions like Cambodia and Laos remain undiscovered gems, boasting exquisite craftsmanship and high potential for price appreciation.

Nevertheless, every buyer seeks the best. Regular weaves, though cheaper, offer less potential for significant returns unless your aesthetic judgment sets them apart. Finally, forge relationships with adept dealers who offer good deals and are willing to trade rugs in the future.

In conclusion, buy rugs that resonate with you as pieces of art. Whether they appreciate significantly or modestly or not at all, their emotional value will endure. Rugs that don't captivate you won't charm others either. So, invest wisely, but always for the love of the art.

Investing in a hand-knotted Persian rug is a wise decision, as these rugs can become family assets for generations if well-maintained. Persian rugs that are at least 30 years old are considered collectible items, while those that are at least 60 years old are deemed antique.

At Los Angeles Home of Rugs, we take great pride in our collection of vintage, antique, and one-of-a-kind hand-knotted Persian rugs. Each rug is carefully curated and inspected to ensure its authenticity and quality. We want our customers to feel confident in their investment and know that they are purchasing a genuine hand-knotted Persian rug that can become a cherished family heirloom.

We take the authenticity of our rugs seriously and understand the importance of authenticity when it comes to investing in a hand-knotted Persian rug. That's why we provide each customer with a Certificate of Authenticity, guaranteeing that the rug they have purchased is a genuine hand-knotted Persian rug.