Do Old Stock Certificates Have Any Investment Value?

QUESTION: I’ve been unpacking some old boxes of things left to me by my father. In one of them I discovered some old stock certificates. Are they worthless or do they have investment value?

ANSWER: Old stock certificates, especially those from defunct companies, are only worth the paper that they’re printed on. But some, especially those with signatures from famous people, famous companies, or those involved in major scandals, can be worth quite a bit.

What exactly is a stock certificate? A stock certificate is the physical piece of paper representing ownership in a company and includes the number of shares owned, the date, an identification number, usually a corporate seal, and signatures. They’re larger than a standard letter-size piece of paper and many also have elaborate engraved designs to discourage counterfeiting.

Stocks represent partial ownership in a company. Today, most companies keep records of ownership electronically but some allow their shareholders to request a paper version. Each certificate starts out as a standard design to which the company adds the date of issue, identification number, and other information, including the printed signature of the chief executive. Executives on older certificates signed them in ink.



According to financial historians, partnership agreements dividing ownership into shares began to be used in northern Italy during the Middle Ages. However, these early shares were only intended to be in effect for a short time and only included a small group of people. Eventually the idea of shareholding spread to Belgium, and it’s believed the concept caught on in the trading town of Bruges. It was here that the idea of the stock exchange originated.

Eventually, shareholding took its next big step in Amsterdam in the early 17th century when the Dutch East India Company, formed to encourage trade in spices from Indonesia, issued shares that were tradable. The company compensated its shareholders well for their investments. In 1621, the market saw the issuance of shares for the Dutch West India Company, and much financial innovation ensued. Stock exchanges in the New World didn’t appear until 1790 in Philadelphia and then two years later in New York.

Collectors love canceled stock certificates because of their beautiful and elaborate graphics, as well as their connection to the historically significant companies they represent.

Old certificate values vary depending on their rarity, beauty, collector interest, historical importance, and  autographs, and industries for which they’re issued. Like all collectibles, supply and demand determine value.  Interesting pieces create a lot of demand while supplies vary.

What affects the market for stock certificates? Above all, general economic conditions tend to influence the prices of old stock certificates because many collectors of them are also involved in the real stock market. The law of supply and demand, as with other collectibles, governs this market as well. And Internet auctions have increased not only the availability of old stock certificates but their ease of purchase.

What determines the pricing of old stock certificates? Two important price boosters are signatures of important people and newly formed companies. For example, a Standard Oil Company certificate that John D. Rockefeller signed is worth nearly $8,000 today. Prices have leveled off in the last few years and finding rare certificates at reasonable prices has become a real challenge.



As with postage stamps, pricing can be affected by the rarity of a certificate—the rarer it is, the higher the price. An autograph of someone famous of the stock company with which he was involved also raises the price. Whether a stock certificate has ever been issued also influences it value, as does its age and decoration. The location and history of the company don’t affect the price of a certificate as much as, say, its condition and whether its cancelled or not.

However, no one point is always in control of a certificate’s value. For example, a Cody-Dyer Arizona Mining & Milling stock certificate, from a failed gold mine, signed by Buffalo Bill Cody currently is currently valued at approximately$4,000, while a rare unsigned Buffalo Bill's Wild West Co. stock certificate sold for $20,000 at auction in 2008.

As with any collectible, you should always collect stock certificates that are in excellent condition, have been issued, and are uncancelled. You should also collect certificates from industries that you’re familiar with or in which you’re interested. Early companies issued their stocks in small quantities, thus limiting the number of their certificates in today’s market. But there are lots out there for sale at low to reasonable prices.

To read more articles on antiques, please visit the Antiques Article section of my Web site.  And to stay up to the minute on antiques and collectibles, please join the other 18,000 readers by following my free online magazine, #TheAntiquesAlmanac. Learn more about western antiques in the special 2019 Spring Edition, "Down to the Sea in Ships," online now. And to read daily posts about unique objects from the past and their histories, like the #Antiques & More Collection on Facebook.

Restoring an Old Rocker

QUESTION:  This rocking chair was left at our house by one of the previous residents. We live in a very old home (built around 1910) which makes me think the chair might be old too. Can you tell me it’s age?

ANSWER: Your chair probably dates to sometime in the early 20th century. I'm sorry I can't be more exact. It looks like it had been painted and someone tried to strip off the paint. They probably found it too much of a job, so they just abandoned it.

You’ve probably heard on the Antiques Roadshow that refinishing antique furniture can diminish its value. But in a case like yours, it can only improve it.

Before you do anything, take time to inspect your chair for any identifying labels or marks that may help you research its origin. Check the overall condition of the wood. If a piece looks to be valuable, leave it alone, or have a professional do the work. In this case, you can do the work yourself.

I would suggest fixing the chair. The part that seems to be apart on the left side of the seat can probably be pressed down and reglued. Use a generous amount of Elmer's wood glue and several C clamps. Let it set for several days.

Wash the chair using a sponge with a scrubby side and a mixture of anti-grease dishwashing detergent and water. You can use this on your chair because it’s been fairly stripped down, but you wouldn’t use the scrubby sponge on a piece with a varnished or painted surface, no matter how bad it looks. Don’t get the chair too wet. Do one part at a time and wipe immediately.

After the chair dries, you'll want to sand it---first with a 150-grit sandpaper wrapped around a block of wood or one of those sanding blocks. Follow this with a finer grade.

Finally, you'll want to select a good paint. Although Home Depot has some great
one-coat paints, in this instance you probably should use an undercoat and a final coat. The wood is dry and has been through a lot, so you'll want to seal it. Frankly, you can paint it whatever color you like. If you can see the color of the old paint, you could use that as a guide. Choose a semi-gloss finish. And give the seat at least two coats.

Even if a piece isn’t a rare antique, it’s best to take the path of least resistance. Sometimes, all a piece will need is a good cleaning. Murphy’s Oil Soap will do a good job while giving the wood back some of its much-needed oil.

The joints of older pieces of furniture tend to dry out over time. This causes them to loosen. Using a little wood glue and a special glue applicator syringe, it’s possible to leave the piece intact while re-gluing them. You’ll also need some C clamps and perhaps one of those fabric clamps to hold everything in place while the glue sets.

If you have a piece of furniture with parts missing, you can try to replace them. However, this may take more woodworking skills than you possess. The best advice is not to try gerry-rigging a part if you can’t find a replacement and just leave the piece as is. Finer pieces may indeed be worth the cost of professional restoration.

If you can fix up this old rocking chair, it will make a fine addition to your porch and give you pleasure for years to come.

To read more articles on antiques, please visit the Antiques Article section of my site.  And to stay up to the minute on antiques and collectibles, please join the other 18,000 readers by following my free online magazine, #TheAntiquesAlmanac. Learn more about the Victorians in the Winter 2018 Edition, "All Things Victorian," online now.  

A Question of Value

QUESTION: I recently purchased a beautiful old armchair from a consignment shop. It looks a lot like a Philadelphia Chippendale chair but I can’t be sure. Also, how do I determine the value? Can you help me?

ANSWER: This is a common question. Since the Antiques Roadshow first appeared on the air on PBS, people have been obsessed with knowing the value of their belongings. In fact, that’s the first question most people ask, not what is it or how old is it?

In the case of this chair, knowing what it is and how old it is makes all the difference in its value. Looking closely, you’ll notice that the carving on the knees of the chair is rather shallow. That tells you that this chair was made in a factory and not by hand in a cabinetmaker’s workshop the way authentic 18th-century Chippendale chairs would have been made. Also, the wood is dark-stained to look like mahogany. In Colonial times, cabinetmakers would have used real mahogany wood and then given it several coats of varnish to bring out the smooth surface shine.

This chair is most likely from the early part of the 20th century and not even 100 years old, so technically it isn’t an antique. As a used pieced of furniture, its value will depend on what the buyer wants to pay for it.

While the answer to the question of value may seem simple, in fact, it’s far from it. What type of value–retail value, insurance replacement value, fair-market value, auction value, or cash value? In the end, each of these values will be a different amount. Other factors determining value are age and condition. So where to begin.

Let’s start with retail value. This is the price for which an antiques dealer expects to sell an item after marking it up from the price the dealer paid for it in order to make a profit. This amount can be anywhere from 20 to100 percent of the dealer’s purchase price.

The amount of money it would take to replace an item from a antiques shop or online if it were lost, stolen, or damaged is called the insurance replacement value.

The price that an item would sell for on the open market between a willing buyer and a willing seller is known as the fair-market value. This is also the value that’s used when an item is donated to a charity or is part of someone’s estate.

And when someone puts an item up for auction, the price that an appraiser feels the item should bring at auction, based on comparison of like items and recent other auction sales, is known as the auction value, but has nothing do with the actual value of the item.

However, being told something is worth a specific value is meaningless if the appraiser doing the appraisal has no knowledge of the item itself or the market for it. And auction prices, such as those eBay are not an indicator of true "worth," since many of these sales prices are inflated many times over in the heat of bidding up an item. And a verbal appraisal is worth nothing without a written appraisal to back it up, especially in the case of settling an estate. Only a written appraisal is legally binding in case of damage or loss.

To learn more about how to value your antiques and collectibles, read my article, “What’s It Worth?,” in The Antiques Almanac. 

Getting an Appraisal

QUESTION:  I have inherited a tall case clock and am looking for some guidance. The clock is said to be at least from the time of the Revolutionary War. There’s a slit in the back that I’m told is from a soldier putting a sword through. I’m trying to get a value for shipping and also for fairness for other family members in the event it’s really valuable. Can you help me?

ANSWER: Contrary to popular opinion, not just anyone can valuate an antique or collectible. Asking someone how much an object is worth is like asking if it will rain tomorrow. The only way to know what an antique, especially a potentially valuable one such as this clock, is worth is by having it “appraised” by a professional appraiser. And only a professional appraisal is legally binding when it comes to insurance claims or inheritances.

Exactly what is an appraisal? An appraisal is the paid opinion of an expert on the value of an object based on known facts. In the case of antiques and collectibles, known facts include records from more than one sale at more than one auction, the latest published price guides, and personal experience gained from buying and selling similar items many years.

While a verbal appraisal may offer an indication of how much an item is worth, a professional written one is the only one legally recognized by insurance companies and the courts. It must be based on fact and able to stand challenges in court. However, written appraisals, even for one item, can take hours to prepare and are expensive, but are absolutely necessary to prove an item’s worth.

A verbal appraisal, on the other hand, is an informal one. Usually, the person giving the appraisal spends no time researching auction records and price guides. Therefore, a verbal appraisal is an opinion based on first hand knowledge.

Formal appraisals fall into two categories—replacement and fair market value. Insurance companies require the former, while estate valuations require the latter.

Replacement value is generally defined as the price at which an object would be available on the retail market. In other words, what an antique dealer would charge for a particular item.

When you try to insure a collection, the insurance company wants to know how much it will cost to replace it. The same applies for a single piece of furniture. The insurance company won’t accept a verbal appraisal as the basis of settling a claim. Instead, they require a written appraisal with proof of replacement cost.

Fair market value, on the other hand, is best described as "the price that property would sell for on the open market between a willing buyer and willing seller, with neither being required to act, and both parties having reasonable knowledge of the reasonable knowledge of the relevant facts.

But whatever the appraised value, an object will bring only a percentage of its replacement value when offered for sale—generally between 40 and 60 percent below replacement cost. Items that sell extremely slow will sell for only about 30 percent of replacement value, while those that sell fast may bring 80 to 90 percent of replacement value.

With so many auction sites online these days, it’s easy to pull one up and do a search for a particular antique or collectible to see what it may be selling for. Most people use eBay. Unfortunately, the amounts listed on eBay may not reflect an object’s true value. If the object is listed on an auction site, then, as with live auctions, the price could go way above the object’s current value due to competition between bidders. If someone really wants an antique or collectible, they may stop at no amount of money to obtain it.

Too many homeowners use this as an easy way to price items in a yard or garage sale. Flea marketers do the same. This is why so many items that are actually worth much less are selling for higher prices today at these venues.

Prices of objects at antique shows usually sell for the amount of their value or a little less. However, some sell for what the dealer perceives to be the value of the object. High-end dealers selling objects for four to six figures do their research and know their market. Those selling at middle-market shows, sometimes do research about an item, but, more often than not, just guess at an item’s value and price it for what they think the market will bear.

To find a professional antiques appraiser near you, contact the International Society of Appraisers. 

For more information, read my article on appraisals in The Antiques Almanac.

Caretaker or Curator–Which are You?

QUESTION: My father collected old tools. He would scour the tables of flea markets and yard sales to find interesting and unique tools to add to his collection. He passed away last year and left me his collection. I’m not sure what to do with it. I’m not particularly interested in old tools. Do you have any suggestions?

ANSWER: Here’s a good example of a collection that has been passed down from father to son. It’s also a good example of the predicament that many people find themselves in when a relative dies and leaves them something that was dear to them.

It seems that you have taken over the job of acting curator for your father’s collection.  While there’s nothing wrong in that, you’re missing out on the joy of collecting—the search for other pieces and buying the ones that you like. But you shouldn’t feel bad. This is more often the case than not.

The important thing to note here is that this collection is your father’s. It was he who actively sought out the various items. It was he who did the research to find out what tools men used in the 19th century. And it was he who saw the connections between the tools and the jobs they helped men do.
                       
Currently, you’re simply caretaker of your father’s collection. One option you have is to sell the collection, in its entirety or piece by piece. You could sell it to another tool collector or a dealer for a lump sum and not be concerned about how much you get for it. In fact, you won’t get anything near to what it’s worth. Or you can do some research and find out just how valuable these tools are. However, if you decide to keep the collection, then you must become its curator.

A curator is someone who catalogs and maintains historic or artistic collections. This usually entails the maintenance of the objects and their general protection from damage. The curator also finds out as much as possible about the objects in the collection and, using a number of reliable resources, determines their value. In addition, the curator adds to the collection, refining it by selling off inferior pieces and arranging for the purchase of better ones. In essence, the curator becomes a collector.

So which are you—caretaker or curator? If you’ve been acting as a caretaker, why not change roles and actively get involved in learning all you can about and growing your inherited collection. You don’t know how much fun you’re missing.

Valentines from Across the Seas

QUESTION: While vacationing in Nantucket last summer, I came across some beautiful souvenirs made of shells. The shop owner said they’re called “Sailor’s Valentines.” While the one I purchased is newly made, I saw others in the Nantucket Whaling Museum a few blocks away. What is the history behind these things of beauty? Who made them and where did they come from?

ANSWER: Most sailor’s valentines date from the early 19th century. Beginning in 1830, whaling ships set sail from Nantucket and later New Bedford, Massachusetts in search of mighty whales, from which they extracted whale oil used to grease the machines of the Industrial Revolution.


While Nantucket was the center of whaling in New England–at its height nearly 400 ships called the island port home—these weren’t the only types of ships that sailed the oceans of the world. Sailing ships, later known as clippers because of their fast speed, sailed to all the major ports of the world. From the early to the latter part of the 19th century when steam-powered ships took over the seas, the sailors aboard them spent years aboard in search of whales and moving cargo from one port of call to the next, often gone from home for several years. When they stopped to exchange cargo or gather provisions, they went ashore, discovering unique souvenirs to take home to their wives and girlfriends. Besides objects decorated with scrimshaw, which they, themselves, made, they found some unusual octagonal wooden boxes filled with seashells in shops on the island of Barbados in the Caribbean.

Between about 1830 and 1880, residents of Barbados made and sold what came to be known as Sailor’s Valentines to the lonely English and American sailors.

From the 1630s to the end of the 19th century, Barbados was an important port of call for sugar, rum, lumber, and fish. Because of this, a number of shops catered to the souvenir trade. The Victorian love for collecting and displaying exotic objects from afar possibly fueled the industry and contributed to the popularity of the valentines.

Historians believe that most of the sailors' valentines came from the New Curiosity Shop on McGregor Street in Bridgetown, Barbados, owned by two English brothers, B.H. and George Belgrave, who hired locals to make the valentines.

The local valentine makers constructed the special octagonal, hinged boxes, ranging in size from 8 to 15
inches across, using mahogany veneer for the sides and native cedar wood called cedrella, for the bottoms. Then they lined the insides of the boxes with colored paper, most often pink, onto which they placed cotton batting. Next they glued hundreds of colorful tiny seashells in intricate symmetrical mosaic designs incorporating hearts and flowers, which often featured a compass rose centerpiece. After gluing down all the shells, the maker placed a piece of glass over the design to protect them. They called these double valentines.

Sometimes the makers incorporated a special sentimental message that a sailor would request into the design, thus the name Sailors’ Valentines. Sentiments typically appeared only on the smaller 9½-inch double valentines, which often displayed a heart motif on the opposite half. Some of the more popular ones were “To My Sweetheart,” “To My Love,” “Home Again,” and “From a Friend.” The larger 13½- to 14-inch valentines rarely had sayings, but instead had more intricate shell-work designs on both sides.

Today, Sailors’ Valentines command high prices at auctions and antique shows. Some of the best, however, are part of the collections of the New Bedford and Nantucket Whaling Museums, and the Peabody Essex Museum, all in Massachusetts. Collectors value antique sailors' valentines for their beauty and unusual qualities. But their high prices make it difficult for most beginning collectors to acquire the originals. A small double valentine that twenty years ago sold for $350 to $600, now sells for $500 to $1,500, and the price for a large double valentine has jumped from $1,000 to between $2,500 and $10,000—that is if either can be found.

Plus, a thriving business making new sailors’ valentines has emerged on Nantucket Many of these have frames that have been faux finished to imitate the original woods and their designs copied to imitate the originals. Beyond the souvenir shops, collectors must be vigilant because many of these imitations have been sold as antiques.

A Tool for Every Purpose

QUESTION: I’ve always liked old tools and would like to start collecting them. Can you offer any advice on how to get started?

ANSWER: For any collector, liking something is the most important thing. You should collect what you like. Doing so will build and keep your interest in your collection for a long time. That’s the difference between collecting and assembling a group of like objects. In the former, you have vested interest while in the latter you’re just adding them to a shelf or cabinet.

Old tools not only have value, they also have historical interest. You should always be asking how old they are, what condition they’re in, and how rare they are?

When it comes to tools, age is a major element. This doesn’t necessarily mean a tool’s actual age. What’s most important is age related to the particular type of tool. Planes are a good example. Many years before companies began manufacturing planes out of metal, they made them of wood. It’s very easy to find a wooden plane that’s well over 150 years old that, in good condition, may be worth only $25 dollars. The more modern version, which isn’t as old but is made of metal, can be worth many times that amount particularly if it’s one of the early models. So just because you have an old tool that you can date to the early 1800s, doesn’t necessarily mean you have a very valuable tool

The most important point to consider with tools is condition. This is the area among collectors where more confusion exists than any other. Look at how what you have  relates to what was originally made. This can be looked at in two ways. First, is what you have totally complete? Are all the parts, cutters and anything else that came along with the original tool still there? One of the best examples of a tool that’s commonly for sale without all the parts is the Stanley 45 multiplane. The basic Stanley 45 came with 18 to 23 cutters, two lengths of arms, depth stops and in some cases a cam rest. Very seldom do you find a complete Stanley 45 for sale, yet in many cases, the asking price is that of a complete one.

After you’ve determined a tool’s completeness, the next thing to look at is its actual physical condition. Cracked or chipped handles or even handles that have been glued back together reduce the value. In some cases, people will substitute a handle or a part from another tool that looks about right. While this might make the tool useable, it detracts from the value for the true collector. Finish is also important. Having the original label still in place and the original metal and wood finish makes a tool more valuable. What detracts most from the value is when you can see signs of wire brushing  or that the tool has been painted black or covered with some kind of other coating.

The "rareness" of a tool, as with other antiques, is also very important when determining its value. This typically comes down to how many have survived and are available for sale. In some cases there may be a limited relationship to how many were actually made. A good example of this is the foot-powered tools that were common in the late 19th and early 20th centuries. During World War II scrap metal drives, people donated many of these to be melted down for the war effort. Partially as a result of this, these foot-powered. tools are sometimes hard to find. In other cases, a particular style or type of tool may have only been manufactured for a limited period. This may be a result of a company going out of business, the tool not selling well or some external events such as a war that caused manufacturing priorities to be redirected. In most cases, it can usually be concluded that the more rare a tool is, the more it’s worth.

Tools, obviously, come in all shapes, sizes, and sorts. Each tool has been designed for a different job and so the variety is endless. In fact, even longtime experienced tool collectors will often run into something they haven't seen before. To make sense of all this variety, tool collectors have established categories of tools to help them focus their collections. In the broadest categorization, they divide tools into groups by the material they work—woodworking tools, metalworking tools, basket making tools, leather working tools, etc. They also further defined tools within each of these categories. For instance, in the woodworking tool category, there are edge tools, boring tools, measuring tools, woodworking machines, and so on. Within the machinist tool category, there are calipers, gauges, indicators, etc.

Tools can also be categorized in ways outside their intended purpose, such as by tool makers, patented tools, aesthetic tools, tools from a particular era or generation, tools made in a particular geographical area, tools made from a certain material, and miniatures.

Collecting tools can be daunting—and expensive—if you don’t focus on a particular type early on. But whatever type you choose to collect, always buy the best you can afford.

Determing Value

This is the 200th post of this blog. And being so, I thought I’d break away from my usual question and answer format and discuss a topic for which I receive lots of questions—value. I routinely tell everyone that I don’t do valuations. I do that because value is one of the hardest things to determine without lots of expert information. That’s why certified appraisers are in such high demand. But they’re expensive, so most people seek free value advice.

Value of any kind is subjective. It depends on several things—age, rarity, authenticity, trendiness, and historical association. Just because an item is old doesn’t make it valuable. Take glass from ancient Rome. At over two 2,000 years old, you’d think it would be worth a fortune. But the truth is there’s so much of it around that it isn’t worth as much as you’d think.

Throughout history, people had as much junk as we have today. But they didn’t value things in quite the same way as we do today. For ordinary people, old furniture was just old furniture. Old dishes were often mismatched. Let’s face it, they didn’t have “Antiques Roadshow” to make them think that just about everything was valuable.

To determine an item’s value, you first have to determine its age. The type of wood used in furniture, particularly the secondary woods used for the inside of drawers, is an important clue of age. If you see a  circular saw pattern in the wood on a piece of furniture, you know it was made after 1840.

Not everything rare is valuable either. An old book by an unknown author might be extremely rare. But to be valuable, someone must want to buy it. Nevertheless, rarity is a key determinant of value. Start by considering how rare an item was when it first appeared on the market.

Think in terms of different levels of production. At the bottom are mass-produced items made of ordinary and usually cheaper materials. At the top are unique items made of the finest materials. Generally, if an item was rare and valuable when it was made, it'll be even more rare and valuable today. Previously expensive objects will still be expensive today.

When an antique or collectible is in demand by collectors, it’s price can skyrocket. And when prices climb, fakes and forgeries abound. Some forgers use as much skill producing fakes as if they were making an original. Fraudulent antiques lie in wait for the uninformed. A good example is the myriad of fake Chippendale furniture coming out of Indonesia.

Perfectly round wood in a piece of furniture, for example, is a tell-tale sign of a forgery, because wood becomes distorted with age. Look carefully at ceramics to see if someone painted the decoration on top of the glaze after the firing.

When it comes to collecting antiques, condition is prime. Did you know that the patina on fine furniture----produced before 1830—is one of its most important features, and too much cleaning and restoration can ruin it? Did you know, for example, that the value of a rare book can drop by more than 100 percent if it doesn't have its dust jacket?

Another thing that influences value is how typical an item is. Collectors are always looking for representative examples of a given period, craft or style. When an item sparks a collecting trend, prices always go up.

Finally, an object’s association with someone famous automatically increases its value. That’s because more collectors want to own it. And that’s the bottom line with value. The more people who want to own an object, the more its worth. And an item is only worth what the last person paid for it.

I hope you find this post as useful as the previous 199. I’ve enjoyed writing this blog and plan to continue bringing you insightful information about antiques and collectibles. For more in-depth articles, please visit The Antique Almanac, my new monthly E-zine on antiques and collectibles. You’ll never know what you’ll learn next.

Documenting Your Collections

QUESTION: I’ve been collecting older items for the last 20 years or so. I’ve got several collections of moderately valued antiques, but I have little information on them except my own knowledge. What is the best way to document my collections?

ANSWER: That’s a very good question. Many people enjoy the fun of collecting antiques but don’t take the time to manage their collections. Before you can successfully manage your collections, you have to gather some information on the items in them. And with today’s technology, that’s easier than ever.

Today, more people collect antiques than ever before: Collecting is a personal thing and most people do it for sheer enjoyment. They choose some objects carefully to build or enhance their  collections, acquire others to use everyday, and inherit still others. Each collector treasures each item in their collections, yet many other people don’t understand the appeal or the value of it. But the value of some antiques has been rising steadily over the last decade, so collecting can represent an investment as well. What many collectors lack is a comprehensive record, with supporting documents, of objects they own. As antiques increase in value, it’s important to know about what you own. Even if you don’t think of your prized objects as part of your tangible financial assets, be assured that the IRS, insurance companies, banks, and courts do.

"To document" means to create a record that thoroughly describes an object and which also contains related documents about it, and keep together this record and supporting information on each object.

Some types of documents you already have, or can easily acquire, such as a bill of sale, a note accompanying a gift, a snapshot, a printed description, a program from an exhibit, biographical information on the artist or maker, a description and picture of a similar object perhaps from a newspaper, magazine, or the Internet, a copy of a mark on the object, and others. You can also record the family history related to the object. The objects in specialized  collections— furniture, dolls, quilts, kitchen utensils, guns, tools, even sports and music memorabilia—are prime candidates for documentation. Museums document each object in their collections. So it’s only natural that you should do the same for reasons of insurance, family heritage, preparing for appraisal, certain types of tax benefits, and connoisseurship.

At the very least, you should know what you paid for each object. Some insurance companies require you to put certain valuables, such as jewelry and fine art, on a special schedule. Often they also require an appraisal for the most valuable pieces.

In case of theft, loss or damage by fire, flood or national disasters, you need to prove ownership of any object claimed, and provide descriptions with supporting information in order to be compensated or to help the police identify and recover your stolen valuables. If you cannot do so, you risk loss of compensation in addition to being permanently separated from your treasured object. The more adequate your proof is, the greater the chances that you’ll be satisfied with the compensation you receive. You can spare yourself some of the anguish that comes from experiencing the loss itself, or with an inadequately compensated loss by documenting your objects before the loss occurs. It’s more difficult to document after a loss occurs, and perhaps it cannot be done at all then. You would also be dealing with all the emotions associated with loss of objects, and perhaps your entire home. In your lifetime, expect a possible loss sometime, and prepare for it. Documenting is a great help because it gives you control over the objects in your collections.

Every home has objects of value—whether monetary, sentimental or family-related. Documenting can help you decide which objects you want to give to certain heirs. Recording the provenance and capturing the family history associated with a particular object provides a a more complete picture for yourself and your heirs. Don't neglect to pass on the family stories associated with an object. Don’t depend on those stories being passed down verbally. Write them down. Additionally, family pieces are often carelessly sold or given away because succeeding generations are unaware of their actual or sentimental value. This is often done in the haste to clear a house after a loved one’s death. By documenting, you can assure to some extent that pieces will remain in the family, or at least that someone will make an educated decision before selling or giving away an special object.

If you insure valuable antiques, your insurance company will usually require you to provide them with a professional appraisal. However, not every object in your household needs to be appraised. Documenting can help you decide which objects to have appraised, plus it can also provide the appraiser with valuable information, thus saving time and reducing the cost of the appraisal. The appraisal then becomes part of the documentation on your object.

If you sell an object or give it to a museum or other institution, your documentation can provide detailed information from acquisition to sale or gift, thereby providing you with a factual basis for tax benefits. Museums look upon documentation as a benefit, as it provides valuable family and cultural history about your object for its visitors.

Documenting is a part of connoisseurship, or caring for your collection, thus enhancing your and others' enjoyment of it. You care for your objects by learning how to clean, store, display, or use them, by assuring certain temperatures, or keeping certain objects from direct sunlight. By continuing to learn more about the objects you like to collect, you’ll enhance your enjoyment of your collections.

Taming Your Collecting Passion

QUESTION: I love to collect things. But my passion for collecting seems to be getting out of hand. How can I control this? And how can I judge whether certain items are worth collecting?

ANSWER: You’ve obviously been bitten hard by the collecting bug. With the advent of eBay and the Antiques Roadshow, everyone has the idea that everything is worth something. And if something is old, it must certainly be worth a lot. If you believe this, then you’re wrong on both counts.

The first question you need to ask yourself is “Why do you collect things?” Is it for their intrinsic or monetary value, is it for the pleasure they give you, or is it for some vague idea of self-worth?

Asking avid collectors why they do what they do is like asking, "Why do you breathe?" They might reply that something about human behavior wants—or is fated—to gather and accumulate, to crave and classify, to seek out and hoard. Passion plays a part in many serious collectors' pursuits, as does, many admit, the thrill of the hunt.

This can be true even, or perhaps especially, when time is long between looking, finding and acquiring. The rarer an object of desire, the less frequent or instant the gratification of its discovery; for some determined collectors, though, pleasure resides in the long, unpredictable search for a coveted item. Inexplicably, it may also dissolve when it leads to a find.

For many people, collecting is a way of getting in touch with a past era, even if they didn't live through that particular period themselves. Some enjoy owning objects from what they may imagine was a simpler, less stressful age. Or they may have a strong nostalgic or family connection to a certain period and place.

Some people collect with investment value in mind, others to develop an informed knowledge of a our material  culture. Either way, passion plays a part in many serious collectors' pursuits, as does the thrill of the hunt. Identifying personally with the objects one admires can also feed the collecting impulse.

Some collectors embrace—and celebrate—their magnificent obsessions; like entertainers, they enjoy displaying what they have amassed and sharing their enthusiasm with friends. Conversely, to be sure, many a treasured collection is a private, secretive affair.

Collecting has broaden in scope over the decades. It used to be that antiques included only decorative objects and furnishings. Today, anything 100 years old or older is considered an antique. Anything newer a collectible. And while some antiques may be considered collectibles, not all collectibles are antiques. Take typewriters, for instance. The oldest ones are antiques but newer ones from the late 20th century are technically collectibles.

What's old is new in the evermore-diverse collectibles market, and as long as someone, somewhere values something enough to acquire it and stimulate trading in its field, it can become a common practice to do so. Thus, along with such old favorites as stamps and coins, items like Barbie dolls, tea tins, and buttons, in fact, just about everything can be deemed a collectible.

So where do you draw the line.  The first rule of collecting is collect what you like.  The second rule is to be knowledgeable about your collection. The third rule is buy low and sell high.

Understand why you’re collecting what you do. What got you started? Have you kept up with your collection or has it run its course? If your collection is languishing, then perhaps you’ve lost interest. Life changes. You change.

Do you know a lot about what you collect? Have you studied up on the history of the objects? Do you know the makers and the marks? Do you know the last word on the subject? Have you kept up with the market value?

Too many people get caught up in the entertainment value of auction sites like eBay. For some it’s like playing poker. They even get to “win.” Many pay far more than an object is worth just because they want to be the winner. If you’re a true collector, you’ll not even bid on an item unless you know you can get it for a good deal below market value. And that means you have to know what it’s worth before you bid.

Do you just collect things or do you keep an inventory of your collection? To understand the true value of your collection, you need to know when and where you purchased each piece, how much you paid and how much it’s worth now. You may even want to photograph each item as a record for insurance purposes.

Of course, as any collector knows, there’s a price to pay. Thus, beginners and seasoned veterans alike usually pursue their collecting passion at some cost. No matter what your field is, there's something all of us inevitably collect and unless you pick the pieces off the junk pile, you’ll have to pay for them.
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Protecting Your Investment

QUESTION: I’ve been collecting antiques and such for a number of years. Do I need extra insurance or will my homeowner’s policy cover what I have?

ANSWER: As a collector, you’ll want to take care to see that your treasures are adequately insured. And even if you have coverage, you may find that coverage you purchased several years ago leaves you financially vulnerable today.

Most collectors use one of three types of insurance—that found in a standard homeowner's policy, special endorsements to that policy, or a "floater" policy for valuables such as art and antiques.

The policy that covers your home includes insurance for your personal property as well as the structure it's housed in, usually at 50 percent of the amount of coverage for the dwelling. This means that if you have insured your house for $150,000, your belongings are protected for up to $75,000.

Is this amount sufficient for your collection as well as all your other belongings? That all depends on what your collection contains. If you have a small collection of "collectibles" or less expensive items, the coverage in your homeowner's policy is probably enough. But keep in mind that standard policies usually fix limits on certain types of items such as currency, documents, silver, and jewelry. You should read your policy carefully to see if these limitations affect your collection.

The coverage in homeowner's policies is "unscheduled," that is, it groups all of your goods together rather than listing and valuing them separately. Should a theft or fire occur, it’s your responsibility to prove ownership and the value of the items in your collection. The insurance company will then calculate your losses on the "actual cash value" of those items, figuring in depreciation. If you collect anything other than certifiable antiques, complications can arise over the settlement.

Your insurance company may deem "old and worthless" items you consider “vintage.” So you should keep receipts and other records, especially for less expensive "collectibles" and offbeat items—be sure to print out receipts for anything you purchase at online auction sites. Though claims adjusters are usually on target, any documentation will help —the more the better.

Even if you decide to work within the limits of your standard homeowner policy, you may find that increased coverage is necessary. While that $75,000 may sound like a lot of insurance, you’d be surprised how quickly the normal, everyday contents of a house add up, leaving only partial coverage of your losses.

To remedy this problem, most policies offer the option of a special "endorsement" which allows for a higher percentage of personal property coverage for an additional fee. If you have a collection of any size or value, you’ll probably want to take inventory of your home's entire contents to see whether you should purchase such an endorsement.

Finally, you can also purchase a separate policy to cover valuables such as art, antiques, silver, and the like. And in this case, silver means Sterling, not plate. These policies, known generally as "floaters," cover "scheduled," or listed, items. Each item is listed separately with its own value, usually by means of a written professional appraisal. Those cheap or free online appraisals just won’t do. The benefits of floaters are that each items is covered for its full replacement value because ownership and value are  pre-established, In addition, most floaters will protect the collection against loss as well as theft, a benefit not available through most homeowner's policies.

The cost of such a floater will of course depend on where you live and what you’re insuring. Very portable items of recognizable value command the highest rates. For instance, the amount for jewelry is always higher than for artwork. Prices may also be lower if you store your collection—or part of it—in a safe or safety deposit box, or if your home has a security alarm system. If your collection is worth more than $50,000, your insurance company will probably insist that you install such a system.

Looking for Value in All the Right Places

QUESTION: I’m a novice at putting value on furniture and other old things. Can you tell me the best way to do this?

ANSWER: Putting a value to an antique or collectible isn’t as simple as black and white. Finding out about the value of an object involves several steps.  First you need to authenticate it—that is, find out if it’s real or fake. Then you need to determine the value you want to research. And if you discover that you have something valuable, you need to consult a certified antiques appraiser.

While there’s no fixed value in antiques and collectibles, there are two types of value you need to consider—replacement value and retail value. Which type you need to research depends on whether you’re planning keep or sell the object.

If you’re keeping it, you want to find its replacement value. Replacement value is the retail price you would pay to buy an object that’s identical to the one you own. Though that sounds simple enough, it isn’t. The object has to be exactly the same, including its condition. Then you’ll have to purchase it from the same type of source—an Internet antiques store, eBay, an antiques shop or show, or flea market. The retail price of the object will be different at each of the venues. So, unless you purchase it at exactly the same type of sales outlet, you may have a problem.

In the end, you’re the one who determines which price applies. Most beginning collectors use the highest price. While this may boost your ego, this may not be the best value. What about averaging all the prices? That won’t work, either. You’ll just have to consider the most likely place to which an average person might go to purchase the item.

Traditionally, insurance companies have considered the retail price asked by a dealer at an antiques show or at an antiques and collectibles mall as the replacement value. But, let’s face it, who pays the asking price? Smart collectors don’t. The object is to buy pieces at the lowest price possible, so that they’ll gain value right off. A lot of novices are turning to eBay to determine the replacement value. But this isn’t good, either. Any of the auction sites are just that—auctions. That means that buyers bid against each other, often sending the price higher than it should be. If you’re going to use eBay to determine value, you’ll need to study several months worth of pricing data.

If your goal is to sell your object, the price varies depending on retail venue. Traditionally, people sell items through garage sales, flea markets, eBay, and antiques shops and shows. You’ll need to research the potential value in all those categories. Each one has hidden costs, so the price represents only a portion of the amount paid. Auctioneers charge a commission to sell objects. Antiques dealers have to mark up their wares to make a profit. Flea market dealers have to do the same, albeit not as much, to make a profit over space rental fees. Ebay sellers have to add on numerous fees. Only garage sale sellers can charge the least amount and still make a profit. If you base your object’s value on their pricing, you’ll never get anywhere, even though some price their items based on what they see on eBay.

About the only way you’ll get the full value from an item is to sell it privately. However, while private buyers will pay the highest amount, they have to want the object. Most private buyers have been collecting for some time, so the list of what they want is usually short. Most of the time, they’ll already own the item. Further, finding a private buyer is a time consuming and difficult process. The best example is trying to find a buyer for collectibles from the 1939 New York World’s Fair. While there are certainly many collectors of these souvenirs, finding them is another story.

Oh Happy Days!

QUESTION: I found a box of old McDonald’s Happy Meals toys in my attic that once belonged to my kids. Do these have any value as collectibles or should I just toss them?

ANSWER: You may or may not have hit upon a buried treasure in your attic. Depending on the age and condition of the toys, they may be worth a little or a lot.

Of all the McDonald’s collectibles, Happy Meal toys and related display memorabilia remain the most popular. Each Happy Meal has a specific and variable number of toys, including a special U3 toy which meets particular standards for children under three. The boxes and bags in which the food came in are also collectible. Display items include counter boards, banners, posters, and signs.

The McDonald brothers opened their first drive-in in 1948, and by 1954 they were well on their way to franchising success. A 1950s McDonald’s item could have a hefty price tag.

A beginning collector could amass hundreds of Happy Meal toys in a short time. In a typical year, McDonald’s produces nearly 100 different toys and issues millions of each. Recent ones sell for $1-2 each, but a manufacturing variation or a recall may create a toy with a higher value.

Because McDonald’s produced millions of these toys, they must be perfect to have any value. Loose ones thrown in a box have little or no value since the paint rubs off and parts disappear. Paper items need to be clean and unmarked to bring top dollars.

Figurine Happy Meals toys are the most popular, especially those featuring well-known characters. Special packaging can also increase their desirability. The idea behind Happy Meals is to get the little ones to collect a particular set. Parents usually order by character needed rather than by what the food offering may be. This keeps the kids dragging their parents back for more.

Happy Meals featuring books, buckets, or little-known characters are of lessor interest to collectors.  But there are exceptions. The four small soft-cover Beatrix Potter Peter Rabbit books from a 1988 Happy Meal, in mint condition with the mint Happy Meal box are worth about $80 as a set since this Happy Meal was distributed only regionally.

So depending on the age and condition of the Happy Meals toys in your box, they may not be worth all that much.

Beauty and Collectibility Are in the Eye of the Collector

QUESTION: How do I determine an artist’s most collectible works? Are they the ones that sell for the most money? And, if so, are they the ones I should be collecting?

ANSWER: Collecting art can be tricky. More than any other collectible, the popularity of certain artists and their works ebb and flow with the trends in the art world. An artist that’s extremely popular one year may fall to the bottom of the heap the next.

An artist's most collectible works usually depict subject matter that has gained popularity among art collectors. If more people collect the works of a particular artist, those works will go up in price and value. In this case, outside forces play a large role in the determining what type of  subject matter looks like, not necessarily the artists, themselves. One year, it could be landscapes and seascapes, another year city scenes, abstracts, portrait, or interiors. The only way to discover  what an artist's most collectible works look like is by talking with dealers, collectors and others familiar with that artist's body of work.

The farther a particular work departs from favored subject matter, the less collectors of that artist’s works will be interested in it. You might compare this to a musician who becomes famous for one or two songs because his or her fans insist on hearing those songs over and over regardless of what direction that musicians career takes. That doesn't mean that artists or musicians have only one or two noteworthy moments in their careers, but rather that tunnel vision of fans affects what’s perceived to be popular or collectible. The same holds true for writers who become successful based on a particular style of writing or subject matter. When they deviate from that, their fans find someone else to read.

Art work featuring the best, most collectible subject matter usually sells for the most money. But determining whether or not a work falls into the "most collectible" category based purely on how much it sells for isn’t how the art business works. Instead, an individual piece of art must be evaluated by experts in terms of the artist's entire output, his career evolution, and with respect to what was going on around him at the time. Price does not enter into that evaluation—it’s the consequence.

Works of art can also sell for high prices even though they may not fall into an artist's"most collectible" category. For example, a piece might be valuable because an artist produced it during an important time in art history. It then becomes more collectible by fans of the movement rather than by fans of the artist.

As for what art work you should or should not collect, follow the golden rule of collecting— collect what you like. If your tastes center around pieces that don't have that "most collectible" look, fine. Go ahead and buy them. Just know the artist's market well enough so that you pay the going rate for that type of art, not the going rate for the most collectible types.

Also, pay attention to collecting trends in the art world. Subscribe to publications that offer news about recent auctions or sales of art. Know which artists are hot and which are not. And know if a scam may be afoot. One woman hid her late artist husband’s work from the public for a number of years so that it would appear to be rare and pristine—translation: never appeared on the market before. She thought that doing so would raise the prices of the works when they did appear. When she did begin selling his works, she did so in dribs and drabs, so as not to flood the market with his works, thus lowering the price.

Tips for Buying Antiques at Garage and Yard Sales

The ordinary garage/yard sale is an American institution. Every Saturday morning there’s one or more going on somewhere in the country. Collectors find it hard to pass them up since they’re the entry-level market for antiques and collectibles.

Most people who cruise the yard sales every weekend are casual shoppers, driving from one to another. If you’re a serious collector, you know how to find antiques and collectibles hidden among the plastic kitchenware and cheap florist vases, but you need a plan.

Generally, garage/yard sale ads appear in local papers on Thursday and Friday evenings. Mark those that mention antiques or collectibles. Don’t waste your time noting those that don’t advertise antiques. After all, you must complete your rounds in just a few hours, at least by 12 Noon.  

As you read the addresses, map a route starting with the sales closest to your home or those with the earliest starting times, then move on to more distant ones. The purpose is to get to the good sales before someone else snaps up the antiques.

Every town is different when it comes to finding antiques at good prices at these sales. You’ll usually find more antiques and collectibles at the lowest prices in older, middle-class neighborhoods. In many cases owners of these homes have lived there for years and years and have stored a mass of castoffs in their attics and basements. These people are usually not trying to get top dollar for their things. They just want to get rid of them.

By contrast, the owners of homes in upper-class neighborhoods are usually quite knowledgeable about antiques values. At their sales they set close to retail prices on any antique or collectible, so you’ll seldom find much to buy at such sales. Remember the cardinal rule of collecting: Buy low, sell high.

As many sellers get more savvy with the Internet, they look up their items on eBay to see what they’re going for. But they don’t take into account that this is an auction, as well as entertainment, so prices can be higher than they should be.

At these sales possession is nine-tenths of the law, so to speak. The unwritten code of the yard sale is that whoever has his or her hands on an item first has dibs on it. You need to be able to pick things up quickly and hold on to them. Take along a large sturdy plastic tote bag or a box, into which you can drop anything that interests you. This way, you can pick up and carry much more than you could in your arms alone. Then examine your finds carefully, put anything that isn’t promising back on the tables, pay for the items you do want, and move quickly to the next sale.

To be honest, you probably won’t find an antique or collectible of outstanding value at a garage or yard sale. You’ll find china, glassware, pottery, and kitchen collectibles, all of modest value. Every once in a while, you’ll come upon a piece of furniture—a bed, small table, brass bridge lamp, framed mirror, or whatever. Inevitably, these finds must be refinished, polished, or rewired.

Every collector has at least one story of a spectacular discovery, a real treasure bought for a pittance. To make sure you buy the real thing, take at least one of the current antiques and collectibles price guides with you—you can leave it in your car. Otherwise, unless you have a phenomenal memory, you’ll have a hard time remembering the thousands of ever changing retail values of items you’ll run across.

Some collectors learn this lesson the hard way. Many novice collectors go to yard sales without taking any price guides along. You might find an item you think is priced well, but you don’t know for sure. If you had brought along a general antiques and collectibles price guide, you’d have been able to decide if the price were too high or if you should make the purchase. If you left the sale to check on the price back home, you might return and find that the item had been sold.