How to determine Value of a handmade rug?
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Value of a rug is truly only relative to what someone is willing to pay for it. There are several things that buyers will consider when purchasing a rug which can help you determine the value.
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Age - Typically age doesn't play much of a role in value until you get close to the 100 year (Antique) status.
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Origin - This category plays a huge part in the value of your rug. Higher valued rugs are made in locations like Isfahan, Kashan, Nain, Tabriz & Qom vs rugs made by nomads or tribes. This isn't true in every situation.
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Condition - The condition of your rug is so important when it comes to determining value. The max value of the rug would be whatever one would pay for it new or whatever comparable rugs have sold for when new. This can be searched online at endless retail stores. The value of your rug will fall somewhere below this number. Different condition issues will affect your rugs value in different ways. Some issues are simple fixes and part of regular maintenance of your rug while other issues are more of permanent problems or costly repairs.
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Knot Density (KPSI) - Knot density is one important part to determining the quality of a rug; however, it isn't the only factor. There are extremely rare rugs with a low kpsi that are extremely valuable while others with a high kpsi lack the same rarity.
This is an antique rug made between the 1900 - 1920's by Baluchi nomads. It is in very good condition for its age but also increases in value simply for being a true antique as well as being in very good condition.
This picture is of a Persian rug from the village of Taimeh in Iran. It has been repaired and is visible from both the front and back of the rug. This is something to consider in valuating a handmade rug.
This is a very fine workshop rug from the city of Tabriz in Northern Iran. It has had the selvage repaired but isn't noticable to the eye. It is in excellent condition and has a high knot count. These are things to consider in valuating a rug.