Do Steinways appreciate?

[Jim Coleman, Sr.]

Hi Wim:

Yes Steinways do appreciate, but not on a straight line method. I bought
my L for $3700 in 1952. I could not have sold it for $4000 the next 
year. It is now worth $12000 on the open market in its
present condition. If I were to rebuild it completely, it would bring
around $20000 in our area. If you do the math, you'll see that it's not
10% per year. However, it is still more than any other piano would
appreciate. This is mostly inflation and is not worthy of investment
purposes. Some salesmen will say anything it appears.

Jim Coleman, Sr.

On Mon, 24 May 1999 Wimblees@AOL.COM wrote:

> Several times now in the past couple of weeks, I have had customers tell me 
> that the Steinway dealer in town is saying that Steinways appreciate in 
> value. I heard there was even an article which quoted Henry Steinway as 
> saying Steinways appreciate in value at a rate of 10% per year. 
> 
> Last week I appraised a Steinway S for a guy. He told me he paid $20,000 for 
> it 15 years ago, being told the piano would appreciate in value. Now he wants 
> to sell it to make money. But he told me last week the dealer offered him 
> only $13,000. So he called me to get a second opinion. I told him I might be 
> able to get $22,000 if I sold it out of my store, and he might be able to 
> sell it out of his house for about $20,000, if he advertised it a lot, and 
> waited. (Since the dealer offered him $13,000, I will assume he will ask 
> $26,000, but probably sell it for about $22,000.) 
> 
> Doing the math, if Steinways really do appreciate at 10% per year, a Steinway 
> S bought 15 years ago for $20,000 would now be worth $82,446.  Obviously it 
> is not. Anyone out there wanting to give an answer to this. Do Steinways 
> really appreciate in value?  If so, how much? What criteria does Steinway use 
> to make this claim? Do Steinways appreciate more than other brands?
> 
> Curious minds want to know.
> 
> Willem Blees
> 
> 
> 
>