Congratulations!

Thomas Kumura

in his advancement to Candidate
Member - Business Valuation

Pewter - Is it worth anything?

by Garrett Goldfield

The other day I was on an appraisal looking at various pieces of sterling silver for a client. As my client was going through her cabinets and bringing me pieces of her silver collection, I noticed that she set aside a few interesting pitchers and mugs. I asked her about these pieces and she replied,

“Don’t worry about those, they are only pewter.  I like the look of them but they aren’t worth anything.”

Her comments surprised me and prompted me to write this article because I feel that many people have this same perception about the collectible market for pewter items. Most people realize that sterling silver is valuable not only for the forms into which it is made, but also for its value as a precious metal. There is some security in knowing that if a set of sterling flatware or hollowware ever went out of style there would still be value in the metal. Comparing this with pewter, where there is little inherent value in the material itself, many people believe that pewter isn’t worth very much especially since it was often used for utilitarian objects, which don’t have quite the shine and presentation of its valuable cousin silver.

While it is true that pewter on the whole isn’t as valuable as sterling, it should not be overlooked and tossed away.  Many pewter items are both collectible and fetch considerably high prices on the fair market.  While it is true that pewter doesn’t have the intrinsic metallurgic value of silver, many pieces of antique or collectible pewter are more valuable than the current ‘melt’ value of silver at $11 – $13 per ounce.

For example, this pewter Baluster Measure, circa 1600, (pictured above) which recently sold at auction fetched an astounding hammer price of over $30,000. The 1675 Tankard (pictured left) sold for almost $25,000. In fact in this same auction over 300 pewter pieces went under the hammer and dozens of them brought bids well into the thousands of dollars.

It isn’t just pewter pieces from 400 years ago that are collectible or valuable either. There are many pieces which are not tankards or plates that are valuable as well. For years many figurine companies such as the Franklin mint have fashioned items from pewter because of the pliability of the metal and antique look that it provides. These figures have spanned interests from civil war figures to cowboys and Indians.

Companies such as Chilmark enjoyed considerable success in producing pewter figures and scenes such as the stagecoach pictured on the right. At the height of the market this pewter sold for as much as $8,500 at auction. Today in the market, a piece such as this could be bought for the modest price of around $2,000. While the market is currently down for some more contemporary pewter items, it does continue to appreciate for the rare and older pieces. In addition, it is a market which is accessible to new collectors looking to obtain quality items at a reasonable price. At least for many of the more recent pewter collectibles there is an opportunity to purchase for a very reasonable price from where the market was just a few years back. Of course, as with many other collector areas, it is important to keep in mind that this market has some regional bias. Southern California collectors seem to be far less interested in pewter than say, east coast Americana collectors – perhaps this is an opportunity for us!

MARK YOUR CALENDER NOW! December 12, 2006

Private Tour of Antique Refinishers & School of French Marquetry

Owner Patrick Edwards will give us a tour of his workshop and discuss how he works with appraisers in the field.  Dinner will be arranged at a nearby restaurant.

Marquetry?

"A decorative veneer composed of shaped pieces of various woods forming a decoration, typically applied to a veneered furniture surface."

This photo is a French marquetry commode that recently sold for $1,584,000 at Christie's New York on October 19, 2006. (lot #100)

The following Application for Advancement has been received. If you have any comments on the application, please contact Pamela Bensoussan, ASA. (619-420-7782)

Garrett Goldfield

Application for Advancement in Personal Property - Residential Contents - General

"Social Capital" Are you building it in your communities?

Do you know that Americans are less “involved” than they were 50 years ago? I read a book (Bowling Alone by Robert D. Putnam) full of documented statistics that charted how we are more likely to send a check than actually participate. Organizations from AARP, PTA, community groups, churches, and local political groups have noted this phenomenon. That includes professional organizations, many who are experiencing declining attendance at meetings. It is just the way it is with so many demands on our time – 2 career families, long commutes, inflation eating away at our disposable income creating pressure to spend more time on work. Some parents may drive kids around, but don’t have time to eat together and really talk. The author suggests that as individuals we build social capital when we have close ties to our neighbors and interest groups, capital we invest so that we can count on it when times are difficult or we need a little support. And because we are not, as a nation, building social capital, we are becoming a meaner, angrier, less civil, more selfish society.

The San Diego Chapter is one of the only ASA chapters that has an approximately 50% average attendance at regular chapter meetings. Now that is something. As an active Chapter participant since 1976, I have long felt that my monthly meeting with other appraisers is a prime factor in my personal business success. The benefit is much more than the information I’ve gleaned from great educational programs. It is what I have learned from the other appraisers that has really built my practice. The ASA courses can ‘tell’ you how to do something, but when you get out into the real world and try to put it into practice, that is when the sharing of experience and tips on how to do a certain type of job, how to deal with a certain type of client, how to effectively market your unique services – that is when the networking with fellow ASA members can really make a difference in your success. And because we all have unique specializations, even within the same discipline, we refer our potential clients to the ASA member most qualified to do a great job. That way the public respects us for our honesty as a group, and helps ‘brand’ ASA as the premier appraisal society. And it has also formed a strong bond among our membership.

Recently I was asked what the San Diego Chapter does with the extra chapter assessment money we get from each of you. I can proudly answer that we use it to benefit you, here locally. We run ads in the San Diego County Bar Association’s Lawyers Directory that “brand” the ASA as the #1 appraisal choice, we develop, maintain and market a very popular website to MARKET YOUR SERVICES, and offer mandatory educational offerings such as USPAP at a very low cost in your home area so you don’t have to spend a fortune to meet your regulatory certificate requirements – just a few of the things we do for you. And of course, with your participation, we will all benefit.

Build your social capital - see you at the November meeting!

All the best,

Georgie Stillman, ASA

Guidance on New Appraisal Requirements for Non cash Charitable Contributions

by Kathi Jablonsky

The IRS has issued Notice 2006-96 as transitional guidance on the new definitions of qualified appraisal and qualified appraiser, and on penalties for substantial or gross valuation misstatements, as added by HR4 - the Pension Protection Act of 2006. This applies to appraisals for charitable contribution deductions on tax returns filed after August 17, 2006.

Additionally, for returns filed after February 6, 2007 the declaration must include a statement saying the appraiser understands that an appraisal resulting in a substantial or gross valuation misstatement may be subject to a penalty. The full text of the guidance can be read by following this link to the IRS website and clicking on Notice 2006-96.

Although these interim regulations are in place regarding specific sections of HR4, final regulations are expected by February 2007. All appraisers and clients needing IRS appraisals for charitable donation, estate tax and gift tax should be aware of these new rules and stay informed of the changes.

New IRS Rules on Donation of Household Goods & Clothing

by Georgie Stillman

The IRS has new guidelines on donations of household goods and clothing effective August 17, 2006. Items of this type, with a FAIR MARKET VALUE (thrift shop value, not original cost) of $500 or less for each item, must be in GOOD” condition to qualify for a deduction. The donor should prepare an itemized list of the item(s) with a value under $500, and include photographs and original receipts if possible, and maintain this information in their tax records for production in the event of an audit.

An item in this category that is in LESS THAN "GOOD” condition will still qualify for a deduction if its FAIR MARKET VALUE is more than $500, but it must be accompanied by a “qualified appraisal”.  The IRS requirement that all items of personal property with a FAIR MARKET VALUE over $5,000, including clothing, household goods, antiques, art and all other non-cash contributions other than securities, must be accompanied by an appraisal, is unchanged.

The IRS has promised that it will issue complete information as to what they consider to be a "qualified appraisal" and "good condition" soon.  One assumes "good condition" will mean that an object can be used or worn by its next owner in the original capacity it was intended, although one shouldn’t second guess the IRS.  And the IRS has been giving hints that it will add the stipulation that an appraisal adhere to the principles included in USPAP, and will name USPAP specifically in its updated requirements for a "qualified appraisal".  (Source: Union Tribune’s Sunday business section’s Wall Street Journal, Sunday, 11-5-2006)

Introduction to Business Valuation
December 7-10, Los Angeles

Details...

Uniform Standards of Professional Appraisal Practice (USPAP)
December 8-9, Los Angeles

Details...

2007 International Appraisal Conference Scheduled

July 15 – 18, 2007 - Hollywood, CA
Details..

Los Angeles Chapter's Fall 2006 Personal Property Roundtable

Open to all personal property appraisers, this roundtable is geared to both the novice and experienced appraisers. Each participant will have the opportunity to bring questions, issues and knowledge to the table to share. The seating is limited so register early. Program topics include a variety of the following: 

• Changes to USPAP
• New IRS Rules
• Technology & Education
• Marketing
• Time Management.

PLEASE NOTE - DATE HAS BEEN CHANGED FROM Nov 4 to Nov 18

Details... (.pdf document)

Other Regional Education Events

Costume Society of America Conference: Dress and the Decorative Arts
November 10-11, 2006 - Huntington Library, San Marino, CA

UCI: Exploring the Getty Villa
December 15-16 - Irvine and Los Angeles, CA

Members Need Education Units to Reaccredit ASA Designation Every 5 Years

Read about the ASA reaccreditation requirements at the ASA website. (To view this information, you must log into the Members Only section, then, in the left column, click on the Reaccreditation link.)

This newsletter is published (September through June) as a service to the ASA Members and the community it serves. If you would like to receive this publication, please contact Jan Giamanco- 619-781-8588.

Newsletter Editor - Georgie Stillman, ASA

Newsletter Published by Jan Giamanco of G-Force Services