Headlines about art prices rarely include the costs. This calculator works out the real yearly return on an artwork or antique after buying costs, insurance and storage, and selling costs, and can adjust it for inflation.
Art investment return
How it works
Total put in = purchase price × (1 + buying costs %) + holding costs × years. You receive = sale price × (1 − selling costs %).
The yearly return is the compound annual growth rate: (amount received ÷ total put in) raised to the power 1 ÷ years, minus 1. For simplicity, holding costs are treated as part of the amount put in rather than spread across the years, so the result is a close estimate.
Worked example
The example uses rupees, but the maths is the same in any currency. Choose yours in the calculator above.
A painting bought for ₹100,000 with 20% buying costs, ₹1,000 a year in holding costs, sold after 10 years for ₹250,000 with 15% selling costs: you put in ₹130,000 and receive ₹212,500. The profit is ₹82,500, about 5.04% a year. The price alone rose about 9.6% a year.
Good to know
- This is a calculator, not investment advice. Past sales do not predict future prices, and many artworks sell for less than they cost or do not sell at all.
- Art is hard to sell quickly, and costs such as insurance, conservation and authentication can be larger than expected.
- Taxes on gains are not included, because they depend on where you live and your circumstances.
Frequently asked questions
How do I calculate the return on a painting?
Add all the costs of buying and holding it, take selling costs off the sale price, then compare the two over the years you owned it. The calculator does this and gives a yearly rate.
Why is my return so much lower than the price rise?
Buyer’s premium, holding costs and selling commission all come out of the gain. Over a short holding period, these costs can take most of it.
Is art a good investment?
It depends on the artwork, the price paid and the costs, and results vary widely. This calculator only does the arithmetic; it is not advice.