Posted on March 9, 2021 by Behnam Rugs

Basics of Rug Appraisals

If you are a new rug owner, this may be the first time you’ve heard of rug appraisal. To appraise your rug, a certified expert first needs to examine it. The expert will take into account the age, origin, knots per square inch (KPSI), condition, rarity, and popularity of the colors and pattern.

These factors affect the value of your rug. The evaluation of these factors will not take the expert a long time to discern, however, the physical examination of your rug should be thorough. An appraisal gives you an idea of what your rug is worth and if it is valuable or collectible.

There are two types of rug appraisals: Verbal and Written.

A verbal appraisal is an oral statement just meant to give the owner a professional opinion about the origin and value of the rug.

A written appraisal is a document that can be used for insurance purposes and details the market value and replacement value of the rug. A written appraisal includes the rug’s exact measurements, country of origin, age, foundation material, pile material, uniqueness of design, condition, colors, and their location such as background or border. Should something happen to your rug, a written appraisal ensures you’re covered in the event of damage or destruction.

If your rugs are valuable, written appraisals should be an essential part of your portfolio. Your portfolio should itemize the rugs covered by your insurance policy. When you have written appraisals for your rugs, insurance will reimburse you should anything happen to them outside of your control.

How to Create a Rug Portfolio:

1. Measure the length and width of the rug
2. Note the color of the border and background
3. List every color featured on the rug
4. Include any information from the rug tag or that you remember from when you bought it
5. List the country of origin and style of rug, for example, “Persian Tabriz”
6. Call 972-733-0400 to schedule a written appraisal with Behnam Rugs
7. Bring this information and the rug to your appraisal appointment

You may wonder why you need a written appraisal by a rug expert if you still possess a receipt for your rug. Insurance companies are much more likely to trust an unbiased third-party’s opinion in writing, as it is possible you overpaid for your rug, or that your rug appreciated or depreciated in value over time. Current fashions also affect the value, and trendy rugs often go out of style quickly. Keep your receipt if you have it.

Written appraisals’ primary use is for insurance coverage, but appraisals should also be added to your portfolio and estate plan. If you decide to donate your rug to a charity or other recipient, an appraisal helps ensure your tax savings. Consult with an attorney before donating a valuable rug. Besides their practical applications, written rug appraisals afford you peace of mind in the event of unforeseen circumstances.

Where Can I Get an Appraisal?

Behnam Rugs– For over 40 years, insurance agencies have trusted Behnam Rugs to provide accurate and dependable appraisals. We offer free verbal and affordable written appraisals to rug owners in the DFW area. All you need to do is bring the rug to our showroom at 18000 Preston Road in Dallas or call and make an appointment for an in-home visit. Behnam Rugs settles hundreds of insurance claim cases every year. We represent both rug owners and sometimes even the insurance company to settle fair replacement value for rugs damaged by water, fire, storms, and more.

Rug Experts in Your City– Make sure to work with an expert who is actively involved in the rug industry. They should buy and sell rugs and be familiar with international trade values.

Rug Showrooms– Some rug showrooms offer written appraisals, especially if they sell quality handmade rugs. Call your local rug dealer to find out if they offer appraisals.

Ask an Insurance Agent– Your insurance company can direct you to an appraiser they trust.

What Else Can I Do to Protect My Rug?

• Make sure to take pictures of your rug from a variety of angles and distances. The photos should be clear and well-lit.
• If you’re not sure your rug is valuable, get a verbal appraisal first, as these are generally free of cost to the rug owner. If you find that your rug is indeed valuable, do not hesitate to get a written appraisal. We recommend getting a newly written appraisal no less than every five years, as rugs appreciate and depreciate 3-5% every year and you may need increased coverage. This change in value is affected by the country of origin and how its currency is weighted against the U.S. Dollar. Supply and popularity may also impact value.
• Check with your insurance agency to see if your fine rugs are included in your policy or if you need additional coverage. In addition, check for coverage caps. A coverage cap that is too low could mean you don’t get full replacement value if something happens to your rugs.
• Take care of your fine rugs. Rugs should be professionally cleaned every three to five years without the use of machinery. Browse our blog to learn everything you need to know about rug ownership and maintenance.