Like most collectors, a time may come when it is advisable to sell one or more of your rugs.  What are the traps and pitfalls which await you?  Again, I must stress that here, as in other dealings, there are many ethical outlets where you will obtain a fair price for your pieces.  However, although the sharp practices discussed herein, are NOT in the repertoire of the aforementioned, these are in that of some dealers.  In general, I will discuss the miscreants!
 

Auction Galleries
A common device, used by some unscrupulous of these, occurs when you propose to use them and present your artifact for their appraisal.  They rely on the consignors ignorance!  If the gallery expert is convinced that you are a non-professional who is unaware of the true, high value of the piece, he will aver that it probably is a recent copy and not worth much!!  In this case, if you accept his spurious evaluation, the gallery can handle the item in various ways.  They may have an annex for low quality material where your rug, falsely catalogued, will be offered.  Depending on the fact that only bidders who are interested in cheap goods attend this auction, a stooge can acquire it at a low price.  If such an annex does not exist, it may be auctioned on a "bad" day.  This occurs where they learned, from experience, that attendance will be poor.  After your carpet has been bought in, at a ridiculously low price, it is placed in storage awaiting an opportune occasion.  This happens when they have a well-advertised and famous collection for sale which lure top dealers and collectors!  Now, your carpet emerges correctly catalogued.  Under these circumstances, there is competitive bidding and the piece fetches the price which it deserves!!  It is possible that an honest gallery may have a dishonest appraiser.  He gives your rug a low evaluation but, with the proper inducement, raises his estimate considerably! 

Sometimes, the gallery gives away "plums".  This is the merchandise of private consignors, unknown to the gallery, which the auctioneer disposes of quickly using no sales technique.  Here, he creates "Good Buys" which is excellent advertising for it, increases attendance and the possibility of selling their own material!!!  Of course, this at the expense of the consignors! 

In a gallery, which sells a variety of antiques and usually offers some carpets, a dealer may have a "special" arrangement with its appraiser.  For a regular "inducement", the latter will tip off the dealer whenever an interesting rug will be on sale!  The low-rated piece  is exhibited in such a way as to make a close inspection extremely difficult!!  The favored dealer, of course, has been given an excellent opportunity to preview the rug.  If you consign the piece, attend the exhibition and if it is NOT displayed to your satisfaction, WITHDRAW IT IMMEDIATELY!!!

In conclusion, your best protection is to carefully research the current, market value of your item.  If a gallery consistently  gives your rugs low appraisals, avoid it! 

Antique Rug Dealers
You must understand dealer psychology!  He views buying and selling as TWO transactions.  He feels that he has a right a profit in both!!!  Therefore, he will usually pay LESS than he would pay his supplier for a similar piece.  The difference is his first profit.  He wants to buy your piece at well under the wholesale price, which is what he would have to pay a picker, 
another dealer or at auction!!!

He will pay considerably less for an item which must remain in his shop for a long time before it is sold.  On the other hand, he is prepared to pay a high price for a rug he thinks is "HOT" and which will have a rapid turnover!  Under all circumstance, he will try to adhere to the old maxim, BUY CHEAP, SELL DEAR!!!

There is another sort who wants your rug on consignment   He would rather INVEST YOUR MONEY THAN HIS OWN!!!  In order to illustrate their methodology, I will relate an imaginary episode which might happen to you.  You have decided to sell a carpet and you know a dealer with whom you have done some business.  With your rug , rolled up under your arm, you sally forth to his shop.  After explaining the purpose of your visit, the following dialogue might very well take place:
Dealer
Ah! A late 19th century Kasak.  Not a bad piece!  Pretty good colors!  What are you asking for it?

 
You
I'd like to get $1,500 for it.
Dealer
That's pretty steep the way the market is nowadays.  Now, if it were only a Shirvan, there would be no problem.  (Author's note: If your piece were a Shirvan, he would have claimed that these are a drug on the market and that it is Kasaks that are in great demand!)  I had one just like yours for over two years and I finally sold it for $850 because I just couldn't stand looking at it anymore.  However, you're a good customer and I will try to get you the best price.  (He thinks that you need money and he can squeeze you a little!)
You
(What have I got to lose?)  All right.
The dealer now displays your rug without a price tag and, when an interested party asks about the piece, he explains that is on consignment from an important collector, who must remain nameless because he has undergone financial reverses and needs cash!  He is asking $4,000, but, but under the circumstances, he might be persuaded to take less.  The potential buyer offers $3,000 and leaves a telephone number where he may be reached.  Now, he calls you and relates that he has been lucky enough to find a ready buyer who will pay $1,200 if you are prepared to let it go at that price.  Two months have passed since your visit, you would like to conclude the matter and so you agree!  He now calls the buyer and tells him that he has convinced you to take less (no lie).  The transaction is completed with a net profit for the dealer of $1,800!!  You are fortunate if this Shylock does not ask you for an additional $200 as a finder's fee.  That's not a bad return for a little display space and a few phone calls!!

There may be another gyp artist who employs a different approach.  It goes like this:
Dealer
So you want to sell this Kasak!!!  I know that you bought it five years ago from a dealer for $1,000.  I must say that you were cheated!  Unfortunately, you can run into bad apples in this business.  He dated it c. 1880?  IMPOSSIBLE!!!  A date of c.1920 would be more appropriate.  Just look at the synthetic dyes and the coarse weave!  Your asking $1,500?  That price is way out of line.  We all make mistakes, you know.  However, since we have known each other for a long time and I like you personally, the best that I can do is $700 and it is a sacrifice on my part!  When you get a spiel like the above, RUN, DON'T WALK OUT OF THE SHOP!!!  The ancient Romans said, "Caveat Emptier" (Let the buyer beware).  In this case, I would alter this to "LET THE SELLER BEWARE"

Rug Clubs
If you are lucky, you may have one in your vicinity.  There is always the possibility that you can sell or trade an unwanted rug there.  After having done the foregoing research to determine the market value of your piece, you can expect to get from a club member more than a dealer will pay and less than his selling price.  Your buyer should pay cash on the barrel-head on a none-returnable basis!  He is supposed to be knowledgeable and after making a close examination, he should make a firm offer and stick with it!

Advertisements
These, in the newspapers, trade publications or Internet, often will bring inquiries from dealers, pickers and collectors. I have not had luck with ads as the following, typical experience will indicate:
In 1972, as I was preparing to leave New York City and take up residence in Vienna, I wished to dispose of some of my rugs.  Included, among these, was a Lori Pambuk Kasak.  I had placed an ad in the Sunday edition of the New York Times.  As a result, I received a telephone call from a gentleman who professed an interest in buying old Caucasian carpets.  I gave him my address and shortly thereafter, two European dealers arrived and examined my pieces.  One of them liked the Kasak and asked its price.  My reply was $700.  He looked at the rug and then said, "I couldn't sell this rug in its present state (It was in excellent condition) and it would cost about $300 in restoration to make it salable.  I'll give you $400!!
This caused me to tell him a little story.  I related that my sleep was troubled by a repeated dream which is always the same.  I dream that I am walking in my neighborhood and meet a little, old lady.  She says, "I have heard that you collect old carpets and I am selling my house.  I inherited it from my parents and I have lived there all my life.  My husband has passed on, my children are married and live by themselves.  They are uninterested in old things.  I have quite a large number of old rugs which have been heirlooms in my family for generations.  Would you care to look at them?  After my very affirmative reply, we go to her place and there I see a wonderful variety of old pieces.  I ask her, "How much are you asking?"  She replies, "Would $25 each be too much?"  With delight I agree, pile them into my car and bring my treasures home.  I eyed the dealer and said, "I am certain that you have had a similar dream but there is one problem!"  "What's that?", he asked.  I faced him and replied, "I AM NOT THE LITTLE, OLD LADY!!!"

In summation, above all else, you must have an accurate knowledge of the CURRENT market prices!!

The value of antique tribal rugs is constantly changing (usually going higher) and one must be ever-vigilent!!!

Sam says: The more I learn, the more I know how little I know!!!

Sam