Holy Steinway M! + 2 things

[Tom Cole]

james allen bickerton wrote:
> 
> Help!  Tuned a 1929 Steinway M (Serial #M268519) for a lady the other
> day - hammers, bridge, all the vitals in good condition.  When I
> finished, she asked me "what do you think my piano is worth?"

William J Schlipf wrote:
> 2. What could be the approximate value of a 9' Ivers and Pond, serial
> #2529 made 1900 according to the Pierce P A,  after a proper restoration.
> (includes refinishing due to a  flood)? 

Jim, Bill

I like the straight-line depreciation method of appraising. Start with
the current retail price (from Ancott directory or Larry Fine's Annual
Supplement to The Piano Book). This is easy in the case of a Steinway.
With the Ivers & Pond (Boston), you would need to think of an equivalent
piano made today (e.g., Mason & Hamlin) to determine current new value.
If it were a newer Ivers & Pond (made by Aeolian), then you would need
to think of different equivalent instrument.

Next, decide what is the useful life of an average piano in your area
before major rebuilding is necessary. In coastal California, that's
about 70 years. Probably less in Fayetteville or Bloomington.

Divide paragraph 1 by paragraph 2 and you get the amount of depreciation
per year. Taking the Steinway for an example, an ebony model M retails
for $33,600. Divide by 70 and you get $480 which is then subtracted for
each year of the piano's life (in this case 69 x 70) - to a minimum of
25% of current retail ($33,600 x .25 = $8,400).

Next, subtract for _abnormal_ wear and tear (. Add back the current
retail value of improvements (improvements must also be depreciated).

The result is a figure suitable for any insurance company wanting to
know replacement value. If the owner wants to know how much s/he can get
for it, it's up to them to do the horse trading. You've established the
retail price.

That's the basic procedure. A formulaic approach to appraisal is well
received by banks and the like and is ultimately the most fair, IMHO.
For additional input, see The Piano Book, 3rd edition, pp 159 - 161
wherein Larry Fine compares the three commonly used methods.

Happy appraising,
Tom

-- 
Thomas A. Cole RPT
Santa Cruz, CA