Office Furniture Used
Many office managers and small business owners turn toward used office furniture when establishing or upgrading their work-spaces. While used furniture offers a winning combination of quality, performance, and resource conservation at a deeply discounted price, determining its resale worth can be challenging to furniture industry outsiders. Buyers and sellers alike should consider these factors when identifying the value of a piece of used office furniture.
Fair Market Value
Perhaps the most significant factor in evaluating the worth of a used piece of office furniture is its fair market value. A standard appraisal industry term, this relates to the price a buyer and seller would agree upon on the open market.
This number is influenced by fluid factors, such as the current selling market and market conditions. The intended market is particularly relevant when assigning a value to used furniture: for example, a piece may bring in an entirely different price in an antique shop as opposed to at a flea market.
While a piece of high quality furniture can endure for hundreds of years if properly handled, daily office use can lead to signs of wear and tear, such as stains and worn out cushions.
Adverse conditions can yield even more significant damage. For example, furniture that has not been subject to extreme heat, moisture and other misuse maintains its value far better than furniture exposed to these detrimental conditions. A piece with many flaws or significant damage may decline in value by as much as 50 percent.
Keep in mind that a piece’s worth is determined by its current condition, not its condition after repairs or refinishing.
Do Your Research
While a general rule of thumb says to price furniture at half of the original purchase price, comparable sales offer unique insights into the current market. Research recent sales — not unsold items — to determine the value of a piece. Be sure to consider variations in condition and availability, along with any other factors which distinguish your item or prospective purchase from the comparable s. Look for at least three comparable items which have sold in a similar market in order to reach the closest approximate valuation.
An appraiser can also offer essential assistance in determining the value of a piece, particularly in cases where the item’s provenance may affect its worth. While this will cost a fee, it will afford you beneficial piece of mind. Receipts and documentation reinforce a piece’s value when there is a question of historical significance.
While in the most basic sense, a piece of used office furniture is worth exactly what someone is willing to pay for it, attention to the considerations listed here can help buyers and sellers reach a fair and mutually agreeable price.