Modern furniture stores are often big sellers in the real estate market, but they’re also often hard to find.
That makes the $2.5 million price tag on a new piece of furniture seem pretty good.
But that’s a big gamble.
“The best value you can get for the money is $1.5,000,” says Joe Fennell, owner of Modern Furniture and Living.
He bought the $1 million furniture in 2012.
Fennell says the furniture he bought for $2 million in 2012, for example, had been sitting in his garage for almost five years.
He says the only reason he bought it was because the seller was a good friend of his.
He said he wanted something new and was looking for something with a more modern look.
Fellow Modern Furnishings store owner, Dan Kochel, also bought the piece for $3.5.
He didn’t want to get too deep into the price tag.
“I’m pretty confident it’s going to sell for less than $1,” he said.
Fernell says there are two factors at play.
First, if you look at the history of modern furnishings, they’ve been around for a long time.
“The trend that started in the late ’80s and ’90s is a lot older and a lot more timeless,” he says.
“If you look back to the ’60s, ’70s, you’ve got a lot going on in the house, so it’s very, very similar.”
“The second factor is that the modern design has evolved over time.
It’s been very hard for the average person to find something that looks the same as they do,” Fennells says.
Modern furniture is getting cheaper as well.
Furniture sales in the U.S. are on the rise.
It may be because more people want to buy more modern furniture, but that’s not the only factor.
“We’ve also seen the cost of living in the country increase,” Kocher says.
He points to a report from the Consumer Federation of America.
It says the average price of a standard-sized home jumped 6.3 percent in March, up to $7,300.
The report also said prices for newer homes are up 7.6 percent in the same period.
“I’m not going to say it’s the best price on the market right now, but this is what we’re seeing,” Fohnell says.
“It’s a little bit of a gamble,” Kuchel says.
But he’s willing to take the risk.
He also bought a $4.5-million piece of the same furniture.
Fenell says it’s possible to save up to 20 percent by buying a piece that looks like something you would normally buy.
“You can get something for $5,500,” he tells me.
“You could get a new carpet for $900,” Fernell adds.
He is willing to pay the extra $1K to $2K for a slightly different look.
“It’s not going get any better than this,” he explains.
The second reason to get a piece like that is that it’s actually easier to sell than buying a new one.
“There’s a ton of good deals out there,” Kuchhel says, pointing to a number of deals online.
“For instance, you could buy a lot less than you think you’d need to, and you could get something that’s really nice and beautiful.”
“That’s the beauty of modern art,” he adds.
“In the end, it’s more of a luxury.”