Prominent art advisor and Baer Faxt founder Josh Baer has weighed in on the heated debate surrounding inflated pricing for works by young and emerging artists, offering specific price recommendations that challenge current market trends. In his latest No Reserve newsletter, Baer suggests that collectors should pay no more than $15,000 for large works and $5,000 for smaller pieces from what he terms "ultra-emerging artists" during their first solo exhibitions at reputable galleries.

The discussion about overpriced emerging artist works has intensified recently, with few industry insiders willing to attach concrete numbers to their concerns. Artnet News editor-in-chief Naomi Rea previously addressed this issue in a June column ahead of Art Basel, writing that "now, $30,000 gets you a résumé-light emerging artist. The art market has lost its grip on price-setting—and dealers must recalibrate."

Baer defines "ultra-emerging artists" as those fresh out of graduate school, using the example of "the MFA graduate from Yale." When clarifying size distinctions, Baer explained via text that he considers large works to be approximately 60 by 40 inches, while small pieces measure around 20 by 16 inches. His pricing framework aims to provide concrete guidance for collectors navigating an increasingly complex market.

To put these price points in perspective, Baer notes in his newsletter that "a new collector needs about an additional $25,000 of pre-tax, discretionary income to buy a work around $15k—kind of like what a week in the Bahamas would cost." He emphasizes that the era of spectacular returns on emerging artist investments has largely ended, stating, "The stories of collectors buying their Jean-Michel Basquiat for $7,500 in the '70s/'80s and selling for $35 million now (I'm old enough to know many of these people) is just not going to happen."

Industry reactions to Baer's recommendations have been mixed but generally supportive. Los Angeles gallerist Charlie James endorsed Baer's approach, telling ARTnews that he finds both the scale and pricing recommendations useful. "I think these thresholds are useful," James said, adding, "I think $15,000 for a large work might actually be a little high."

However, not everyone agrees with the attempt to standardize pricing in the art market. An experienced collector of emerging and ultra-emerging artists offered a more cautious perspective, acknowledging the interesting nature of Baer's proposal while noting that "pricing in the art market can't really be codified. So many factors go into it." This response highlights the ongoing tension between the desire for market guidance and the complex, often subjective nature of art valuation.