The conversation between Dwyer and Ruggie, two respected and tenured collectors of repute, unearths key insights covering massive territory in the collectibles world. Offering thoughtful commentary on everything from competition in the collectibles auction space to planning and familial considerations, the episode is a must-listen for passionate collectors and industry stakeholders alike.

Here are just a few of the many takeaways worth heeding carefully.

The sports memorabilia collecting hobby is on an upward trajectory, inviting new participation. Depending on one’s perspective, the “COVID Bubble” never fully popped.

Some asset prices in the collectibles market skyrocketed and quickly returned to earth after the pandemic. Think: million-dollar modern sports cards. But that doesn’t necessarily mean that collectibles market activity broadly cratered from 2022 onward.

Dwyer notes that it’s essential to understand that the broad collectibles market is broken into several pockets or subsections. “Vintage [sports memorabilia] has been steadily increasing through COVID and post-COVID. The modern market has been more of a rollercoaster.” The contrast isn’t limited to eras; Dwyer cites game-worn memorabilia, tickets, and photographs as pockets of the market that have captivated persistent interest.

“I always kind of laugh when I hear ‘the COVID bubble,’ because from where I sit, it never fully popped,” Dwyer adds. “There were parts of the market that popped, but we continue to sign up huge numbers of people for every auction. Every year, our registrations and engagement numbers are up. There’s a ton of people coming into the hobby, still, X number of years post-COVID.”

While there were meteoric price rises–and crashes to follow–in the COVID boom, Dwyer cautions that when you zoom out, there’s evidence of steady growth in hobby participation. The market is so vast and nuanced that it’s challenging to paint with a broad brush, and participants should consider activity in their specific pocket of interest while also paying attention to general trends in participation.

Among the new participants are younger generations entering peak earning years, fueling increased interest in different collecting categories. Dwyer notes that some collectors his age are rekindling youth through Pokemon card collecting, driving significant activity in that pocket of the collectibles market.

He also acknowledges the entry of a very serious investor class, which allocates to collectibles on a percentage basis or speculates in assets. While Dwyer notes these participants may not share the same emotional attachment as pure collectors in some cases, they leverage data to substantiate a belief in potential upside.

What are the risks the investor class should consider when entering the collectibles market?

Naturally, some new entrants to the market are inexperienced in its nuances. To help them avoid stumbling into pitfalls, Dwyer provides valuable advice for those new to the collectibles world. “I would caution people: make sure you understand what you’re doing. And if you don’t, know who you can talk to, who you can ask, or who you can trust. Because putting a bunch of money into the collectibles market is no different than putting a bunch of money into the stock market. If you do it wrong or you do it with somebody that can’t be trusted, you might as well just light the money on fire.”

As with any market, success in the collectibles market requires research and an understanding of market dynamics, particularly given the immense nuance in those markets. A lack of diligence can leave newcomers vulnerable to loss. Fortunately, there’s no shortage of resources available and subject matter experts in each category to help flatten the learning curve.

Why should collectors take regular inventory of what they own?

Long-tenured collectors can sometimes lose sight of just how much they own if they’re not regularly tracking it. Dwyer illustrates how consistent additions to a collection can accumulate into a monetary value far greater than some collectors realize: “People have said to me, ‘Oh, I only spend $5,000 a year. I’m a modest collector.’ Well, you’ve been spending $5,000 a year for 20 years. 25 years. 30 years. This is now a six-figure collection.”

It’s not only the acquisitions that can create a sizable allocation. Market appreciation can further fuel the expansion in size.

Dwyer advocates for a more disciplined approach, rather than a set-it-and-forget-it, laissez-faire style. “If I had one piece of advice, it’s to step back and look at your collection over your lifespan as a collector. It gets out of control for some people.” He notes that he regularly tracks his inventory in an Excel spreadsheet, refreshing it periodically or when he makes new acquisitions. That tool can prove handy for furnishing to family members, estate planners, and insurance companies.

Why should collectors keep their families better informed of what they have?

Sometimes, collectors are reluctant to share information on the extent of their collections with family members, fearing judgment at the monetary outlay they’ve committed to their hobby. But Dwyer asks them to consider the alternatives: “Think about when your wife needs to find out. When your significant other needs to find out. Would you feel worse about your significant other knowing what you spent on the collectibles or selling it at a garage sale for $20?”

Through his work at REA, Dwyer has direct experience with near disasters when estates almost go the garage sale route–or worse, the dumpster route. He recounts an experience early in his tenure when he pulled up to a consignor’s house to find a dumpster in the driveway. The consignor informed him that whatever they didn’t take of her husband’s belongings for consignment would be going in that dumpster the next day.

“We took $700,000 out of the house. As far as she knew, her husband went down into the basement where his workbench was, where his tools were, where his sports memorabilia was, and she wanted no part of it.” The items Dwyer and the team were able to discover and sell on the family’s behalf produced extremely substantial proceeds, but all of those items could’ve ended up in the garbage. “What if we had said we couldn’t come tomorrow? What would’ve happened to that stuff? That was life-changing money for that family.”

That’s the disaster scenario that collectors can avoid by keeping their families informed. At the very least, they can ensure that their families are prepared to work with upstanding professionals like Dwyer and the team at REA.

Collectors can make arrangements with auction houses while they’re still living for sales of their estates postmortem.

On the topic of collectors making preparations for their families, collectors can work with auction houses while they’re still living to ensure that their collections are sold appropriately after their passing. “Have conversations with auction houses while you’re alive,” Dwyer suggests. “Document them. Write them down. We’re in a number of estate planning documents with already prenegotiated terms so that it’s just plug-and-play for your heirs.”

These prenegotiated terms and arrangements remove significant stress and administrative burden from heirs. Not only does it remove the burden, but it ensures that dumpster and garage sale encounters are avoided, that the collection is in professional hands, and that the proceeds achieved will be commensurate with the collection’s quality.

There’s so much to learn from this engaging discussion, and we encourage you to listen to the full episode for more of the valuable insights shared above. Among the subjects we haven’t covered here:

• A look inside the friendly competition in the sports memorabilia auction landscape.
• The role of innovation in shaping the future of memorabilia commerce. 
• The way landmark sales like the $24.1 million Babe Ruth jersey can raise the profile of the sports memorabilia-collecting hobby.
• What makes a collectible an attractive acquisition