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Version 2.0 · Effective August 1, 2026

The RUG Index
Appraisal Standard

The first standardized, reproducible formula for valuing hand-knotted rugs.

Applies to: Certified Appraisal ($175) and Legal, Estate or Tax Appraisal ($295).

The Formula

Five pillars. One number.

Every RUG Index valuation is produced by the same reproducible formula — no subjective judgment, no hidden factors. Without a shared formula, two qualified appraisers can land far apart on the same rug — see why appraisals differ between appraisers.

Core Formula
base_sqft × origin_mult × material_mult × age_mult × condition_mult × kpsi_mult
= resale_midpoint
Resale Value
× 1.0
Fair market value for private resale or dealer purchase
Retail Replacement
× 2.2
Cost to replace at retail — used for insurance policies
Auction Estimate
× 0.75
Expected hammer price at public auction
Insurance Value
× 2.6
Full replacement cost including dealer premium and sourcing
A hand-knotted rug illustrating the five-pillar grading standard

The five pillars, applied to a real rug.

The Five Pillars

Each factor, explained

01
Origin & Region Multiplier
Where a rug was made is the single strongest driver of value. Persian workshop cities like Tabriz, Isfahan, Kashan, and Nain command the highest multiples. Tribal and village rugs carry lower multipliers but have their own collector premiums.
Region GroupIncludesMultiplier Range
Persian Workshop CitiesTabriz, Isfahan, Kashan, Nain, Qom2.4×–3.2×
Appraiser assigns city-specific multiplier based on verified attribution.
Persian Village & TribalHeriz, Kerman, Sarouk, Bijar, Qashqai, Bakhtiari, Kurdish, Gabbeh, and others1.0×–1.9×
TurkishHereke, Oushak, Kayseri, Konya, Gördes, Bergama, and others1.0×–3.4×
Hereke silk pieces command the highest multiplier in this category.
CaucasianKazak, Karabagh, Shirvan, Kuba, Baku, Talish, and others1.2×–1.7×
Central Asian & AfghanAfghan, Bukhara, Tekke, Yomut, Ersari, Baluch, Pakistani, and others1.0×–1.6×
IndianAgra, Jaipur, Kashmir, Indo-Persian, Mughal antique, and others0.8×–2.0×
Chinese & East AsianAntique Chinese, Ningxia, Peking, Tibetan, and others1.0×–2.0×
North African & EuropeanMoroccan tribal, Egyptian, French Savonnerie, Spanish antique, and others0.9×–2.2×
Specialty TechniquesKilim, Soumak, Flatweave, Needlepoint, Hooked0.7×–1.0×
Unknown / Unattributed1.0×
Conservative baseline applied pending verification.

Certified appraisals use city-specific and workshop-specific origin keys from The RUG Index's 106-entry origin taxonomy. The ranges above represent each category's span. The appraiser's attribution determination is the authoritative input.

02
Material Quality Multiplier
The fiber content of both pile and foundation. Pure silk commands the highest premium. Hand-spun wool with natural dyes is valued above machine-spun. Synthetic fibers carry the lowest multiplier.
Pure Silk 3.5×
Silk Highlights on Wool 1.7×
Fine Wool 1.0×
Wool/Cotton Blend 0.7×
Synthetic 0.5×
03
Age & Provenance Multiplier
Age is verified by wool oxidation, dye analysis, and structural examination. Documented provenance — auction records, purchase receipts, prior appraisals — adds measurable premium above undocumented pieces of equal age.
Antique 100+ years 2.8×
Semi-antique 50–99 years 2.0×
Vintage 25–49 years 1.4×
Modern 10–24 years 1.1×
New 1.0×
04
Condition Grade
The most variable factor and the one most open to manipulation. The RUG Index uses a six-point condition scale with specific, observable criteria for each grade. Pile height, structural integrity, repair history, and dye stability are all assessed.
Condition Grade — Professional Assessment

The appraiser assigns a single condition grade based on direct evaluation of the submitted photographs. The grade reflects overall condition considering pile wear, structural integrity, repairs, staining, fading, and other observable factors.

GradeLabelMultiplierCriteria
AMint / Showroom1.00×No wear, no repairs, full even pile, original condition
BExcellent0.85×Full to slightly reduced pile from normal use, minimal fading, repairs noted if present
CGood0.70×Moderate pile wear and minor fading in traffic areas, repairs noted if present, foundation sound
DFair0.50×Substantial pile loss and noticeable fading from significant use, foundation condition noted case-by-case
EPoor0.30×Extensive wear, damage, or deterioration; substantial pile loss; professional conservation recommended
FDamaged0.15×Structural damage materially affecting integrity and value

Note: The self-serve Valuation Snapshot tool uses a structured damage selector (10 damage categories with severity levels) to derive a condition grade. See the Valuation Snapshot Methodology for details.

05
Knot Density (KPSI) Multiplier
Knots per square inch determines the fineness of the weave and the labor investment. Ultra-fine silk rugs can exceed 1,000 KPSI. Coarser tribal rugs may have fewer than 40 KPSI. Both can be valuable — but the density factor is applied accordingly.
Museum 800+ KPSI 1.8×
Very Fine 400–799 KPSI 1.4×
Fine 200–399 KPSI 1.1×
Medium 80–199 KPSI 0.9×
Coarse Under 80 KPSI 0.7×
Valuation Confidence

How certain is the number?

Certified Appraisal ($175) and Legal, Estate or Tax Appraisal ($295): No confidence band is shown — the appraiser's professional judgment produces a point estimate, not a formula range.

Valuation Snapshot ($35, self-serve tool): Uses a confidence band based on how many inputs are known. See the Valuation Snapshot Methodology for details.

Want to see this standard applied to a real rug? View a sample Certified Appraisal report →

Scope & Limitations

What this standard covers

Scope: Hand-knotted and hand-woven rugs and textiles. Remote appraisal from submitted photographs.

Limitations
Version History

Changelog

v2.0 — August 1, 2026

Full origin table expanded to include all major weaving regions. Condition grading section clarified to reflect direct professional assessment. Scope statement added.

v1.0 — 2026

Initial publication.

See the standard in action

Use our valuation tool to apply the five-pillar formula to your own rug. No account required.