The reason resale prices for diamonds are so low compared with retail prices is that jewelers buy diamonds in bulk, at wholesale prices, which are much lower.
The retail price you pay for a diamond at the store is higher because it includes overhead expenses, such as rent and personnel salaries.
Do diamonds have a resale value?
The good news is that yes, diamonds do have resale value. Just how much you can get back on your diamond depends on multiple factors. Keep reading as we cover the resale value of diamonds, how to figure out what your diamond is worth and where you can get an honest and accurate price for your diamonds.
Do diamonds increase in value over time?
The short answer is that most diamonds do not appreciate in value over time. Only an extremely small category of diamonds increase in value, which we will discuss later. So while retail prices for diamonds may be high, the resale market rate for diamonds is much lower.
Can diamonds become worthless?
Diamonds are intrinsically worthless: Former De Beers chairman (and billionaire) Nicky Oppenheimer once succinctly explained, “diamonds are intrinsically worthless.” Diamonds aren’t forever: They actually decay, faster than most rocks. Diamonds can bring injury: Yes, the diamond trade creates jobs.
How much value does a diamond lose after purchase?
As soon as you leave the jeweler with a diamond, it loses over 50% of its value.
How much is a 1 carat diamond worth resale?
Rule of thumb: A 1-carat diamond can cost as low as $2,000 and as high as $25,000. That means a middle-of-the-range diamond should be $11,000 – $12,000. Sounds simple, but that is overpaying. A good value, good quality 1 carat diamond should cost you around $4,500 – $6,000.
Is it better to pawn or sell jewelry?
Pawning your jewelry is a really good option for two reasons. First, it’s great if you need money quickly but you also want to keep your jewelry. Second, because the pawn shop doesn’t have to worry about having to sell your jewelry, you’ll probably get more money. Shop around at different pawn shops or jewelers.