Top Tips for Selling Your Diamond Jewelry
Although selling your diamonds might seem like a very appealing way to earn money, like any business, in order to be lucrative you'll need to become an expert in the field. Unlike gold, diamonds do not have a quantifiable melt value, and diamond resale prices have no single objective measure, which makes it all the easier for the inexperienced seller to become confused and overwhelmed.
In order to help navigate the maze involved with diamond selling, here are three useful tips to help you when selling your hock stones:
- Understand What You’ve Got
Grandmother may well have said that her old diamond ring was very valuable, but that’s not necessarily so. In fact, the so-called diamond may not be a diamond at all. Prior to rushing off to the market, get an accurate idea as to the true quality and authenticity of the stone in question. You can get an unbiased opinion about the stone’s condition and characteristics by consulting with a qualified appraiser, preferably one who does not buy or sell diamonds. They will highlight both the positive and the negative attributes that will affect the overall value.
Nevertheless, a formal assessment is not always necessary. If the diamond is likely to be worth less than say - $2,000 - and you’re short on funds, you can have a free stone evaluation by someone who buys diamonds professionally, or perhaps even by a pawnbroker. It’s advisable to visit two to three shops in order to gain a true sense of the value.
- Price Realistically
Being unrealistic with regards to how much you can expect to sell your diamond for could lead to disappointment. When having your diamond appraised, ask about the stone’s potential worth given specific markets and circumstances. A professional appraiser should be up-to-date on market trends and can help you determine the potential value of the diamond when sold.
On the other hand, you can make some value assessments yourself. Peruse eBay for any diamond jewelry that appears to have similar characteristics to your own or check new diamonds within retail stores or online that seem comparable to yours. Also, factor in a price deduction given that your jewel is pre-used. Keep in mind the reason why anyone would wish to purchase your diamond – either they wish to sell it for a profit or they see it as a good bargain. Otherwise, they would probably buy new stock.
- Investigate Your Sales Options
If you wish to sell your diamond you have a couple of options:
- Sell to the public
- Sell to the jewelry industry
Selling jewelry is not all about getting the best price. It can be more about the speed of the sale, or it could come down to how much you actually trust the buyer. Another component is your own ability to market the stone or negotiate on final price.
If you choose to sell to someone in the industry, then the advantage you have will be time. Should you wish to sell safely and quickly and you have no desire to market the piece, you should consider selling to a specialist diamond dealer, a generalized jeweler, or a pawnbroker. To verify their trustworthiness, look for American Gem Society members to do business with or check their Better Business Bureau rating. Obviously, the downside to selling to businesses in the industry is that you’re less likely to get the best price. Their main concern is to profit from the stone, and thus, they have little desire to offer a price too close to the retail value.
Alternatively, you can sell via an online market place. Craigslist, for example, can yield good results, but if you do choose to take this route, watch out for the rogues. eBay makes for a good selling platform or you can consider the use of an auction site that is relatively new, called “I Do… Now I Don’t.” The main difference between this auction site and eBay is that when a sale is successfully conducted, the item and the money are sent to the website authorities. The payment is placed in escrow, while the diamond is authenticated by a certified gemologist. Once the certification process is complete, the money is released to the seller, and the buyer receives the stone. The site withholds 15% commission on the sale (http://www.idonowidont.com/sell).
An additional way to sell a diamond is to offer it to a dealer or consignment shop. While you may well get a better price from dealers than by selling to industry insiders, dealers do take a large commission from the sale – generally between 25% and 60%. If this is your preferred approach, be sure to obtain dealer references. Do not be tempted to risk having your diamond stolen.
As you can see, there are a number of ways you can use to successfully sell your diamond jewelry. It's up to you to choose the best method that suits your requirements.