THE TRUTH ABOUT GOLD
Learn before you sell.
What are my gold jewelry and
diamonds really worth?
The value of a diamond, whether you're looking to buy or sell, is determined by the 4Cs - Carat, Color, Clarity and Cut - and the market. As with all markets, supply and demand have a huge impact.
Liquidation Value versus Replacement Value
Chances are when you purchased your diamond you received a jewelers appraisal form showing the value of your diamond as being substantially higher then you paid. Either that or you may have brought it to a jeweler for insurance purposes and received an appraisal or had the diamond "appraised" in anticipation of selling it. These appraisals do not reflect the true value of the stone.
Insurance appraisals and jewelers appraisals reflect the replacement or retail value of your diamond. They reflect the "high retail" price you could expect to pay if you had to replace the diamond at the highest possible retail cost. With the extraordinary markup in the jewelry business, the cash or liquidation value of your diamond to be close to 10% to 15% of the appraised retail value.
It should also be noted that frequently jewelers appraisals are very generous in their grading of a diamonds cut, color and clarity - grades that dramatically effect the value of the diamond.
Supply and Demand
The financial crisis in the U.S. has dramatically effected jewelry sales and as the situation worsened, diamond prices on the wholesale market have decreased dramatically. In some cases, wholesale prices for certain classes of diamonds have fallen by as much as 40%. Supply is high and demand is low, making for, rather unfortunately, a buyers and not a sellers market.
If your diamond is less then one Carat in size, is not of a high quality (the 4Cs) or is cut not currently in demand such as a Marquise, you might be somewhat disappointed with the other we, or any other diamond buyer, may make for your stone.
Carat is a measurement of weight which reflects the size of your diamond. While ASE purchases stones of all sizes, the prices paid for stones under one carat are dramatically less. In the case of stones under a half Carat, the value is so low that we will frequently purchase the ring they are mounted in and offer to return the stone.
It should be noted that frequently rings are sold as 1TCW, or 1 Total Carat Weight. This weight refers to the collective weight of all the diamonds in a ring and not the weight of any one stone.
The less yellow or brown you see in your diamond, the more it's going to be worth. Diamonds with color grades of D-E-F (for white stones) or G-H-I (for near-white stones) are going to be more valuable then stones exhibiting yellow hues.
ASE will pay top dollar for stones that have no visible natural characteristics - inclusions or carbon spots that are graded SI1, SI2 or better (Slight Included). While we will make an offer for cloudy stones, stones with visible carbon spots or inclusions, the offer will be substantially less then if the stone were "eye clean."
The quality and type of cut (princess, round, cushion, emerald, etc.) will play a large role in determining our offer price.
Once our experts determine the Carat, Color, Clarity and Cut of your diamond, we'll make an offer based on current market prices. You're not under any obligation to sell and the quote is free.
The value of natural gemstones - rubies, emeralds, sapphires - is determined using the same criterion.
For more information on what we buy or what we pay, please follow the links in the menu on the left. Click here to schedule an appointment, or call us at 518-368-5011.