Since their opening in 1931, the GIA (Gemological Institute of America) have quickly established themselves as the foremost authority in gemology and become the industry standard in gemological sciences. The...
How To Get The Best Price When Selling A Diamond RingJuly 28, 2017 - Diamond Articles
If you are looking to sell your engagement ring or diamond ring, you may be wondering: how can I get the best price when selling a diamond ring? While the amount you fetch will vary based on many factors, there are certain steps you can take. Here are our top tips to get you the best price when selling a diamond ring:
- Understand the second-hand diamond market
- Know what you have
- Not all diamond buyers are equal- choose carefully
- Upgrading your ring
1. Understand the second-hand diamond market
The second-hand market for diamonds rings, and diamonds in general, is often unforgiving. As you begin the selling process, it’s helpful to keep in mind this fact:
Diamond jewelry typically resells for 25% to 40% of the original retail price.
- Markups: The retail value rarely reflects the actual resale value of your diamond ring on the second-hand market. The retail value is so much higher than the second-hand market value due to high mark-ups. The only way a local jeweler can make a profit and cover large overhead costs (marketing, wages, rent, etc.) is by marking up their goods.
- Unique Industry: Unlike other industries, the jewelry industry works at a low volume level. Jewelry companies do not sell items regularly, so when they do, companies must yield a high profit. They do this by marking up their diamond prices. Learn more about the reality of selling diamonds and what to expect during this process.
Though it is important to keep in mind the realities of the diamond industry, it is absolutely still possible to get a price you are happy with. Read below for three ways to ensure you get the best price for your item.
2. Know what you have
The first way to get the best price when selling a diamond ring is by gathering information. Gathering any paperwork can be very beneficial to you during a sale. These can include:
- Diamond grading certificates
- Jewelers appraisal
- Authenticity cards
- Box and papers
Having this paperwork will make it easier for potential buyers to know exactly what you have provide an accurate price quote. The good news is that it can also increase your jewelry’s worth on the second-hand market. Some of the most important information includes:
Box and papers
Particularly in the case of designer jewelry, such as Tiffany or Cartier, paperwork further proves the authenticity of and adds value to the sale. Collectors are often only looking to purchase designer items with good condition box and papers. It is possible to sell without box and papers, but they will help you get the best price when selling a diamond ring.
Having the diamond certificate for your diamond ring will be very helpful during a sale. But what are diamond certificates?
- Issued by reputable diamond laboratories such as the GIA, EGL, AGS and HRD
- They detail the characteristics of your diamond. From color grade, cut grade, carat weight, and clarity grade, to other more in-depth information such as fluorescence.
Laboratories such as the Gemological Institute of America (GIA) or the American Gem Society (AGS) are the most reputable labs in the industry. They provide the most accurate diamond grading. Many companies will pay a premium for GIA-certified stones.
3. CHOOSE THE BEST DIAMOND BUYER
Another way to ensure you get the best price for your diamond ring is by choosing the best diamond buyer. You may be wondering: where can I sell my diamond ring? Some of the most popular selling options include:
- eBay/Craigslist – Companies like eBay and Craigslist offer convenient ways to sell your item from the comfort of your own home. Still, many websites like these charge high fees for selling on their platform. And it can be incredibly difficult to price your diamond engagement ring competitively without expert knowledge. It can also be a tedious and long process when selling directly to the consumer.
- Pawnshop – Pawnshops can be a quick way to get cash for your diamond jewelry, but they do not typically employ gemologists. As such, they may not be able to accurately price your item and you may easily undersell. Pawn shops are a strong option for scrap jewelry as they often buy gold, silver and unbranded wedding rings.
- Auction House – An auction house will usually have strong knowledge of the diamond industry. However, there are fees deducted from the sale price and there is no guarantee of a sale. Additionally, if the reserve is set low, someone may purchase your item for cheap. Furthermore, auctions are not held on a frequent basis and there is no guarantee that you ring will sell.
- Local Jewelry Stores (on consignment) – With enough time, it is possible to get a good price from a jeweler selling your ring on consignment. Still, the selling process can be lengthy with high fees and no guarantee of sale.
- Online Specialist Buyer – Selling directly a specialist diamond buyer like WP Diamonds is easy, secure and fast. WP Diamonds buys diamonds and diamond jewelry in as little as 24 hours. Our GIA trained gemologists have the knowledge and expertise to accurately and fairly price your item and provide a realistic price. Our entire service is free of charge and we have an A+ rating with the Better Business Bureau. With over 1,000 online reviews, see what our clients have to say about their experience selling to WP Diamonds.
How to pick the best diamond buyer?
Choosing the right buyer is one of the most important steps in the selling process. These tips will help you find the perfect buyer:
- Research the buyer’s legitimacy – The first and most crucial step is making sure you are working with a reputable buyer. Be sure a company you are working with is accredited by the Better Business Bureau and has a high rating.
- Read online reviews – Online reviews from verified customers can help you ascertain the type of buyer you will be working with.
- Ensure security precautions – Double check with the seller about how they ensure the safety and security of your good. If they would like you to mail your jewelry in, will it be fully insured at all times? Are the premises secured and are items opened on camera?
- No hidden fees – It can be a big red flag if your buyer charges fees for the sale or for postage. They may not have your best interests in mind or the whole sale could be a scam.
Choosing a reputable, trustworthy buyer will ensure you get the best price for your ring.
4. Upgrade in order to get the Best Price When Selling A Diamond Ring
A final way to get the most amount of money for your ring is by upgrading it. Oftentimes, buyers will offer a higher price if you upgrade to another piece of jewelry.
WP Diamonds offers a free online service for selling or upgrading your diamond ring. Simply fill out the online form and a member of our team will be in touch with a price quote. Get get 10% more on your offer should you opt to upgrade and receive payment in the form of store credit.