A Diamond is Forever...Until its Not!
It was the most beautiful diamond you had ever seen. He had it tucked inside his shirt pocket. Nervously, he nearly dropped it onto the sand at the beach as the sun was setting over the water. The perfect setting and the ultimate,
romantic proposal.
Now it is an almost forgotten memory, except that the ring is still there. What should you do?
What are the Options?
There are several options available to transform this beauty into liquid assets. ($$$) All that is necessary is a transaction with another party.
If only it was that simple!!
When the ring was purchased it was purchased as a retail transaction. (Retail Market) At the beginning, the designer sourced the raw materials, paid workers, paid the cost of building a brand, took a risk in the diamond and metals market, hired a rep to sell the brand to the retailer who may have purchased it on memo or a line of credit, paid overhead and advertising and salaries. These are all reasonable costs and the price of doing business and that is what goes into a retail price.
The ring in your possession is being offered now in a "Secondary Market". It has been owned and worn. If the ring is from a top designer and exquisite in quality, it is possible that it has increased in value. If it is of average retail quality it may not have increased in retail value. Depending on when it was purchased, you may be able to buy it new, for less today. Now you are looking at something more or less then wholesale value.
Option #1
Time is not a problem so you can wait to find someone you know who is interested in purchasing your ring from you for a price less then what a retail store would offer at a really good sale.
The ring needs to be cleaned and polished to look like new.
Have a recent valuation, with a diamond grading report to entice the best price.
Be cautious in these transactions and use safe payment solutions such as PayPal etc.
Free selling sites can be dangerous and I do not recommend them for selling expensive jewelry items. If you choose this route, check with local police departments or pawn shops, some allow transactions at their locations.
Option #2
Time is a consideration and you would like to change this piece into some green backs sometime soon. Look around at the auction sites on line and auction houses in your area. Here again, you will get more for your ring if it is clean and in good repair. Having an updated valuation, great photos and all the original gem reports will help to realize the best price.
Auction sites and houses will take a percentage of the "hammer price", and the purchaser at an auction will likely have to pay a 20%-30% buyers premium, so factor that into what you can expect to receive.
Auction houses can give you an idea of what to expect and advise you if you should post a minimum bid. Many times it is best to let the bid start without a minimum.
Option #3
Time is the problem and you need the cash now!
When gold prices rose past $1,000 per ounce, many fine jewelry stores started buying gold and diamonds. You are not asking for an 'appraisal', you are asking for an offer to purchase. If you have a jewelry store that you trust, go there and ask them what they will offer for your ring. I suggest that you visit more then one jeweler and take the best offer. Pawn shops who sell jewelry are also good options. Here again, if the jewelry is in good shape and has any paperwork, you can negotiate a better price.
Go to a pawn shop and see the prices on similar rings. Remember they will have a mark up on them to cover their overhead.
Go to a store that sells items like yours, they are more likely to give you a more realistic value based on the market.
Other possibilities:
There are jewelry stores who specialize in consignment. This is not a fast sell. Usually 6 months to a year is the normal length of time. The store will split the sale amount with you. Here it pays to be flexible with the price in case someone wants to make an offer on the item.
If you have, "lost that loving feeling", and you don't need the money, look into trading the ring in for a new jewelry item you have always wanted. Be prepared to spend more money to make your dream come true. This option offers the best retention of the retail value from the original ring.
If you still love the major diamond and understand that the diamond is an inanimate object that does not have feelings, have it reset into a different piece of jewelry. Find a master goldsmith who can do a CAD rendering or find a ready made setting from one of the many setting manufacturers. The simplest solution is to set it into a solitaire pendant. If you always wanted a pair of diamond earrings, have your jeweler match your diamond and set the diamonds into a pair of earrings
Be sure to request diamond grading documents, and statement of sale documents for any of your new purchases to aid in getting them insured. As an independent appraiser, I am available to provide an Insurance replacement appraisal for all of your new and current jewelry. I am also available to consult or provide Fair Market Value appraisals, and Diamond grading documents if you need them for resale purposes.