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DIASPARX

Jewelry Education

About Appraisals

Let us take a moment to explain appraisals.

A retail appraisal is typically used for insurance purposes in the event of loss or theft. This appraised value takes into consideration that some jewelry, particularly diamonds of 1.00 carat or more, may increase in price over time.

The appraisal takes into account the retail jeweler's markup and the fact that many insurance companies are reluctant to pay the full appraised price. This is why the appraisal is typically higher than the actual price paid for the item, not because the retail jeweler decided to give you a special deal.

Jewelry appraisal tools arranged beside fine jewelry
Fine diamond jewelry presented for professional valuation

Diamond and Jewelry Appraisal Value

When people purchase a diamond or piece of fine jewelry, they probably never expect that one day they may want, or need, to sell it. A retail appraisal was likely included when the item was originally purchased.

What is it worth?

Now that we understand the purpose of an appraisal, what does it mean for your jewelry? Unfortunately, it means that you should not expect to receive the appraised price when selling diamonds or fine jewelry.

There are no uniform guidelines, laws, or rules governing every jewelry appraisal. As a result, appraisal prices can vary significantly for the same item. The value depends on when the item was purchased, when it was appraised, and who completed the appraisal.

20%-50% Typical market value compared with the retail appraised value

A pawn shop may offer far less. The precise amount depends on the characteristics, quality, condition, and current market demand for the piece.

Hopefully, this explanation of diamond pricing has increased your understanding of what your diamond may be worth. Buying or selling a diamond is an important decision, and it is reasonable to seek the best possible price.

Regardless of whether you sell your diamond to a jewelry store, a private buyer, or a professional jewelry buyer, you should not expect to recover the original retail purchase price. If you paid $10,000 for a diamond at a retail jewelry store, an open-market offer may fall between $2,500 and $4,000.

Your diamond is re-entering the supply chain somewhere between the cutter and the broker. Any professional buyer's offer will reflect that position in the market. The exact amount depends on the diamond's individual characteristics. Read our guide to diamond grading to understand the qualities that influence value.