Everyone loves diamonds, and it’s such a great feeling to hold one in your hand. And because the gem has qualified to become the most ceremonial jewelry item in history, we feel special when we purchase or are gifted one. Imagine being a new bride and remembering the day your loved one proposed to you with a beautiful diamond ring? Surely, that’s a memory you’ll cherish for a long time, provided the union remains smooth and unshaken.
But sometimes, you may wish to dispose of the ring for emotional or emergency reasons. And when you do, there’s the issue of not being sure whether the price you’re asking for or offered is fair. Here, we’ll discuss the best ways to get more money from trading your diamond ring and explain the different factors that determine how much the ring costs. We’ll offer tips on how best to trade your diamond for more money and the ideal places you can put your stone for sale.
What Determines A Diamond’s Price?
When shopping for a diamond ring, you must have come across numerous price ranges and different classes of rings up for sale. The reason is that a diamond ring’s cost is determined by various factors that enhance its quality and beauty. So, before you put the ring for sale, consider these factors to command more money.
The cut quality of a diamond plays a huge role in how valuable the stone becomes and determines how light sparkles and reflects through the stone. And the most valued rings feature stones with cut grades from Ideal to Good, with the latter marking the lowest you can go for when considering good quality at a budget-friendly price.
Cut grade is one of the 4C’s of a diamond’s gemological properties, and these are important factors documented by approved gemological institutions worldwide, like the GIA. And a diamond’s cut grade is most considered when the buyer prefers a large stone since such size gives off the most reflection. You’ll notice that rings with large rocks often cost more when the cut grade is between Ideal or Excellent. Smaller-sized gems, however, are mostly picked around Excellent to Good.
When diamonds are cut, they’re shaped into numerous forms to make them appear larger and more appealing to prospects. Plus, each shape type looks better on some ring settings, thus making the variety of options wider for interested clients. But some shapes are most sought than others, thus command more value. But overall, the most popular diamond shapes include;
- Round Brilliant
- Heart, and
Of these many shapes, round diamonds command the highest value on the market. Such shapes are the most traditional, especially for engagement rings, making them quite popular. Oval shapes come close, offering more reflection like round diamonds.
A diamond’s clarity grade is one of the 4C’s used in determining a stone’s price and refers to how many or few flaws can be found in its crystal. This factor came from the reality that diamonds mostly contain imperfections developed either during their formation in the earth or while they’re cur and shaped for use. Imperfections in diamonds come in two forms; internal flaws called inclusions and external flaws called blemishes. And while blemishes occur from man’s handling, inclusions are mostly natural materials or flaws developed from the crystal formation while it was on the earth.
Clarity is graded using five main levels, with some containing sub-levels for better differentiation. And these grades include Flawless, Internally Flawless, Very, Very, Small Inclusions 1 and 2, Very Small Inclusions 1 and 2, and Inclusions 1, 2, and 3.
The higher the clarity grade, the costlier the diamond’s pricetag, meaning a ring with a VVS1 stone will command more money than one with an S1 gem. But clarity is often compared with cut quality, and sometimes, two stones of close clarity grades may show a surprisingly varying price. For instance, a VVS2 stone with an Ideal cut may almost match the cost of a VVS1 stone with a Good cut.
When diamonds are raised onto light, they exhibit a particular color tint, which varies with each stone. And as one of the 4C’s, the color factor is graded per how much such tint can be noticed in a stone. The most expensive diamonds are those with a higher color grade and fall in the DEF grade, indicating levels with the most clearness. Gems at the GHI grade are also top-quality, meaning they’ll offer a faint hue that’s almost undetectable. So, they cost a significant amount but not as much as their costlier counterparts. However, the more affordable stones display hints of yellow or brown and fall around the JKL to MNZ grades. And the former is the most budget-friendly diamonds of reasonable eye-clear quality.
A diamond’s carat is one of the 4C’s and refers to its weight and is the standard of measuring how a stone’s heaviness. And one carat is the universal measuring point for most rings, with the price rising as the weight increases. Carat plays a major role in determining a diamond’s price, as some factors excel at different stone weights. For instance, 3-carat diamonds of higher clarity are offered at a high price, while the cut is more considered in stones around 1-carat.
6. Setting and Mount Material
While the stone’s numerous qualities are measured to set price, the amount it’s placed upon also contributes to its cost. Diamonds can be placed on gold, platinum, or silver rings, and each metal is pricier than the other. The price fluctuations of precious metals like gold and platinum are also factored into the overall ring’s price, which explains why some diamond rings don’t cost the same after some time.
If the ring is an engagement ring, you’ll mostly find it on a singular halo setting, the traditional design for most wedding rings. But other sophisticated designs may include multiple stones embedded into one ring. In such cases, the quality and price of each stone are considered, and an overall cost is calculated.
Natural diamonds are the most valuable, and most rings made with such are derived from high-quality precious metal. Some vintage natural diamond rings may fetch a hefty price, especially if their historical roots can be traced. Though real diamonds, too, manufactured diamonds aren’t usually as expensive as their natural siblings but are still considered valuable. And simulants aren’t as expensive since they’re made from materials other than real diamonds and were produced to match a lower price demand.
9. Retailer’s Reputation
If the ring is sold by a designer or a jewelry store with a solid reputation, the price will be tremendously high. Such retailers market the stone and ring quality and a guarantee built from years of service and customer trust. They offer certification and reports for every ring, making it more convincing to buy from them.
General Prices For Resold Diamond Rings
Surprisingly, there’s no general price for resold diamond rings because that’s not how they’re valued. And the reason is simple; diamonds don’t all cost the same. Instead, the rule followed is a minimum of 25% less than what you paid for the stone. Also, note that any value increase accrued by diamonds during ownership will be added. By this logic, let’s assume you paid $100 for a stone and plan to resell it. Let’s also assume that the diamond value has increased by 10% at the time of resell. If you sell at a standard situation, you should get $90 for the stone ($100 minus $25, plus $10). But here’s the tricky part; it doesn’t always go this way.
Just as the diamond’s price fluctuates, so does the desire or principle. And the amount you’ll get for the ring depends on who or where you’re selling it. This means finding anyone who’ll buy your stone at its market price is very low. So, how do you go about it?
Places To Sell Diamond Rings For Good Price
The best step is to decide how urgently you want to sell your diamond ring. And once you’ve decided on that, you can decide where you’d like to take the stone. These options below work in almost every situation but also excel in certain conditions;
1. Reliable Jewelry Stores
Most jewelry stores, especially the one from which you purchased the ring, will buy it back. But certain factors also come into play in this case. You’ll find it easier if you already have a standing relationship with the management. And second, if they do buy, it’ll be at a lesser price than what you paid for. Sometimes, you may not get the cash immediately, as they’ll place it on a show for sale. This move is believed to help save the investment cost and prevent loss in the rare case of not reselling your ring.
But if you must sell to a jewelry store, consider finding one with a high reputation, especially if your stone is of higher grade and quality. And avoid most local jewelry stores as they won’t offer a proper valuation of the stone before giving you a price. Some jewelry stores also offer return windows, mostly around 30 days or so, and if you shopped at such places, you can take the ring back and get your precise money back.
2. Auction Houses
Auction houses offer you the flexibility of leaving your ring for comparison by buyers. Plus, you can wait until someone offers a higher price for it before deciding. The sweet thing about this option is that it gives the prospective clients a transparent peek into the stone’s every detail. But it can be expensive since the auction house may run adverts to make your ring more appealing.
Many online sites will help you sell your diamond ring for better profit and comfort. And what’s more, is that different sites offer different advantages that suit each need. For instance, if you have a solid reputation on eBay, you can command a good sale for your ring, provided you’ve used every safety net and confirmed your buyer is legit. You can also consider Worthy, Diamond Oak, and Cash for Gold Express.
Worthy has a traceable reputation and is great for selling bridal sets and diamond rings below 1 carat. Diamond Oak, however, is an excellent site for reselling designer rings, and Cash for Gold Express is your best bet for rings that initially cost less than $1000 and will pay well for diamonds on a gold setting.
Most of these sites cover the ring’s insurance, advert photos, and charge you a friendly percentage for its sale. And all that’s required is to ship it to them at a cost they’ll even cover. They’ll also clean the ring before photographing it and notify you of its trade progress.
4. Individual Jewelers
Of course, finding a credible individual jeweler may seem hard, but with the right recommendation, you can meet one. And a reliable jewelry store can help you in the right direction. One thing that makes this option great is that a reputable jeweler will request the ring’s certification and appraisal. This is his way of ensuring he’s paying for a valuable item, which means you’ll get the best value for your ring.
5. Individual Customers
Do you have someone around you who has been envying your diamond ring? Then, offer it to them for sale when you wish to dispose of it. The good thing about selling to someone close to you is that the stone will remain in the family. And if you don’t have anyone familiar to sell to, have them connect you to someone who will.
Trading with an individual creates a one-on-one negotiation point for both parties. You can display the appraisal and the ring’s certification, plus come with a diamond expert or have them bring theirs to analyze the stone and metal properly. And, you’ll get full profit without paying commission to anyone.
Getting The Best Prices When Selling A Diamond Ring
While knowing where to sell a diamond ring is a good idea, it helps understand the best ways to ensure you get a great price. And here, we’ll highlight those tips.
Know Why You’re Selling- Patience is the first step to getting the best price from reselling a diamond ring. Unless you’re in a jam and need money urgently, playing the waiting game can get you the best price for your diamond. You need first to establish why you wish to dispose of the ring. Even a broken heart can be mended with a few bucks of profit from selling the source of heartbreak!
Be Realistic about Price- Remember that you can’t get the same amount you bought the ring. This is the reality of reselling diamond rings regardless of the quality and where you bought them. However high the price you’re offered will be, it’ll still come at a loss compared to its original cost. So, the best bet would be to consider the offer closest to your ring’s initial cost, which is mostly 25% less.
Avoid Pawnshops- Pawnshops are great for selling your ring for the singular reason that it doesn’t pay. First, you don’t sell the ring but only drop it for a loan with surprisingly high interest. And when you can’t return the loan, they’re obligated to sell your ring. Plus, you won’t get a good value for it, and at most, the loan will be much less than the amount the ring truly costs.
Include the Certification and Appraisal-Diamond rings will fetch more money if you resell with the certification. And most stones bought from reliable jewelry stores or sites will feature a GIA certificate or one from an equal gemological institute.
Package in its Original Box and Papers-If you bought the ring from a designer store like James Allen, it’d likely come in a special wrapping and package. If you’ve kept this, you’re sure to convince buyers that the ring is top quality and get a good price. So, repackage the ring in its original package and include the receipt and quality report before selling it.
Sell the Stone Separately-If the stone is set on a low-cost metal, you may need to separate the stone from it before selling. Of course, this is highly unlikely for high-grade stones, which are mostly placed on gold or platinum rings. But separating them helps you sell both parts at individual prices, thus increasing possible profit. But it’s best to give a ring to an expert to separate the diamond so you don’t damage the mount or scratch the gem.
Avoid Middlemen-The problem with selling your diamond ring at a jewelry store is that they’ll add the cost of appraisal and assessment. And they’ll add the cost of these processes to your overall price and take it out with part of their commission if they sell. So, when possible, work directly with a diamond dealer so you’ll get the fullest profit.
Sell on Interactive Sites-If you plan to sell online, you’ll want to use a reputable site with interactive options. And though they take commissions, these websites will bear the cost of marketing and assessing your stone and take a reasonable commission from its sale. Great examples include Abe Mor, Worthy, and White Pine.
Selling a diamond ring mostly comes as a last resort, but in some cases, sentimental reasons may push you to want to dispose of it. Whichever the reason, you’d still want to make a considerable profit from it when you sell. Here, we’ve given you suggestions on where and how to make the most money from trading your diamond ring. And we’re certain that you’d be satisfied when you put these helpful tips to use.