Liberty Coin and Currency_05 04_What Gem Buyers Look
What Gem Buyers Look for When You Bring in Your Old Jewelr
As with any other kind of possession, selling your jewelry can be far harder than buying. You may have paid a lot for it and may even have a GIA, AGS or EGL certificate that states in clear terms how good a gemstone you have. You may yet find that an appraiser attaches only modest value to it, however.
Why the loss of value?
One reason for the erosion of value comes from the retail markup problem. According to Liberty Coin and Currency ,Portland, OR, when you buy a diamond, a good part of the price comes from nothing more than the jewelry store’s markup (anything between 35% and 350%, depending on the store). When you sell, the only credit that you get is for the intrinsic value of the diamond itself.
It’s also important to understand that there are different kinds of appraisals. While you may be interested in an appraisal that tells you what your diamond is actually worth, some appraisal types will only tell you what it would cost to buy a new diamond just like it. This results in inflated estimates and expectations. What you want is a sale value appraisal that tells you what you can actually get.
Is your diamond certified?
If you have a gym certified by the GIA, AGS or EGL, it is right away worth 10% more. The grading places an exact worth on the diamond, if not cash value. If you don’t have certification, you can get it done at a reputable jewelry store.
The assessment process at a buyer’s
Many people imagine that the cash value assessment process is entirely down to the gem buyer’s personal experience and discretion. Nothing could be farther from the truth. Just as there is an exact process that used car dealers go through to determine the value of a car, there are precise processes for gems, as well. Gem buyers have access to Kelley Blue Book-like valuation databases to access. They look at carat weight, color, clarity, shape and cut, plug the numbers into the software, and come out with a value retrieved from the database. If a buyer seems to be willing to give you a quick, verbal evaluation rather than a precise one based on a database, you should walk out.
It’s important to know that the process is scientific, rather than arbitrary. This knowledge alone can empower you.