Do you have a diamond that you used to love and now it is just clutter inside of your jewelry box? Or perhaps you are looking to get a newer, flashier gem? Or maybe you just need a quick buck?
There are plenty of reasons why you might want to part ways with your old diamond ring. And there are plenty of ways to go about doing that. I am going to help you make an informed decision about which way to sell your ring best suits your needs.
But First, Know What You Are Selling
You hear all the time with diamonds – Get an appraisal. Well, today isn’t any different. GET AN APPRAISAL!
In order to make the best decision on how to go about selling your ring, you need to know exactly what you have first. The best way to do that is to get one of those pesky (but helpful) appraisals!
Yes, when you bought your ring, the jeweler gave you a grading report, but this can’t be trusted for reselling your gem. They may have been the most charming, knowledgeable person in the world, but at the end of the day jewelers are running a business.
Jewelers selling diamond rings have an invested interest in a good rating and may inflate the grade. You may think you’re buying a ring that has a color grade of D, but in reality you bought one that was an F. That is why bringing your diamond to an unbiased appraiser is so important.
Now before you go and wring the neck of your jeweler, there is a chance you may have ruined the value of your ring yourself. But you would never, right?
Harsh chemicals from doing dishes, banging your ring against the counter too much…does this all sound familiar?
Unfortunately, you may have done some damage to your diamond since you bought it. This may have brought down the value from when you originally bought it. These reasons are why it is key to get a new appraisal before selling your ring.
Now that you’re ready to get your diamond appraised, get a couple of quotes. Everyone rates diamonds differently, so you should have a breadth of knowledge before you make your sale. It will help you negotiate a better deal for yourself.
Let’s Get Selling
All right, we have tons of appraisals, and we are ready to sell. Now what? Well, there are five different ways you can about cashing in on your investment.
1. Direct Retail
Do-it-yourself selling which cuts out the middle man. Sites such as eBay, craigslist, and Pricescope, are easy ways to sell your diamond. Just take a picture, upload it, and voila! Your diamond is ready to sell.
The biggest caveat is this. People searching online are typically looking for deals. Selling at the highest retail value is really hard to do over the internet.
When selling your ring online you have to be open to annoying rounds of negotiation. This may result in frustration, or selling your ring at a much lower price than you were hoping.
2. Consignment or Auction
If time is not of the essence, this may be the most profitable bet for you. When taking your diamond to a jeweler for consignment, you can’t expect your gem to sell immediately. However, you have a trained negotiator trying to make the biggest profit for both of you.
Consignment is great because you can often find low commission rates on behalf of the seller. You are entering into a business relationship so make sure your jeweler is reputable. When the transaction is complete, you are presented a receipt and must take the jeweler at their word.
Another way a jeweler can sell your diamond for you is through an auction. This is less open-ended than consignment because usually a date is picked and that will be when your diamond is sold. However, you have much less control over what the final sale will be.
3. Sale to Dealer
You must have seen commercials all over your television. You know, Cash for Diamonds/Gold/Whatever Else in this World? These are quick ways to get the diamond out of your jewelry box ASAP. However, this may not be the most profitable for you.
You have to keep in mind that not only is this person buying your used merchandise, but they may have to repair some damage. From there, they resell it to make a profit for themselves. Therefore, you might not be getting the most that you can out of your sale.
4. Trade In/Trade Up
Like a car, you have the opportunity to turn in your diamond, and put the value toward another purchase. These sorts of agreements are usually offered by the dealer when you originally buy your diamond. Be sure to read the fine print, however, because a lot of these policies have expiration dates, as well as other terms and conditions.
It is important to note that cash does not exchange hands with this deal. You will leave the store with another piece of jewelry to love…and one day sell again.
This is another exchange between yourself and the original dealer. Buy-backs offer you a percentage of what you paid. Unlike the trade in/trade up, you will leave the store with cash in hand.
Selling your diamond can be as easy as uploading a picture onto eBay, or as time consuming as enter it in an auction. No matter the headache level of this process, the most important factor is to KNOW WHAT YOU OWN. Take your diamond to an appraisal first and then determine the course of action the works best for you.
Now that you know the ins and outs of diamond selling, go out and make a sale!