Question for the pros: natural egd, value after purchase?

[joey_v]

I’m getting conflicting information from jewelers. Some say that egd have value after purchase, but then when I flipped the question as to whether they would buy it back, they couldn’t guarantee it. Even for what I thought would be investment grade such as a 4 Ct d flawless.

Which got me confused.

Where would you sell a diamond say 5 years after purchase if you either fall out of love with said diamond or just are in a pinch and need the funds?

With for example, any of my Rolexes, I know where to sell them and they get great pricing. But with diamonds - I’m a total newbie.

Where are the channels for resale?
Is a D IF or D VVS1 investment grade?
What’s the typically recoup of initial loose stone cost say 5 or 10 years down the line?

These are important questions for my search for my wife’s 10y ring. I would park money from my bond portion of my investments in a large high quality rock if I knew the value would remain even if it tracked only inflation.

 

[diamondyes]

No one has a crystal ball. I really really would not count it as an investment. Instead consider “cost per wear” or enjoyment like you would on a trip/vacation. You don’t “invest” in a vacation- you just go and have a great time. You could “invest” in a great coat so that you have high quality. And if you wear it 365 times in a year, that’s a great “investment”. As for diamonds holding their value, I wouldn’t count on it. The secondhand market is fickle. If you REALLY want to know resale value, my opinion is that it’s about 30% of full retail, whether LGD or EGD.

 

[lovedogs]

Diamonds arent an investment, unless they are things displayed in a museum. It's like a car--youll lose value the second you purchase the diamond

 

[RetroQT]

Definitely not an investment. The only way I see a diamond being more valuable is decades later when price per carat has gone up. Also, if it isn’t a round you may want to research into the resale values of fancy shapes. I assume pears do well, but at one point princess cuts were all the rage but not popular now.

 

[joey_v]

Diamonds arent an investment, unless they are things displayed in a museum. It's like a car--youll lose value the second you purchase the diamond

Not necessarily a comparison to cars that are investment grade. I was comparing a high end diamond to a high end car. But I get what you are saying, it’s probably worth 30% of retail.

 

[nala]

I wish my mom or grandma or dear aunt had left me a diamond, lol. It would be priceless now! Not to mention it would have saved me thousands of dollars! Think of it like real estate, enjoy it while you have it and pass it on to your heirs who will then own a valuable heirloom piece not to mention, they will save thousands on buying their own.

A fast sale—I think there are a lot of independent dealers that can offer you a fair amount. You can also sell it on eBay or consign it. Instagram is saturated with independent dealers who are making a whole lot of mark-up on the estate diamonds they are selling. Trust me—you will not find a cheap diamond from any of these IG dealers. They have to get their diamonds from someone and my guess is they are getting them from Individuals so if you really want to sell it, hold out for the best price.

 

[molecule]

I believe brand-name jewelry tends to hold a higher value on the second-hand market than the independent jewelers that are typically recommended.

 

[joey_v]

What are other avenues to sell a diamond on the secondary market? Is there an eBay of sorts or I suppose maybe there’s a PS for sale section?

 

[Rockdiamond]

Consumers are not equipped to sell diamonds. Period.
To make a sure, safe and quick sale, selling to a dealer is the only option. Dealers will pay about 50% of wholesale. Or less.
Take a diamond purchased from a large internet site for $10k. A local retail store might charge $12k or more.
The wholesale would be about $8k. Which means: buy it today and try to liquidate tomorrow and your $10k or $12k purchase turns into $4k.
Selling a $10,000 diamond privately means either some buyer trusts you enough to send you $10k in advance of getting the diamond- or maybe the seller meets the buyer in person. Which brings it’s own scary potential. Are we meeting them in a diner? On the street? Are they going to pay in cash….a check??? Or maybe they have worse intentions ….. it’s a dangerous proposition.
So- although diamonds hold value better than most consumer products - selling them negates the investment possibilities.
Buy what you ( or she) loves - get it insured, wear it and enjoy it.
In my hypothetical example, a consumer could still recover $4k….. which might make a real difference.

 

[Rfisher]

What are other avenues to sell a diamond on the secondary market? Is there an eBay of sorts or I suppose maybe there’s a PS for sale section?

Quick question

would you buy the 4 carat D/FL diamond off of some EBay rando (or the like) who was trying to recoup what they bought it for plus some extra for inflation?

 

[Diamond Girl 21]

If you buy a D, FL diamond, it might not be flawless after setting and wearing it. Just food for thought.

 

[elizat]

If you buy a D, FL diamond, it might not be flawless after setting and wearing it. Just food for thought.

Agree.

When I sell more expensive pieces, I use a consignment vendor as an intermediary. But, pretty much most of my stuff is antique. I don't know the options for modern stones for consignment. Also, you normally don't make money on selling your diamond as a profit.

 

[CountingStars]

We sold my wife’s former diamond which was a ACA to WP diamonds and received almost 80% back of what we paid for it.

 

[joey_v]

We sold my wife’s former diamond which was a ACA to WP diamonds and received almost 80% back of what we paid for it.

Explain in detail, what’s WP?

 

[joey_v]

Yesterday, I asked my jeweler and a local gold and diamond exchange, just a hypothetical question - how much would my wife’s original Whiteflash aca diamond be worth.

Local gold and jewelry exchange said 65% of what I paid for 10 years ago - cash. Not a trade. Nothing for the mounting which was a tacori platinum setting. Technically 40% of what I paid for the whole thing.

The other jeweler, Diamonds Direct of Dallas (who are very nice by the way), said that they would give me 80% for the diamond but not full purchase price because I didn’t buy from them and because it is AGS rather than GIA certified. 80% of what I paid for 10y ago as a credit towards a D pear.

 

[joey_v]

Quick question

would you buy the 4 carat D/FL diamond off of some EBay rando (or the like) who was trying to recoup what they bought it for plus some extra for inflation?

Isn’t there something like the real real or similar? I know for watches we have legitimate avenues for resale and we are talking audemar, Patek, Rolex.

Also my other hobby is hi end stereo. We have sites for resale. We talk about $30-100,000 diamonds here. We resale $30-100,000 and up for 2 speakers or a single receiver/amplifier or turntables on reputable resale sites and end consumers/people trust each other and wire money etc.

It’s not unheard of for high end resales of items.

So it’s not necessarily just a rando-sale.

 

[Rfisher]

Isn’t there something like the real real or similar? I know for watches we have legitimate avenues for resale and we are talking audemar, Patek, Rolex.

Also my other hobby is hi end stereo. We have sites for resale. We talk about $30-100,000 diamonds here. We resale $30-100,000 and up for 2 speakers or a single receiver/amplifier or turntables on reputable resale sites and end consumers/people trust each other and wire money etc.

It’s not unheard of for high end resales of items.

So it’s not necessarily just a rando-sale.

I may be wrong
But I feel high end resale community of watches, cars, stereo equipment, are different.

Those produced are all the same to each other within a finite parameter of what the mfg produces. One offs, excluding.

10- 4ct d FL pear diamonds can all have different looks/flavors to them (some might be less pleasing to look at) and they are all probably priced differently retail as well because of that.

Is that the reason? Idk. Maybe there more to it.

There’s a difference between diamonds and what you are comparing them to, asking WHY it’s not the same. I’m not smart enough to explain exactly why the ‘standard’ community of buy/sell/trade isn’t there for diamonds the same as the others - but I know it’s there.

ETA Maybe it’s as simple as diamonds don’t have year/make/model
Maybe because simply there’s just more 4ct D/FL out there in the world than the specific high end watch/car/receiver/speaker you are comparing them to.

 

[joey_v]

That’s exactly what I was explaining to my wife. She was wondering why I could move high end watches and high end audio gear but was hesitant about how to move a diamond, I told her maybe it was the subjectivity of each diamond - beyond the carat, clarity and color. The cut is infinitely personal and variable.

This is maybe one reason, among others, as to why it might be hard to move a particular diamond.

 

[MissGotRocks]

Top notch cutting will always give you a leg up if dealing with a reputable buyer. Color and clarity are truly only part of the picture. Just saying a diamond is a D, IF will garner attention but the real proof is in its performance - particularly among seasoned buyers and vendors. That is why it is so important to find a vendor that is very familiar with cut and probably even more so with fancy shapes. Don’t just take anyone’s word that the cut is great - have them back it up with ASET images and videos.
In the end though, hopefully what you purchase for your wife will be loved long and left to future generations. As others have said, diamonds are bought for pleasure and not for investment. While I can appreciate you wanting top color and clarity, I would be willing to drop those down a bit for a superbly cut stone.

 

[CountingStars]

Explain in detail, what’s WP?

They are a diamond broker in NYC. You fill out the information online about your diamond. They give you a call with a range estimate within a few hundred. If you agree to move forward they send you a insured overnight label for final estimate. Our final estimate came in middle of the range. We approved final estimate so they wired us the money which hit our account next day.

 

[joey_v]

^^^

I’ll look into that
Thx

 

[joey_v]

I tried searching and couldn’t land WP NYC

What’s the website?

 

[CountingStars]

I tried searching and couldn’t land WP NYC

What’s the website?

wpdiamonds.com

 

[lulu_ma]

If you want to get the very best pear or oval for your money, you really should consider working with an expert. If you've got a colorless, high clarity, impeccably cut diamond then you are hedging your bets for the best resale value.

Check out this thread:

3+Oval no bow-tie G VVS1 ex/ex Distinctive Gems

***Marvelous ring under daylight*** https://www.instagram.com/reel/CULs4u6BL-9/?utm_medium=copy_link My over six month journey wasn’t so easy as I couldn’t find huge diamond in my country. (e.g. Tiffany has nearly 70 store but largest they have is 2ct, GRAFF has 3ct D IF but price is above...

www.pricescope.com

(I have no dog in this race. I just like to see people get the most for their money)

 

[distracts]

The diamonds that are going to sell fastest for the best price are diamonds other people are going to want to use for engagement rings. Probably around 1-2 ct G-I, VS1-Si1. D VVS sounds great and all but they are so much more expensive that the pool of buyers is limited. Selling directly to another consumer or on consignment is going to get you higher dollar, but be slower than selling back to a jeweler, which could get you money asap for 30-50% of the current market value. Whereas with something like a very nice, possibly branded engagement style ring of around 1-2 cts, that you're not in a rush to sell and can list yourself, you might get more like 70% or so.

IMO if you're fixated mostly on resale value compared to purchase value, the best option is to buy secondhand, preferably direct from another consumer, stick to something under $15k, and when you're ready to sell also try to sell directly to another consumer. But it sounds like this does not align with your actual purchasing desires.

 

[joey_v]

I spoke to my jeweler.
I think we have an understanding.
I have a buyback guarantee of approx 80% of what I'm paying. I don't think that's unfair. This will be for a 3.6ct D VS2 pear, natural.
Also has 110% upgrade policy.

 

[MissGotRocks]

I spoke to my jeweler.
I think we have an understanding.
I have a buyback guarantee of approx 80% of what I'm paying. I don't think that's unfair. This will be for a 3.6ct D VS2 pear, natural.
Also has 110% upgrade policy.

No offense but I would get that all in writing.

When is the pear coming? Can't wait to see it!

 

[joey_v]

No offense but I would get that all in writing.

When is the pear coming? Can't wait to see it!

Here is the D VS2 3.6 pear
Looks juicy for sure.

Next to a 3.0 E IF pear

 

[MissGotRocks]

Here is the D VS2 3.6 pear
Looks juicy for sure.

Next to a 3.0 E IF pear

I am not at all well versed in pears and others may chime in here with more relevant info than I possess. However, you would want to minimize that dark place in the middle. This is why I would want an ASET image to show light leakage. It could just be an effect of the lighting or the angle of the picture but as with ovals, you want to avoid that bow tie or dark space in the center that is not reflecting light back.
Nothing to hang your hat on as pears are not my forte, but something to consider.

 

[DejaWiz]

MissGotRocks speaks wisely...an ASET scope, such a simple tool, is available for anyone to purchase and is a handy-dandy gadget that will end any debate about the optical performance of a diamond. Of any shape!

New ASET Kit

datlas.com