If you are thinking about the diamond exchange, and reselling your diamond, you might have several questions to ask about the jewelry exchange.
Our guide is about the diamond exchange, and we are offering tips to all the readers who are considering selling their diamond jewelry. Most readers are very understandably looking to get the highest price while selling their diamond rings. Most likely, diamonds have a sentimental value, so you want to sell them at a fair rate.
While the diamond exchange may have you expecting to get your money back for what you bought, that’s not the case. Surprisingly, you can also expect to resell the diamond at some significant loss.
Moreover, the diamond exchange depends upon several factors, and some of them are mentioned below:
Know more about the diamond exchange
- The diamond exchange value
Every diamond from the center to the edges has some exchange value. However, the diamond exchange value is most likely less than what you have paid for it earlier. There are several reasons why it’s challenging to sell a used diamond. These can range from the source, worth, and style.
Furthermore, the price you get is also dependent upon the strategy you have acquired to resell it. Here we have covered all the reasons to use engagement rings to sell the diamond between 20 to 60% of the total amount.
Not every potential diamond vendor is not the same; therefore, there is no concrete answer to this question. As it is that whatever you are selling is always dependent upon several factors:
- From where you have bought the diamond
- What is the worth of a diamond ring?
- How and where to sell the ring?
The jewelry exchange and where you bought the diamond?
Whenever you have purchased the diamond ring from any of the jewelry stores, you will not only pay the market value for the diamond. But you are also paying the markup added to that price prescribed by the retail seller to sell the diamond.
The diamond exchange & markup
Such markup can vary from the factors of where you have bought the diamond ring. Also, to learn about this, we need to know how the supply chain works.
Furthermore, the retail jewelers don’t mind polishing, cut, and selling the diamonds. But they buy them from their wholesaler and manufacturers. Moreover, each addition to the supply chain will add to the jeweler’s margin for such a stone. This means that the price of buying a diamond can be more than it’s worth.
After that, the markup price is added to the retailer. Furthermore, the brick and mortar stores all need to pay for things like staff salaries, rent, and then diamond markups can be very high.
The diamond exchange; worth of diamond
The worth of a diamond is also quite important. Mostly, diamond price is based on quality, cut, color, and carat weight. Also, there are some other factors, but these are the most significant things to consider.
Where to sell the diamond for the jewelry exchange?
Furthermore, it is crucial to choose the right vendors to sell your diamond. Hence, in this regard, it is best if you search for the right market.
The fluctuation of diamond prices and the diamond exchange
There is no set answer to this question, as things can quickly change. Moreover, the price of a diamond can vary over time. Over the previous year, the diamond price has increased after the great recession before declining but steadily increasing at the beginning of 2012. Also, there is the issue of inflation in such a case.
However, the average price of diamonds has increased from 1960 till this day. Moreover, there is cumulative inflation of over 700% over the same period. It means the real appreciation of the value of a diamond is small.
Once you account for the retail markup, you need to pay for what you have bought as the latest diamond, which is back to the jeweler at the actual value. Furthermore, it isn’t very likely that high quality will get appreciated in the practical sense.
A diamond doesn’t have that high of a resale value. It means that you will get some money back when you have decided to sell your diamond jewelry or diamond ring. However, you will always lose some money.
It is due to the markup that comes along with a diamond. From resell shops to jewelry stores, it offers a fraction of whatever you have paid for the diamond to sell it to them. Suppose you are planning to sell the diamond, it is good to know that you will not make the same amount back that you paid for it. Most importantly, a rate of 20 to 60% is what you can expect to get when selling the jewel.