When a marriage is over or needs to raise funds quickly, selling the engagement ring can make financial and/or emotional sense. But where to start? You will want to make sure that you are selling your pieces of jewellery safely and for the best price. You will likely also want to ensure that this does not become a long, drawn-out process.
As the price of gold rose in recent years, so did the companies advertising that they purchased gold, silver, diamonds and other precious metals. The trouble is that while any company can purchase these items, very few are qualified to evaluate these pieces accurately and assign a fair value to them.
Figuring out which diamond buyers are qualified can be a tricky task if you do not know what to look for. Below are some simple guidelines and tips to follow if you find yourself in the position to sell a diamond or a piece of diamond jewellery.
Diamonds may be forever, but they don’t necessarily need to be forever with the same person.
There are many reasons to sell a diamond ring – a change in life circumstances, an upgrade of an original engagement ring, passing on a family heirloom, or something else entirely.
But whatever the reason is, it’s a certainty that you want to know how to sell your diamond ring for the most money.
We’re going to talk you through each of the different options available to make sure that you have a clear understanding of where the best place to sell your engagement ring is and how to get the most for it.
Things to know when selling your engagement ring:
- Selling a diamond is like selling a second-hand car – you won’t get the ‘list price,’ i.e. the appraisal value.
- The centre stone size and quality is the main thing that determines how much you will get for your diamond ring. The setting is less important.
- Cutting out middle-men wherever is key to making sure you get the most money for your diamond ring.
- A little patience will mean that you will make significantly more money.
- A specialist diamond buyer will give you the best price.
Best place to sell an engagement ring
The amount that you will receive when selling your diamond or engagement ring will depend on where you decide to sell it.
To find the best place to sell a diamond ring, we offered the same ring to six different types of jewellery buyer to see who would give us the best price:
- Online to a trusted diamond buyer
Let’s look at each of these options in a bit more detail.
ONLINE TO A TRUSTED DIAMOND BUYER
If you are asking yourself “Where can I sell my diamond ring near me?”, one of the quickest and most convenient ways to sell engagement rings for cash is through an online diamond buying company.
Why? Well, besides the speed of sale, one of the advantages of working with a specialist diamond buyer is that you will be working with qualified gemologists that have the knowhow to assess and price your diamond ring accurately. Diamond pricing is complex and nuanced, so working with GIA (Gemological Institute of America) trained gemologists who understand more than just the 4 C’s of diamond grading will help you reach a higher price.
Of course, it is important to research the company thoroughly when working with an online diamond buyer. Look at how long they have been in business for and whether there are any costs involved. You need to be able to trust the company that you work with.
The auction route is a great choice for extremely rare diamonds and if you have the luxury of time. One of the benefits of selling at auction is that you will be able to work with diamond experts who can help you price your ring and set a reasonable reserve price, but ultimately you will be dependent on who turns up at the day of the auction as to whether or not you have any bids. The auction house will be responsible for promoting the event, so make sure to vet which house you chose to work with carefully. Find a reputable auction house that you believe will successfully attract the right audience to bid on your engagement ring.
Auction houses often focus on rare and one-of-a-kind pieces that will attract a large crowd. However, the majority of diamonds do not fit this description and will likely not perform well at auction. The reason for this is because most diamonds, contrary to popular belief, are not investment pieces.
Auctions are held infrequently. Therefore it is important to be prepared for the process to take some time. Each auction house is different, so do your research and find out how frequently they are scheduled. And finally, the auction house will, of course, charge a percentage of the final sale price. So be sure to be clear on exactly what that will be before agreeing to this selling method.
Pawnshops are a great and local resource for selling a vast array of items, but there are some drawbacks to selling diamond rings at a pawnshop. While you certainly can get paid quickly and in cash, you are probably better off working with a specialist in the industry that has greater distribution channels and thus can offer more.
You also have the option of pawning your diamond ring, but you must be able to meet the repayments. It can be an expensive way to borrow, and if you default on your loan, you will not be able to recuperate the ring.
How diamonds are valued
Many variables contribute to a diamond’s value. Think of the diamond as a used car for a moment – when you value the used car, you must know the make, model, year and mileage to start. The same is true for a diamond – you must know the carat weight, colour, clarity, and cut to determine the value.
Everyone who is selling a diamond or a piece of diamond jewellery aims to get the highest value they possibly can for their pieces. To do this, it’s important to work with a highly respected company specialising in diamonds and works within the diamond market daily.
Here are a few tips to help you determine who to bring your diamond pieces to:
Find a company that has GIA graduates on staff.
Since a diamond’s value is directly related to its specific characteristics, it is critical to work with someone who can accurately grade the diamond.
When it comes to diamond grading, the experts will have a degree from the Gemological Institute of America or GIA. GIA created the grading scales used in the industry today (colour, clarity, cut grade). Therefore GIA graduates are typically the most educated on how to grade a diamond properly.
Avoid cash for gold stores and fast cash promotions.
Locations that buy gold as their primary business often advertise that they buy diamonds as well. The difficulty is that these locations are only interested in gold.
There are two things that are common with the cash for gold businesses:
- They often offer only a minimal amount for the diamonds.
- They do not know how to grade them properly.
Gold is a fairly easy calculation based on the market price – diamonds are much more complex.
Be wise about your research.
Stick with reputable review sites and do your research. Trust sites like the Temple & Grace and review sites allow customer reviews directly on their sites.
“Independent” ranking sites about Top Diamond Buyers are usually not what they claim to be. Work with a company that has earned its reputation rather than purchased it through clever Internet marketing.
Don’t send to a company that promises you a high value or wants to use your PayPal account.
Unfortunately with fake review sites also come a handful of other Internet scams. Here are some useful tips:
- If you are trying to sell a diamond piece locally on a platform that allows you to post something for sale in your local town, do not send your diamond piece to anyone other than a company, regardless of how many emails you get from PayPal saying funds have been deposited into your account.
- Choose a company that is easily accessible by phone, has a brick and mortar facility and that you feel comfortable with.
- Stay away from companies that send high values via email quotes.
- Avoid companies that advertise fast cash.
Family-owned businesses tend to have deep roots within their local community, and truly have the interest of the consumer in mind.
What Is The Best Way To Sell a Diamond Ring?
The important thing is to choose the option that best suits your needs. Once you have decided to sell your diamond ring for cash, review these four options carefully and choose the most aligned with your goals.
What Should I Look for in a Diamond Buyer?
Where can I sell a diamond ring? How do I find a credible buyer? Here are a few signs your diamond buyer is legitimate:
They only offer in-person meetings.
In-person meetings are essential for diamond buyers. How else will they assess your jewellery? If the buyer you’re researching only works through online transactions, that’s a big red flag.
Customers leave reviews.
Customer reviews are an important source of information when you’re seeking out a diamond buyer. Check out the buyer’s website or other jewellery store directories—the more positive reviews, the better.
The buyer takes his or her time assessing the diamond.
Does the diamond buyer take one glance at the jewellery and spit out a price? If so, be warned. Experienced diamond buyers take time assessing your valuables. They’re communicative and transparent about their assessment process.
These are just a few features you should look out for when you search for a diamond buyer.
Do I Get More Money Pawning or Selling My Diamond?
Generally speaking, you’ll get more money for selling your diamond rather than pawning it. Why is this?
Because pawn shops lend you money, say you need some cash, so you decide to part with your wedding ring. If you head over to a local pawnshop to get rid of it, the pawnbroker lends you money for your ring. Think of the ring in this situation as collateral.
Later, when you’re in a better financial position, you can return to the pawnshop and get your wedding ring back. Easy, right?
What’s the downside in pawning your ring? You get your beloved diamond possession back, so what’s not to like?
Well, you need to make recurring payments on time. Plus, large interest rates are usually tacked on to your payments. In other words, pawning is not selling. When you pawn your wedding ring, the pawnbroker is only lending you the money you’ll eventually owe them. So you’re effectively not making much money at all.
Selling your wedding ring, on the other hand, is a much simpler endeavour. (You will, however, have to ready yourself emotionally.) In selling your ring, you’ll no longer own it. Nevertheless, diamond buyers pay more money for your ring.
And what’s best? Selling your wedding ring will neither cause financial risk nor leave you in debt.
Should I Sell My Diamond Ring Online?
A diamond engagement ring doesn’t just offer sentimental value—it offers financial value, too. Online sales are great for selling furniture, tools, books, and other knick knacks, but not for expensive jewellery. So don’t sell your diamond ring online. Instead, do a little research and find a professional engagement wedding ring buyer. In doing so, you’ll get a fair price and a fair deal.
Can I Sell My Diamond Ring at a jewellery store?
Yes, you can sell your diamond ring at a jewellery store. Before you visit your local jewellery store, you should contact the store first, to double-check.
How Do I Get to Know My Diamond?
Perhaps a grandparent gave you their antique diamond a few years ago, and you don’t know too much about it. Maybe it’s been in your family for generations, and you haven’t taken the time to learn more about its history. Even if you purchased it for someone in the past, you might not be aware of its actual worth.
All you have to do is visit a gemologist who can perform a diamond authentication test. This test accurately determines the diamond’s worth, its origins, and its authenticity.
Most importantly, in visiting a gemologist, you’ll be able to learn about the diamond’s grade. The grade of a diamond dramatically affects its selling price.
Before you even start looking for buyers, however, you should learn the four C’s of diamonds.
What Are the Four C’s of Diamonds?
The four most important diamond grading components are cut, colour, clarity, and carat, as discussed elsewhere.
- Cut. Diamond cut specifically refers to its cut quality and how the cut affects the diamond’s aesthetic appeal. What determines cut quality? Angles, proportions, scintillation, symmetry, and more. There is no ideal cut across the board. Rather, each diamond’s perfect cut depends on the stone itself.
- Colour. It sounds simple, but this C is determined by how much colour a diamond has. In comparison to its setting, you want your diamond to be colourless and clear. Any tinting or cloudiness could negatively affect this grade.
- Clarity. Clarity doesn’t have to do with the colour of a diamond. Instead, clarity focuses on any imperfections on the diamond’s surface or within it. A grade of FL means a diamond is flawless.
- Carat. Also referred to as “carat weight,” this C is based on the diamond’s weight rather than its size. Depending on its cut, carat weights differ between diamonds of the same quality.
Now that you know what the four C’s of diamonds are, you’ll be better equipped to ask your Northwest Indiana diamond buyer thoughtful questions—questions that will hopefully earn you more cash at the point of sale.
Setting Realistic Pricing Expectations
Although diamonds are extremely valuable, you’re likely not to get more than what you paid for. That’s okay.
Unfortunately, some people think that they’ll earn a significant amount of money from a diamond transaction.
The fact is that diamond ring buyers aren’t trying to take advantage of you. Rather, buyers are businesses, and they need to make a profit.
Do you have a diamond ring sitting around the house? If it’s been unworn or unused for years, you might want to sell it. Earning some cash from the sale will be well worth it.
Selling Diamond jewellery: Common Mistakes.
If you’re not careful, you can lose out on a diamond ring transaction. How do I avoid financial trouble—how do I get the most money to sell my diamond?
Here are some diamond selling mistakes you should avoid at all costs:
- You don’t work with a diamond ring buyer. It’s true: jewellery stores employ knowledgeable diamond buyers. Certified buyers are a great option, too. You should sell your diamond jewellery to someone who’s credentialed and experienced in the trade.
- You don’t ask the right questions. From the moment you decide to sell your diamond jewellery, you should be asking the right questions—especially once the appraisal process begins. Ask the buyer how they arrived at the valuation, what factors they took into consideration, and if other buyers would give you the same deal.
- You ignore your instincts. If something feels off during this transaction, you might want to step away and reconsider. It can be easy to get talked into a price you’re not comfortable with. Instead, end the transaction until you’re ready.
- A good diamond buyer will want you to feel at ease throughout the entire process. Make sure that whenever you decide to sell your diamond jewellery, you work with a credible engagement ring buyer, ask as many questions as you can, and always go with your instincts.