People often ask, how to sell diamonds?
Selling a diamond can be a lucrative venture or it can be a big disappointment. If you have a unwanted diamond you would like to sell there are a number of actions you will need to know about and take.
Firstly you will need to get the diamond appraised. You want to know exactly what you have and how much it is worth. You will then have a good idea of the price you can ask for the diamond.
You can find a good appraiser by contacting the Appraisers Association of America if you are in the US or the equivalent in your country of residence.
When you find a decent appraiser you should ask for an appraisal for the “Rapaport Value”. Rapaport is a company that publishes a wholesale price sheet for diamonds much in the same way Galves in the US or Red Book in Australia does, for example. The price you get from the appraiser will then be the best price you will be able to get for your diamond.
A minor but important point also is that a seller who has gone to the trouble of getting a proper appraisal is a serious seller, from the point of view of the buyer.
So lets now talk about buyers.
The best buyer you can get would be of course your family, relations and friends. Very often you might find a family or friend has seen the diamond and has always had a wish or desire for it so, apart from anything else, it would be an easy sale. You can show the appraisal and would be likely to get the best deal this way as there are no dealers or auction houses to pay off. This is by far the best buyer you can find.
Failing that there is always the jewelry store. A few important points here. If you are offering the diamond for inspection, ensure you never let the diamond go out of your sight. You do not want a switch to take place and you find yourself lumbered with a diamond of lesser value or, even worse, a fake diamond! It happens more frequently than you expect so be warned!
The jewelery will probably make you an offer that is under the “dump value”. The dump value is a trade term and basically means an amount between 60 to 80 percent of the diamond Rapaport value. Definitely do not accept an offer below the 60 percent mark. It is ok to accept an offer between 60 and 80 percent but you might like to look around at a few jewelers to get the top price. Keep in mind however that once you have refused a jewelers offer and walked out, you cannot walk back in and say I will accept it!
Two methods that are not advised are newspapers and on consignment. Newspapers generally do not bring much interest except perhaps from crooks who will come and inspect the diamond and say it is not for them and leave but then have vital information about the diamond, where it is and the layout of your house!
Fred Cuellar, the famous diamond expert, did a survey of newspaper ads for diamonds and found there was only an 11 percent success rate in selling diamonds that way. Not very fruitful.
Selling a diamond on consignment is also potentially dangerous. The diamond is out of your sight for a long period of time and any switch of your diamond can be made for a fake or, at best, a rough diamond with no value whatsoever. You then get a call to say your diamond did not sell.
Pawnshops come into this category also. Apart from the fact that you will only be offered about ten percent of the value, the diamond is out of your sight and who knows what you will get back if you decide to redeem it!
So keeping the above in mind when you want to know how to sell diamonds will help you get the best possible price for your diamond.