At one point in your life you might have said “I do,” and for whatever reasons, the “I do” didn’t last and now you’re left with a valuable rock that doesn’t hold that same sentimental value as it once did. If you try to sell back your diamond to the store or website you bought it from (get ready!), many places will not buy back their bling, for fear that you will find out how much profit they made.
Don’t worry, although you may never get back 100% of what you paid, the second hand diamond market is a great way to liquidate your diamond assets and if you’re looking to buy a diamond, the second hand diamond market is also a smart way to buy a luxury gem.
According to the Gemological Institute of America, the first historical indications of the value of diamonds dates back to 400 BCE in India, where the upper class wore the gem with pride. Eventually through trade routes, diamonds made their way to Europe and by the 13th century were being worn by European aristocrats.
For centuries, India served as the source of the world’s diamonds, but as their supply began to decline, the search for the precious stone shifted to the new world. Brazil then took over and was responsible for satisfying the world’s diamond hunger for the next 150 years.
The discovery of diamonds in Africa in the late 1800s then trumped the Brazilian control of the market. Following the wars and conflicts of the 20th century, the diamond trade still stands as strong as it ever was and only continues evolving as has the search for the commodity.
It’s evident throughout history that the diamond has always been sought after, and with this desire, came a very lucrative market. From traders hauling their product thousands of miles across the Asian continent to reach Europe, to cross Atlantic trade between the new and old world, the diamond market is alive and constantly changing.
In today’s luxury gem market, trading is much easier for both the seller and the buyer. With networks like the internet in place, the market potential increases tenfold for both parties. A seller now has the potential to market their gem stone to hundreds of thousands of people and no longer has to worry about selling their diamond to the cheapest local bidder.
You no longer have to be an expert to determine the quality of your gem, as you can simply and easily send it to the Gemological Institute of America (GIA) for a full report on the physical qualities of your diamond. The report may be a little confusing for the unprepared, but luckily we have a guide to help decipher some of the information.
Once you have this info, all you have to do is find a similar stone to yours on the market and determine the value at which you wish to sell it from there. The same also applies to the buyer whose choices now range to the tens of thousands. EVERYONE WINS!
Today, it is easier than ever to find national websites like our very own GrayandSons.com that essentially sell wholesale to the public. The profit on a loose diamond that a second hand dealer makes might be as low as 10-15%, but of course they will make more on the setting/ring!
Gray & Sons Jewelers may not have 1000’s of diamonds to sell, but what they sell they actually own, and is priced affordably. Each diamond is repolished/cut with an Israeli diamond cutter and certified with GIA saving you time, guess work, and money!