Diamonds: selling them for most profit?

[Orchidflower]

Does anyone have an idea where to sell diamonds they no longer want and get a bigger sale price than they would normally get from, say, a pawn shop or from a jeweler (who will definitely low ball you)? Is there a company that buys diamonds around that the public can sell to and not get totally ripped-off? A friend and myself both have some diamonds we no longer wear that are just sitting in lot boxes, so why not sell them when the market gets a little stronger? I'm seeing a cruise in our future!

 

[ERD50]

Orchidflower, interesting question so soon after your recent posts.

http://www.early-retirement.org/forums/showpost.php?p=837999&postcount=53
http://www.early-retirement.org/forums/showpost.php?p=838023&postcount=58

Aren't diamonds "collectibles"? And now, *you* want to try to sell them and maximize your gains "on the backs of hardworking but uneducated folks."?

Sorry to say it, but that's the way I see it.

Here's a link you might find interesting, it points out the history of the diamond trade, and why many consider it to be a "scam". As far as I know, that beanie baby guy didn't try to corner the market for stuffed toys....

Have You Ever Tried to Sell a Diamond? - The Atlantic (February 1982)

In 1870, however, huge diamond mines were discovered near the Orange River, in South Africa, where diamonds were soon being scooped out by the ton. Suddenly, the market was deluged with diamonds. The British financiers who had organized the South African mines quickly realized that their investment was endangered; diamonds had little intrinsic value—and their price depended almost entirely on their scarcity. The financiers feared that when new mines were developed in South Africa, diamonds would become at best only semiprecious gems.

The major investors in the diamond mines realized that they had no alternative but to merge their interests into a single entity that would be powerful enough to control production and perpetuate the illusion of scarcity of diamonds. The instrument they created, in 1888, was called De Beers Consolidated Mines, Ltd., incorporated in South Africa. As De Beers took control of all aspects of the world diamond trade, it assumed many forms. In London, it operated under the innocuous name of the Diamond Trading Company. In Israel, it was known as "The Syndicate."

You might want to reconsider your plan to "perpetrate a scam" which is what you accused others of. Time for a look in the mirror? Or, maybe just a time to celebrate the wonderful world of capitalism?


-ERD50

 

[Orchidflower]

So I guess that means you have no idea where to sell diamonds?

 

[ERD50]

So I guess that means you have no idea where to sell diamonds?

No sorry I don't. The only diamond we own is on my wife's finger, and every time I suggest that we could exchange it for a lifetime supply of faux diamonds and cash, she mumbles something about "symbolism", "you heartless oaf", etc, etc, etc, so I drop it

But you might find some general tips here, if you are going to wade into the dog-eat-dog world of Capitalism:

Amazon.com: The Wealth of Nations (Bantam Classics) (9780553585971): Adam Smith, Alan B. Krueger: Books


-ERD50

 

[FUEGO]

You could try Ebay. You'll probably get as much there as anywhere. Maybe craigslist. They usually don't fetch much in the secondary market (versus what most pay for them retail). I think the mark up from wholesale to retail is typically 100-500% (or so says a jeweler friend). And then anyone buying from you will have a question as to the authenticity. And some people, for whatever crazy reason, don't want a "used" diamond, so that can affect its value versus what buyers are willing to pay at a retail jewelry store.

 

[JustMeUC]

I am in the business in a round-a-bout sort of way.

What do you want to know? I can answer most questions.

Less than a carat, they are pretty much worthless. Seriously. Anything less than a 1/2 carat you will do best on CL. Anything 1/2 - 1 carat that is D-H and VVS or VS you can expect about $1.00 - $2.00 per point if you were to offer it to a local jeweler. Some local jewelers might buy and reset the stones. Or, offer it to them on consignment for a better return.

In this economy you are much much better off selling your old gold which I can advise you on where to send it for the best prices if you have a decent amount. 95% versus 20-50% at a pawn shop or jewelry store.

If your diamonds are a carat or larger, then the best price for an individual will be from the Bullocks. (I have NO affiliation with them whatsoever other than having sold them a couple of items)

Sell Diamonds and Watches to Bullock, We Buy Jewelry - Diamond Broker

 

[Orchidflower]

Thank you for the help. All mine were gifts or inherited things, and it's a real pity that there is such a loss when you sell them--particularly when I'm sure the buyers paid thru the nose for them when they were purchased. Such is life. Now if I could only get that kid of mine to marry and give me a granddaughter I'd have someone to leave them to.

JustMeUC: I saw Bullock's ad when I was looking on the net. I assume you were pleased with their service or you wouldn't pass their name on. I guess the smartest thing to do with the smaller diamonds is to have them reset into something else if I don't like the current setting?

 

[WhoDaresWins]

Diamonds

I think you are right, Orchidflower, about resetting diamonds rather than selling them for a pittance. I am keeping my engagement ring for my son in case he ever(sigh) gets married. He can have it reset if he wants in the future as it is a high quality stone and fairly large, too. I have sent my niece in CA some of the jewelry I inherited from my Mom(her grandmother, who died before she was born) and also some things that I never wear. She works for a museum, goes to a lot of fancy dress parties, totally unlike my casual life these days.

 

[NW-Bound]

Less than a carat, they are pretty much worthless. Seriously. Anything less than a 1/2 carat you will do best on CL. Anything 1/2 - 1 carat that is D-H and VVS or VS you can expect about $1.00 - $2.00 per point if you were to offer it to a local jeweler. Some local jewelers might buy and reset the stones. Or, offer it to them on consignment for a better return.

Wow! My mother, aunts, and one of my sister-in-laws seem to still believe in the fairy tale of diamonds as "wealth storage", or at least want to think so in order to justify their purchase. I do not know it would make a difference if I forwarded this to them. It might just get me disowned. They are diamond accumulators, hence I don't think they ever look into selling them.

On the other hand, men buy motorcycles, RVs, planes, boats, or generally toys that even depreciate to zero. And these have maintenance and operating cost. Diamonds only need occasional cleaning.

Even houses are often money pits. As I like to say, you can't win. The only thing you can do is to minimize your loss.

 

[happy2bretired]

I had my mother's solitaire reset into a more modern setting a few years ago. It's a very simple channel setting (I think that's what it's called). I'm no longer wearing my wedding/engagement ring from my late husband. That ring will just sit in my jewelry box until my daughter inherits it...then she can decide what to do with it.

 

[W2R]

Wow! My mother, aunts, and one of my sister-in-laws seem to still believe in the fairy tale of diamonds as "wealth storage", or at least want to think so in order to justify their purchase.

My mother was that way, too. The "jewelry as an investment" argument was a great justification for buying a lot of pretty, shiny diamond jewelry and other gemstones, but on resale my daughter (who ended up with it) discovered that it was worthless relative to the original purchase price.

 

[W2R]

I'm no longer wearing my wedding/engagement ring from my late husband. That ring will just sit in my jewelry box until my daughter inherits it...then she can decide what to do with it.

Honestly I do not know what happened to mine. Divorce is so tumultuous! I had it sitting out on my desk, and either I gave it to my daughter and forgot that I did, or else it fell off the desk and got lost in the long shag carpet of that rental house. After ex and daughter drove off I spent hours and hours on my hands and knees searching for it in the carpet, to no avail. So, after I moved out a year later, maybe the next renter was pleasantly surprised one day!

 

[Orchidflower]

W2R, I know a guy who paid on time for his wife's big diamond rings, and then stole them when he was leaving her. Tacky but true. He sold them to a jeweler for a pittance, too, he told me. Talk about bitter...I guess he felt he bought 'em, he'll sell 'em.
When you read this thread you realize that buying diamonds is really kind of a rip, since you get zip when you sell them. The diamond PR machine has really got us women fooled, huh?

 

[NW-Bound]

I should ask my wife where hers is. She has not been wearing it the last few years. Could it be long gone, lost with the trash?

Her diamond ring was not really extravagant, but wasn't "starter" kind either. She, or rather we, as I was there with her, bought one or two "upgrades" as the original wedding ring was stolen the time our house was broken into.

Then, she slowly lost her interest, while my other relatives' enthusiasm remains strong. I think it is because the four of them form a little club and compare notes whenever they meet at family functions. They are in 3 different states, but communicate and "coordinate" via phone.

Silly? But then how is it different than men who envy the other guys' toys? Hmm, his hog is bigger, badder, and louder than mine. Time for an upgrade.

 

[W2R]

W2R, I know a guy who paid on time for his wife's big diamond rings, and then stole them when he was leaving her. Tacky but true. He sold them to a jeweler for a pittance, too, he told me. Talk about bitter...I guess he felt he bought 'em, he'll sell 'em.
When you read this thread you realize that buying diamonds is really kind of a rip, since you get zip when you sell them. The diamond PR machine has really got us women fooled, huh?

I don't think my ex would do that, because he didn't pay for my diamond engagement ring (my grandmother left it to me in her will). He paid for my wedding band, which was a whole $20 and didn't even turn my finger green. But in a way, I sort of hope he did make off with that engagement ring. Then HE would face the disappointment when he tried to sell it! Oh, I am so evil. I don't really wish him that.

You are so right about diamonds as a rip-off, unless you get enough pleasure from wearing them while you own them.

 

[calmloki]

Wow. sure am glad my honey likes turquoise. was told by some indian feller that the beneficial and mystic properties of the blue stone only hold if the stone is given to you. Nice story - you can't buy the benefits, they must be given. interesting cultural ramifications.

 

[Brat]

I am wearing my great grandmothers wedding set. Once I had it appraised and learned that it wasn't worth much cash. It is, more than anything, a family heirloom and for that it is priceless.

 

[Trek]

Put your money in Baltic amber. Best if it has bugs in it!

 

[JustMeUC]

Gold, if purchased correctly, will hold it's value over time. Plus, it is easy to move if you ever needed to. If you have an ounce or more, you can find refineries that will accept it and give you 95% of gold value. I know of at least one that I trust to deal with individuals who are not in the trade.

Diamonds, purchased retail will not hold their value at all unless they are a larger stone, and D-E and Internally Flawless, which rules out 99.99% of diamonds. Diamonds are a sentimental purchase and should be treated as such.

 

[Bestwifeever]

Orchid, I think diamonds are beautiful but I don't really have many--one shiny cocktail ring that isn't worth much, and some tiny ones around the sapphire in my engagement ring--as I don't enjoy wearing jewelry myself. I think getting them reset into a new piece is a good idea--I think tennis bracelets look cool if you have enough; are they still popular? (And why are they called tennis bracelets, anyway?)

Also interesting that diamonds over 1 carat get the most at resale--the young women I know have all fallen for the diamond is forever line and actually most have 1 plus carat solitaires, so the jewelry stores must be advising them about the value issue too.

 

[JustMeUC]

The minute you walk out of a jewelry store with a 1 carat diamond it has just lost 65% of its "value". And that is if you know where to sell it. Sadly, i see ads in CL all the time with people saying 1 carat diamond purchased at "upscale jewelry store" Appraised at: $5000 will sacrifice for $4000. Unfortunately, most people don't want a "used" diamond as an engagement ring. They might run across some person who might bite on it, but more than likely they will lower the price several times, then eventually take it to a pawn shop which will give them a few hundred or they will end up just keeping it.

I have a tip for guys looking to get engaged. Hang around a pawn shop, wait for someone to come in with a nice diamond and let the pawn shop guy give them some lowball offer. When they storm out insulted, tell them what a pretty diamond it is, double the offer and walk away with a diamond at 10-20% of retail, go get it reset in a custom setting and your wife-to-be will think you are brilliant!
Hopefully anyway!

 

[dm]

Well crap. My wife has a 2 carat diamond that I hope would keep us from eating cat food in our later years. I guess I might have to sell the old Porsche.

 

[calmloki]

Well crap. My wife has a 2 carat diamond that I hope would keep us from eating cat food in our later years. I guess I might have to sell the old Porsche.

You might check with Martha for suggestions on painting that old Porche.

 

[NW-Bound]

Well crap. My wife has a 2 carat diamond that I hope would keep us from eating cat food in our later years. I guess I might have to sell the old Porsche.

I was thinking about a Craigslist ad: "Buy pre-owned Porsche, get 2-carat diamond free".


But then, I read Calmloki's post, and I am not sure anymore. Should one switch the deal around? "Buy diamond, get free Porsche?" I know nothing about resale value of diamonds or Porsches.



Wait a minute! I don't even have a Porsche, only a 95 minivan.

 

[haha]

-I think tennis bracelets look cool if you have enough; are they still popular? (And why are they called tennis bracelets, anyway?)

Here is one story:


What are Tennis Bracelets?

Ha