Tag Archives: IGI Certificate

How Much is My Engagement Ring Worth?

Posted on Apr 02,2014

diamond-ringMost people often want to know how much their engagement ring is worth regardless of whether they are planning on selling it or not. However, getting an accurate answer to this question is even more important if you have plans of selling it. The more information you know about the quality of your diamond engagement ring, the easier it would be for you to determine if you are getting a good price from a buyer.

There are many different factors that determine the value of a diamond engagement ring, the most important factors being the 4cs (Cut, Color, Clarity, and Carat) of a diamond. It is worth noting, however, that these are not the only factors that are taken into consideration when valuing an engagement ring especially if you want to determine how much its resale value will be. Listed below are some of the factors that determine the value of engagement rings:

Appraisal Value

If you have a GIA Report or an IGI certificate, it’ll be easier for you to determine what it is worth. However, if you don’t have a certificate, you might want to have it professionally appraised.

Even with a certificate, if you have a high-value diamond, you might still want to get a professional appraisal so that you have an idea of how much its resale value will be based on current market prices.

It is worth, noting, however that professional appraisals can cost a lot of money and they don’t always guarantee that you’ll get a good price for your diamond, as price offers still depend on the buyer. Buyers don’t always follow the appraisal report especially since some appraisals grade diamonds higher than their actual value. Professional appraisals are recommended for high-value diamonds to protect the interests of the seller.

Rapaport Value

Most diamond buyers make offers based on a diamond’s Rapaport value. Rapaport diamond reports set the industry standard of diamond prices for consumers. These reports are published weekly.

Buyers often offer about 50% to 60% of a diamond’s “Rap” value initially and just increase it from there. Pawnshops usually offer less than 40% of the “Rap Value”. Online diamond buyers offer the most but their purchase offer is based on both the “Rap” value as well as their own appraisal of the diamond. This is why getting your own appraisal for smaller diamonds don’t always pay off, as most buyers base their purchase on their own valuation of the diamond.

Brand

Brands can add a lot of value to a ring. Engagement rings bought from jewelers like Tiffany’s or Cartier can significantly raise the value of an engagement ring. Most dealers are willing to pay 70% or more of a ring’s value if it is from a big brand name.

Ring Setting

Since you’ll also be paid for the setting, you also have to take into account the market prices for precious metals. The value will be based not only on the weight and purity of the metal but its current state taking into account wear and tear if they are not going to melt the metal.

There are a lot of factors that influence the prices of diamond engagement rings, which is why it’s not always easy to get an estimate of how much you can sell it for. If you want to protect yourself and get a fair price when you sell your engagement ring, it’s best to do your research. It’s better if you have a GIA report or IGI certificate along with the most recent Rapaport report so you’ll know whether the price is right or not.

For more information on the pricing of engagement rings, along with reviews of online diamond buyers, check out our diamond selling page for more information.

Posted in  Sell Diamond Rings, Valuing Diamonds |   Tagged