What is the Resale Value of a Lab Grown Diamond?

We love speaking with current and potential Classic grown diamonds customers to hear their thoughts, get their opinions, and answer their questions. Recently, we’ve been getting a lot of questions asking about the resale value of lab grown diamonds. Keeping those who are interested in and those who own lab grown diamonds in mind, the we put together a comprehensive resource covering all you need to know about reselling lab grown diamonds. 

Is this a Good Investment?

As lab grown diamonds have grown in popularity, one of the main questions we receive is whether or not a lab grown diamond can be resold at a later date. Please let us be clear, buying an engagement ring or diamond, regardless of origin, with the intent to sell it in the future is not a good investment, but it’s not a worthless purchase. Many traditional jewelers tell customers that lab created diamonds have absolutely no value, but this could not be further from the truth. Most earth mined diamonds have resale value, and most lab created diamonds will have a similar resale value as well.



The most important element of this question is related to the lack of understanding with regards to the resale value of earth mined diamonds. Unless the diamond in question is extremely rare, it’s virtually impossible to sell an earth mined diamond purchased in the last decade for more money than what you paid for it. There’s simply no reason why a jeweler would be compelled to buy your diamond at the market price when they could buy an identical diamond at the same price from any one of hundreds of wholesalers, who might offer better payment terms.

 

A Misconception of Value: Perpetuated by Many Jewelers

 

Unfortunately, this misunderstanding has been used as one of the biggest selling points by earth mined diamond jewelers over the last 50 years. Customers are told their diamonds are not just a personal treasure, but also a valuable treasure, planting the idea that their purchase can be resold for an amount equal to or greater than what was originally paid. What these jewelers don't tell customers is that the second a person walks out of the store, the diamond's resale value drops to 30% of the purchase price, a 70% loss from the original cost.

Are Lab Grown Diamonds Valuable?

 

Lab grown diamonds are most definitely valuable. The scientists, laboratories, engineers, equipment, time, effort and expertise are all factors that go into producing some of the world's highest quality diamonds.

 

Regardless of origin, either man made or mined, all diamonds are priced using an internationally accepted pricing system. This system is known as the Rapaport Pricing Method and it determines wholesale and retail pricing. Prices are generated first based on the “Four C's” of diamonds: carat, cut, clarity, and color. Then, whether they are lab grown or mined is taken into consideration.


We’re seeing a very similar system for the resale of lab grown diamonds emerging today, particularly within the online market. We encourage consumers to keep in mind that just because your local jeweler is not currently buying lab grown diamonds does not mean that there is no resale value for them. Rather, these lab grown alternatives are a relatively new product on the market and we need more time to see how this develops, just as we once did with earth mined diamonds.

 

Explore Everything you need to know about lab grown diamonds

Comments

Post a Comment

Popular posts from this blog

Are lab grown diamonds worth anything?

Image
What Are Lab Grown Diamonds? Lab grown diamonds are commonly referred to as manmade diamonds or as CVD diamonds . Lab created diamonds have been around since the 1940s. Earlier, lab diamonds were manufactured for industrial applications. It was only in the 1980s that gem-quality lab grown diamonds became commercially available.  Over time, the quality of these diamonds has improved extensively. Today, you can’t tell the difference between grown diamonds and mined diamonds unless you get an expert to look at them under a microscope. As the name suggests, these diamonds are lab grown and are equipped to mimic the natural circumstances under which diamonds are formed in nature. There are two ways in which lab grown diamonds are created .   The Process of Lab Grown Diamonds CVD process for lab Created diamonds - CVD stands for Chemical Vapour Deposition . The CVD process utilizes carbon gasses in a contained chamber. Carbon gasses are heated until they separate carbon atoms wi...
Read more

What Is White & Yellow Gold? Everything You Need To Know When Buying Jewelry

Image
Difference Between White Gold And Yellow Gold Buying jewellery is not as easy a task as it may seem to be. It is important for the buyer to be aware of all the nuances pertaining to jewellery. To avoid being deceived by fraudulent sellers, it is important for individuals to know the difference between real jewellery and artificial jewellery.  Another confusion with most people is the identification of pure white gold.  Now, the question arises what is white gold and  what is in white gold?  White gold is the most demanded metal for jewellery.  It is an alloy of gold. It is made up of pure gold, mixed with alloy metals that have a silvery-white colour, such as palladium and silver.  The most common topics of debate is which is better, white gold or yellow gold. Individuals can make a lot of pros and cons based on their assumptions on both the metal types. But the truth is that both metals have their own worth and look equally beautiful in their own right. ...
Read more

Expected to be Trending Fancy Color Lab-Created Diamond Pairs in 2021

Image
I t's 2021 and we all want to shine bright just like diamonds do, am I right? Yes! We are suckers for diamonds and we feel like possessing every pair, every color, that is available. There are so many diamond types that are available. By now, you must be familiar with most of them. There are white earth-grown as well as lab-created diamonds . But, in today's date, people are more inclined towards   lab created colored diamonds . There is an extensive collection of colored diamonds available and some of them are red, blue, pink, green, yellow, brown, black, and more. Now, the motto is to look attractive with your colored pair of diamonds and so stay with us till the end to know more about which colored pair is trending in 2021 that you must shop for. List of the Trending Pairs of Diamonds Round Vivid Bubble Gum Pink Color People are buying this specific colored diamond that is round in shape which will complement their dresses perfectly. This ranges from $10,975 but usually t...
Read more