The process of determining diamond ring price begins with determining their quality level, which will serve as the foundation for evaluating their retail market price as part of new jewellery, followed by their resale value as pre-owned stones.
Let’s check out how you can determine the price of a diamond ring.
Colour, clarity, cut, and carat are the four key quality qualities that influence a diamond’s value.
If a diamond comes with a certification that assigns these characteristics figures and ratings, determining the stone’s quality and relating it to other stones becomes quite simple.
The simplest approach to determine a diamond’s market worth is to compare the prices of other stones with the same carat weight and clarity, cut, and colour grading.
You may do your study online and generate an average price, which will serve as an indication of the value of your diamond.
For instance, if the stone in your ring is G colour, VS2 clarity, Good cut, and weighs 0.75 carats, seek a bunch of loose diamonds with the same specifications and average their pricing.
Evaluate the value of the metal
The price of the metal, which is the other component of a diamond ring’s worth, is determined mostly by the material used to manufacture the ring.
In particular, to assess the worth of a band, first ascertain what valuable metal it is mostly composed of – for example, gold or platinum.
The quality of the precious metal must then be determined — for example, 14 karat gold comprises approximately 58 percent pure gold.
Then, you may weigh the ring (minus any gems), and considering the purity of its composition, you can calculate how many grams or ounces of precious metal you are purchasing or you own.
Know its resale value
Your diamond’s retail market price is not the price at which you may sell it. Dealers of diamonds, such as jewellery stores or diamond buyers, will not pay you retail when they can get the identical stone for wholesale.
Wholesale pricing is also not a fair predictor of resale value because jewellers or dealers would most likely pay less.
They have no motive to offer you as much as they do your suppliers since, unlike them, you cannot give assurances and guarantees, preferential financing arrangements, marketing support, and other benefits that wholesalers do.
20 to 30% of the retail price is a good estimate for your diamond ring. You can also get 60 to 70% if you are lucky. This would be the best deal.
However, if you intend to sell your diamond ring to your friends or any general person, you can easily sell it with a ratio of 20% to 30% of its current retail price.
In a wrap!
Each diamond ring has its own price because of its metal, carat, and density. However, if you really want to determine the value of your diamond ring, keep every detail in mind and carefully examine it.
Disclaimer: This information has been collected through secondary research and TJM Media Pvt Ltd. is not responsible for any errors in the same.