This article explains several different things about diamonds. For interested readers, then this is worth reading, because you can never detect what you don’t know.
Pricing most products is usually fairly easy. You simply determine how much it costs to create or build the item, how much it costs to market that item, and then mark it up by fifteen to thirty percent or more. Pretty easy, correct? Well, pricing diamonds isn’t exactly that simple. There are many different facts that are considered when diamonds are priced.
Diamond prices are figured out first by adding the cost of cutting the diamond, the cost of the rough diamond, and all other costs necessary to transform the rough, uncut diamond into a marketable, beautiful diamond. Depending on the value of the diamond, an independent company may be called in to confirm the grade of the diamond based on cut, weight, color, and clarity.
At this point, the diamond grows in value each time it changes hands, until it finally reaches a retailer, where the price is raised a bit more. Before reaching the retailer, though, the diamond must get from the mine to the cutter and polisher, to the independent grading company, and then to the retail store. Once it has reached the primary market, it will be bought by diamond dealers and wholesalers, and then will be distributed to retailers.
How could you stop learning more? The next part may contain that one little bit of knowledge that changes everything.
As you can clearly see, the earlier you can buy a diamond in the process, the cheaper the diamond will be. However, the value will not be different. The value is what the diamond will sell for through a retailer in the market place.
If you have a diamond, and you have absolutely no idea how much it’s really worth, you can have it appraised. However, the appraisal you get may not be accurate. You’d do better getting a certificate from GIA (Gemological Institute of America). With the information listed on this certificate, you can use a cutter’s guide to precisely determine what your diamond is really worth.
Also, many diamond price calculators are available on internet diamond dealers to use these as well. You must realize, though, that before you can accurately price a diamond, without a Diamond Grade Report, you need to know a bit about diamonds, such as many different colors, cuts, clarities, and weights – and how each one of these aspects changes the value of a diamond.
You should be better off if you get a Diamond Grading Report on the diamond and simply use that information to find the price in one of the guides that is used by the diamond cutting industry. This should give you the most accurate number for the value of the diamond you own or of the diamond you are considering buying.
Don’t purposely limit yourself by refusing to find out the details about diamonds. The more you know, the easier it’ll be to focus on what’s actually important.