Should You Buy Pre-Owned Diamonds?

A lady called me yesterday and asked if I was that ‘diamond guy’. I haven’t been called that before but I quite like it!

Anyway, I digress...

She had seen a pre-owned diamond ring in a local jewellery store. Most people expect pre-owned diamond rings to be much better value than a brand new diamond and in most cases, certainly when it comes to retail prices, this is absolutely the case.

The Details:

The diamond in the ring was a brilliant cut diamond and weighed 3.20ct approx. and has been assessed by the owner of the business as colour J and clarity Si2. The diamond quality hasn’t been independently verified by a trusted organisation like the GIA, so, for the sake of argument, I accepted what had been written down as fact.

The price of the ring is £23,450 and it is made in 18ct white gold. Being pre-owned no VAT is payable on the item.

This lady wanted to know if I could offer a comparable ring and what the cost would be.

I spent some time researching the diamond market and came up with a few options for her. The stand out diamond was:

3.14ct Brilliant-cut diamond

J colour, Si2 clarity.

Excellent polish, excellent cut and excellent symmetry. No fluorescence and fabulous measurements. The diamond is currently in Los Angeles and has a GIA Report to guarantee its quality. Being Excellent Cut, Polish and Symmetry the diamond has lots of brilliance, which for a J colour diamond is vital for that all-important sparkle-factor.

I called her back and went through the process with her. I calculated that with that specific diamond, I could create her a stunning 18ct white gold ring for under £23,000.

The £1000 is nice, but the important thing is that the quality of the diamond is guaranteed. The GIA report is as solid as you can get in the diamond industry. They are trusted for their accuracy.

So, not only would she get a brand new ring for less than the pre-owned one, she could also guarantee the quality of the diamond.

She is thinking about it. She has never had a piece of jewellery created for her before and is nervous.

Some you win, some you never can.

Whatever the outcome, it was nice to go head to head with a pre-owned piece of jewellery and be able to beat it both on quality and price.