How to Sell A Diamond to a Jewelry Store, Gem Broker or Diamond Dealer

Once you have evaluated your sales options and decided to sell to or through a professional outlet such as a jewelery store, you will need to be psychologically ready, get your information together so you can make your best sales pitch, and ultimately get the highest possible price for your diamond.

Pricing and Sale: What to Expect

Keep in mind the retail jeweler can’t pay more than what the wholesale price would be for your diamond. Typically, the jeweler’s offer will reflect the value of the diamond on its own as a loose stone, plus the cash value of the precious metal in the setting. The metal price is determined by its purity and gram weight, and the current market price for that particular metal. Once you agree on a price and are ready to sell, payment is immediate and may be made in cash, by cashier’s check, or by bank wire transfer.

Price Ranges are Not Firm Price Quotes

When you approach a jewelry store or broker or gem dealer to sell your diamond either as a loose stone or in a piece of jewelry, you can begin by asking for an initial price estimate. This approximate price range based on information you tell them over the phone or Internet is not the same as an offer price. They will need to inspect the actual stone in order to give you an exact quote or firm offer price.

Overall, as a rule of thumb, this category of buyers might offer to pay you about one third the appraised replacement value. They will tell you an estimated value and make a firm price quote for free – meaning on a no-fee basis during a no-charge consultation from the in-store appraiser.

If the price seems low, also consider selling on consignment (see below) if you do not need immediate payment for the diamond.

Be Ready for Questions about the Diamond

Professional buyers will insist on detailed information about the stone as well as an inspection.

They may request copies of any laboratory report or grading report or certificate, the independent appraisal, receipt where you bought it and what you paid.

If you are doing a long distance estimate or calling for a preliminary price range, they need to know the overall shape, the color, the clarity and exact carat weight. Be ready to show any certificate, lab report or grading report you have for the diamond. They will also need to evaluate the proportions and quality of the cut.

In short, they will eventually have to see it in person before they will make a firm offer to buy the diamond from you.

Evaluate Offers and Compare Carefully

Pay careful attention to what specific offer is being made. You need to clarify if the buyer is stating a cash price they are willing to pay you right now today, or a retail price including consignment fee, or a percentage of an estimated retail value you might be able to get if they sell it for you. For an expensive stone or piece of jewelry, absolutely obtain several quotes from reputable businesses and compare them for the best deal.

Selling a Diamond on Consignment

Another option is to arrange for a reputable jeweler to sell your diamond for you. They would charge you a commission. This could be a percentage of the sales price, or in some cases a flat fee. You do not receive payment until after the item sells, but you should get a better price than by outright sale to the jeweler.

Upgrade or Exchange for a Better Diamond at Higher Cost

If you are selling the diamond in order to upgrade to a better stone, check your original sales receipt to see if your jeweler offered a price guarantee for exactly this situation. In some cases they will apply the full purchase price toward your new stone if you are upgrading and want to exchange the first stone for a more expensive one.

It may also be advantageous to select the new stone and setting, but wait to mention the “trade-in” until the jeweler has priced the new item. This is somewhat parallel to negotiating to buy a new car and trade in the old one!

footer for sell diamond page