During the process of purchasing jewelry, queries pertaining to the cost of diamonds are likely to be among the most often asked. The prices are not fixed everywhere, so you have to make sure to have a basic idea of the base price so that you are not getting ripped off by a greedy jeweler.
When it comes to the cost of a diamond, there are a lot of different factors to consider, and I’m going to go over all of them with you now. Despite the fact that there is no such thing as a cheap diamond (at least, not one that is worth looking at), the following steps will help you to perform your own pricing research and prevent you from being taken advantage of by dishonest dealers.
How Can I Find the Diamond Price Per Carat?
The IDEX and the Rapaport are the two sets of price sheets that are used in the diamond business the majority of the time. This information was originally only available to those who worked in the diamond industry; now, it is now for sale to any consumer who is interested.
There is an option to obtain the weekly price list for a one-time payment of $50, and if you are interested in purchasing diamonds and would want the insider information that these sheets hold, you may take advantage of this option. When it comes to purchasing a diamond, it is essential to have an understanding that these numbers have very little influence on the value that a diamond fetches on the market and are, as a result, null and invalid.
Disadvantages of Rapaport and Rapnet
The Rap value doesn’t signify anything to the customer from their perspective. Sadly, it is not the holy grail of diamond pricing; the values mentioned indicate the average high cash asking prices when the diamonds are exchanged.
This is because the values listed represent the average high cash asking prices. It is possible that the diamond will be sold at a price that is either much more or significantly lower than what the Rap value may imply. This will depend on the features of the diamond.
The RAP report does not take into account the diamond’s cut, the grading lab issued the certificate, fluorescence, grading accuracy, or any of the other aspects that might significantly affect the diamond’s real market value.
The Rapaport may also be used as a sales tool, which allows unsuspecting customers to be misled into making purchases. Because of the many factors involved, a salesman may display a prospective customer the Rapaport in order to give the impression that the customer is purchasing a diamond for a price that is lower than wholesale.
The numbers that are shown on the Rap list represent the high monetary prices, and these figures cannot be utilized to create a realistic assessment of the worth of a diamond. It is an intentional deception told to the customer with the intention of fooling them into thinking they are receiving a good price. Ignore the Rap list unless you have a solid grasp of how discounts, premiums, and the other variables that affect value interact with one another.
Right Methods of Researching Diamond Prices
Utilizing the search tools made available by online diamond retailers like Whiteflash, James Allen, and Blue Nile is a method of researching diamond prices that is both straightforward and more accurate than other methods.
You can search for certain criteria using these highly functional and user-friendly features (such as Color, Cut, Clarity, Grading Lab, etc.), and using this information, you can begin to set a foundation pricing for the diamond. You may immediately view all of the available diamonds that suit your requirements after picking your parameters, and you can obtain a ballpark estimate of how much they will cost.
Factors Determining the Price of the Diamonds
When it comes to understanding the pricing of diamonds, there can be several factors. Those are mentioned below-
- The accuracy of a diamond’s cutting goes above and beyond the symmetry grade that is provided in the laboratory report. It is a step up from the symmetry gradings that are supplied by the GIA and AGS gradings and relates to the visual symmetry of a diamond (hearts and arrows).
- A diamond that is free of any visible inclusions will have a greater market value than a diamond that contains imperfections that are apparent to the naked eye (even if the clarity grading is the same).
- Both the diamond’s spread and its durability may be affected by the girdle’s thickness.
- When determining a diamond’s color grade, the color or tint of the stone is only considered if the stone’s grade falls below K. However, even diamonds with grades higher than K might still have colorations that aren’t desired, which can affect both their beauty and their cost.
- The manner in which the components manifest themselves (i.e. do they cause a hazy appearance to the diamond which may affect sparkle, are they faint feathers which cause little effect, etc)
- The presence of fluorescence in a diamond may either drive up or bring down the price of the stone. In diamonds with a grade of G to J, a blue fluorescence that ranges from mild to strong might actually be desired, however, in diamonds with a grade of D to F, it brings the price down. Other hues of fluorescence, such as yellow and green, as well as fluorescence that gives the diamond a milky look, will all have a negative impact on the diamond’s value.
- The grades for polish and symmetry
Other Factors Determining the Price of the Diamonds
At first, Designer markups may be substantial. Consider Tiffany & Co., Cartier, and Van Cleef & Arpels all of the major brands will command astronomical markups. Even more modestly sized jewelry stores that are part of chains have prices that are ranging from 20 to 100 percent higher than those of internet merchants.
Secondly, policies and warranties like buy-back, upgrade, lifetime repairs, resizing, and other similar services may all be considered into the ultimate cost of the diamond.
Thirdly, Take into account all applicable taxes and duty costs. These will be different depending on the country in which you are making your purchase.