Appraisal of online bought ring

[Synch]

I just purchased an engagement ring online from a reputable dealer (not sure if I should post the name). It’s a GIA cert 1.04 carat round cut brilliant, I color, SI2, excellent cut, excellent polish, VG symmetry, and no fluorescence. It’s set in a platinum solitaire setting.

For the HCA people, it’s a 57% table, 35.5 crown, 41.2 pavilion, 62.2% depth, and medium to slightly thick girdle (3.5%). I know the HCA score is bad (4.4), but I didn’t discover HCA until after I had ordered the diamond.

I purchased the ring for $6585 ($7240 CAD after taxes), and came with an appraisal document of $9200. To ensure I got a good diamond, I had it appraised locally. To my big disappointment, the appraiser said he’d consider it an I clarity, and gave it a value of $8500 CAD. That’s only $1260 more than what I paid, and similar specced diamonds at local jewelers ran much higher. I’d never be able to get a similar diamond and setting for $8500.

From my own perspective I cannot see any inclusions, but I don’t have a trained eye. It does upset me to think that the clarity is worse than what I paid for.

I’m thinking of returning the ring, but I’m looking for advice. Should I return it? Or just ignore the appraisal value issue? I’m really stuck as returning it will kill my proposal plans. Any input would be greatly appreciated.

 

[Cabochon1]

Well the GIA graded it as an SI2 and you've got the inhouse appraisal. Could you insure the diamond based on that? In that case I wouldn't worry. If you need the appraisal for insurance purposes I would probably return it.

The other option would be to contact the vendor and ask them what they suggest?

Cabochon

 

[denverappraiser]

Did you show the appraiser the GIA report and, if so, did he/she discuss the reasons for the discrepancy? The only choices I can think of are:

1) GIA is wrong and he is right.
2) It's the wrong report for the stone.
3) It's been altered or damaged since GIA saw it and the grade has changed.

These are importantly different issues.

Did you discuss the value conclusion with him/her? What did they say?

 

[OCgirl]

I trust GIA/AGS gradings. The difference (grading-wise and price-wise) between a SI2 and I1 is huge. An important thing is to consider is whether your appraiser is independent? If not (e.g. he sells diamonds), then he might be biased. It's not for certain that all non-independent appraisers will do this but it's a possibility.

 

[diamondseeker2006]

I just purchased an engagement ring online from a reputable dealer (not sure if I should post the name). It’s a GIA cert 1.04 carat round cut brilliant, I color, SI2, excellent cut, excellent polish, VG symmetry, and no fluorescence. It’s set in a platinum solitaire setting.

For the HCA people, it’s a 57% table, 35.5 crown, 41.2 pavilion, 62.2% depth, and medium to slightly thick girdle (3.5%). I know the HCA score is bad (4.4), but I didn’t discover HCA until after I had ordered the diamond.

I purchased the ring for $6585 ($7240 CAD after taxes), and came with an appraisal document of $9200. To ensure I got a good diamond, I had it appraised locally. To my big disappointment, the appraiser said he’d consider it an I clarity, and gave it a value of $8500 CAD. That’s only $1260 more than what I paid, and similar specced diamonds at local jewelers ran much higher. I’d never be able to get a similar diamond and setting for $8500.

From my own perspective I cannot see any inclusions, but I don’t have a trained eye. It does upset me to think that the clarity is worse than what I paid for.

I’m thinking of returning the ring, but I’m looking for advice. Should I return it? Or just ignore the appraisal value issue? I’m really stuck as returning it will kill my proposal plans. Any input would be greatly appreciated.

Okay, your 2nd appraisal was $1260 MORE than you paid. You certainly could replace it for what you paid if you buy the replacement from the same place. You don't really want an inflated insurance value because that just means you are paying too much in premiums.

If you liked the appraisal that came with the ring, then use it for the insurance. You'll be paying more than you should for insurance, but it hopefully says the correct grading that corresponds with the GIA cert. If this new appraiser sells diamonds, I think getting him to do an appraisal was a mistake. At most, you just need someone to verify that your stone is the one on the lab report.

 

[Amys Bling]

Totally agree with DS.

 

[Synch]

Thank you for the responses.

You are correct, the appraiser does sell diamonds. I've booked another appraisal with an independent appraiser that does not sell diamonds and comes highly recommended for my location.

The appraiser said that the diamond has many inclusions, but they are spread out, which is why he rated it as an I1 clarity. I asked him if the inclusions interfered with the light reflection of the diamond and he said no, they do not.

The GIA report (# 2125767516 ct 1.04) does show 3 lines of twinning wisps and a few other inclusions. I've scrutinized the diamond as closely as possible with my eyes (I've got good eyesight) and I cannot find anything, so it does seem to be eye-clean from the top and sides.

I saw a magnified picture of the diamond prior to purchase and I could see the inclusions, but they are light in color and spread out. I do agree that there are numerous ones, but I was going for eye clean and I wasn't concerned with the quantity of inclusions.

I guess I shouldn't get caught up too much in the appraisal value. I'm just concerned I didn't get a quality diamond. I'll be asking the next appraiser more questions and his reasoning for the grading. The first appraiser didn't speak English very well, so communication was not the easiest.

If I'm allowed to post information about online retailers I can provide more information about the diamond.

 

[diamondseeker2006]

On one hand, an eyeclean SI2 is very nice! I would be little afraid of the numbers, but you can see the diamond in different lighting and can best judge whether it is beautiful! I hate to think your proposal would be delayed. If the vendor could do a quick change for you, then maybe it would be worth doing. But you might have to go up in clarity because all SI2's are not eyeclean.

 

[Synch]

...but you can see the diamond in different lighting and can best judge whether it is beautiful!

This is one of my major concerns. While the diamond does look nice to me, I don't have much to compare it to. I did check out some reputable local stores with similar rated GIA diamonds, but that was weeks ago. I will be asking the appraiser on Tuesday if he does think it's a quality cut diamond and if it sparkles nicely. If I can get an opinion that overall it's a nice diamond (not mall quality type), I think that would put me at ease.

 

[denverappraiser]

If you still have the diamond in hand you can take it with you to stores and compare it to things they have to offer. Just tell them that you are trying to decide if you want to keep it or send it back and you want to see if THEY have something that's more suitable for you.

If you want to do this, make sure the store knows what's going on before you pull out yours. There's a security concern at stores with customers who have their own stones and things might get shuffled so do make sure they are both aware of what you're doing and that they agree to it before you start.

 

[Synch]

So I just had the independent appraisal today. The appraiser confirmed this is definitely an I color, SI2, excellent cut diamond. I didn't show him the GIA report until after the appraisal and he confirmed it's definitely the same stone. He believes its a really nice looking diamond and the inclusions don't interfere with the brilliance of the diamond. There are quite a few twinning wisps, but they are faint and difficult to see.

He also confirmed that the setting is excellent, even though the first appraiser said it wasn't set properly and a prong was not touching the diamond (maybe he was hoping I'd get it 'repaired' there).

Overall I feel much better about the purchase. I'm pleased that the diamond was appraised to the same grade at the GIA report. Icing on the cake was the appraiser thought I got a fantastic deal when I told him the cost at the end.

Thank you everyone for the comments and help.