Appraisal value question

[echelon6]

Question about the relationship between appraisal value and purchase price:

The ring I''m currently getting from WF has very similar specs to some rings I''ve seen at Tiffany''s. The ring I''m getting has a purchase price of around 9k, and the Tiffany equivalent would be around 20k. I''m confident that hypothetically if Tiffany sold the exact same ring, it would be around 20k.

My question is: if I bought from Tiffany instead of WF, would I still get the same appraisal value for insurance purposes? From reading previous posts regarding appraisal values, I have a feeling that regardless of purchase price, appraisals will always be a % higher than the purchase price? This would lead to absurdity since the WF ring would reasonably be appraised at say 12k, but the Tiffany ring may be appraised at 25k, despite both being hypothetically the same ring, am I right?

OR

The opposite is true, and appraisal value is independent of purchase price and soley based on fundamental merits of the ring itself, in which case, the Tiffany ring would very likely be appraised at a value below cost. Is this also possible?

Thanks

 

[Regular Guy]

Echelon,

From my reading here, branding...when recognized properly by the appraiser, is acknowledged in the appraisal...and the Tiffany option, valued rightly or wrongly for characteristics other than the item itself, will carry the higher value. Rightly, I think, as the owner is entitled to a replacement with identical branding...still costing that premium.

 

[belle]

Date: 7/9/2007 10:57:59 AM
Author: Regular Guy
Echelon,

From my reading here, branding...when recognized properly by the appraiser, is acknowledged in the appraisal...and the Tiffany option, valued rightly or wrongly for characteristics other than the item itself, will carry the higher value. Rightly, I think, as the owner is entitled to a replacement with identical branding...still costing that premium.

even though that first sentence was, in complete ira fashion, quite long and possibly not entirely grammatically correct

i agree with his sentiments completely. when you buy a branded diamond, you are afforded that premium in the appraisal value as well.

 

[Regular Guy]

Date: 7/9/2007 11:10:35 AM
Author: belle
not entirely grammatically correct

.....

I''ll ask you to keep my grandma out of this (not my real grandma) thank you very much!

 

[belle]