start a collection/resale?

[gongli]

hi

as i've been reading this forum i've been getting really interested in gems. ive been thinking i'd like to start some kind of a collection, but if were to do that i'd be concerned about resale value. i've never sold anything on ebay or to a jeweller, and im wondering if anyone here has, and what you might be able to tell me about it. ive read about "investment grade" gems but these seem to be super expensive, not what im talking about. for people who've bought and sold before, have you gotten your money back or been ahead or down? any tips on what to look for or avoid? i was thinking maybe i should start super cheap, like some of the $10 ebay emeralds or rubies from thailand until i get some more of a clue about what im doing. (i wouldn't be very concerned about resale value on that stuff and i'd have a collection!) anyone have any other tips on how to start a collection?

thanks
-neal

 

[kelpie]

My strategy has been if you buy something used in the first place you're unlikely to take a hit when you sell it and that's been true for me so far. However, collecting with investing in mind rarely works unless you're Lawrence Graff or some high roller. A rule of thumb, buy things because you love them.

 

[ruffysdad]

If you're looking to start a collection, one thing you want to bear in mind is that junk is always exactly what it is and will stay that way. It will have no to low value today, tomorrow, next year etc. And you'll be stuck looking at it. You don't need a fortune to start a collection, just a sense of real market value and the patience to wait until the right stone comes along. Get the ones that appeal to you and don't worry about resale values too much. Good stuff will always have value. It may go up or down but it will always be there and the most important value is the one you place on it.

Pete

 

[chrono]

In most cases, unless you have large sums of money, the right contacts and boatloads of knowledge, you'll probably end up losing more money than making money. When talking about "regular" quality gems, most people make a loss when unloading. As mentioned above, buy it because you like it and will enjoy wearing/appreciating it.

 

[Pandora II]

Unless you can buy at source (with enough gemmological knowledge so that you don't get ripped off), know what to buy and have a avenue/contacts that will allow you to resell at a profit, then my advice is to buy what you would like to collect rather than as an investment.

The upside of gemstones is that they don't rust, wear away or become obsolete - unlike cars, cameras, shoes, bags etc. However if you're hoping to retire on the eventual proceeds of your collection you might not eat well...

You don't need to spend a fortune to have a nice collection, it just depends what you want to collect. 2ct+ unheated sapphires in top colour etc will be $$$$, but the less well know species can be very affordable even for very good specimens. Just buy the best you can find for the amount you want to spend - poor quality stones will annoy you for years to come!

 

[LD]

Unless you can buy at source (with enough gemmological knowledge so that you don't get ripped off), know what to buy and have a avenue/contacts that will allow you to resell at a profit, then my advice is to buy what you would like to collect rather than as an investment.

The upside of gemstones is that they don't rust, wear away or become obsolete - unlike cars, cameras, shoes, bags etc. However if you're hoping to retire on the eventual proceeds of your collection you might not eat well...

You don't need to spend a fortune to have a nice collection, it just depends what you want to collect. 2ct+ unheated sapphires in top colour etc will be $$$$, but the less well know species can be very affordable even for very good specimens. Just buy the best you can find for the amount you want to spend - poor quality stones will annoy you for years to come!

Although they can break!

Honestly I can only echo everybody else. DO NOT buy thinking about re-sale. The chance that you will recoup your initial investment is very very small unless you (a) have an outstanding buy in the first place (b) really understand what you're buying and (c) can find a buyer!

Only buy what you love and can live with. First though, educate yourself on different gemstones and then look around and see what appeals to you. Typically people are attracted to colour first and that's not a bad thing! Bear in mind that treatments for gemstones are a big issue and may make the difference between something costing $10 and $1000! Also, if it looks like a bargain and has been for sale for a while, there's a reason!