wanting to pass on diamond, appreciation since purchase?

[Mpjb2325]

Good afternoon,

I am new to this group and trying to get some help on my ring. I have a small diamond, .26 carat I purchased in 1983. It is color H-vvs2, brilliant cut. Was set in a tiffany yellow gold setting. I would like to give my son the stone to reset or trade up for his upcoming engagement.

I have an appraisal from the jeweler I bought it from for $875 in 1983 and a guarantee/certificate from them (stating they are part of Diamond Dealers Club)
that the diamond had a book value of $525.00 then. On the guarantee, it states it can be "exchanged at any time for a larger stone at the full value stated plus appreciation"
I called them to inquire about the appreciation, and they said never heard of their guarantee stating that, but after being on hold for 10 mins, stated that they would see what they could do.

Can anyone give me a general idea of possible appreciation of my stone? How will I know if I am getting a fair value? Any help would be appreciated. My son is in grad school and want to help him, as college costs are enough.

Thank you very much

 

[denverappraiser]

An exchange is importantly different from a refund or a purchase, regardless of the appreciation. My guess is that they’re offering to trade it for something else in the store and it will no doubt be necessary to add some money too the kitty. A 0.26 stone is going to be difficult to sell outright but you can use the database here to look up what dealers here are charging for similar stones and, presumably, the sales staff at the store is prepared to tell you what THAT jeweler is charging for similar things now.

Bear in mind with trade-in deals that you need to consider both sides of the offer. A $1000 credit (for example) does you no good if the new one is more than $1000 overpriced or if the store doesn't have what your son or future daughter-in-law want and they end up compromising in order to get a 'deal'.

Neil Beaty
GG(GIA) ICGA(AGS) NAJA
Professional Appraisals in Denver

 

[CharmyPoo]

I did a search and it appears your stone is worth around $250 to $400 in today''s market.

 

[Mpjb2325]

thank you both for the information

 

[Dreamer_D]

Date: 1/31/2010 1:10:18 PM
Author: CharmyPoo
I did a search and it appears your stone is worth around $250 to $400 in today's market.

Wow, so much for appreciation I guess! Have diamond prices generally come down or was the initial valuation off I wonder?

ETA And what a wonderful thing to try to help you son.

 

[Mpjb2325]

Well, most likely value off. However, when I called, like I stated, they have to guarantee to orig value. I was hoping for some appreciation since it was stated in their paperwork. However, I had a feeling they would not find much "appreciation" considering just the reaction I got when I called. They do not even put that in writing anymore.

I haven''t worn the ring in a LONG time. We had our wedding bands tatooed on 20 yrs ago, we have been married for 26 yrs. So even if it has a small value, it will go towards to purchase of a new ring. Thanks everyone

 

[stone-cold11]

Good luck.