Recently, I did a segment for ABC in Minneapolis about melting your gold and selling it because you could get more money for gold than a few years ago. Recessions work that way. Gold holds its value during a recession. But someone whose parent had recently died asked me if now was also a good time to sell an old wedding band, made up of several diamonds. Her jeweler suggested making an eternity ring, or using the small diamonds to make something for her daughters.
BAD NEWS: PRICES FOR DIAMONDS HAVE GONE UP
If you own diamonds and want to sell them right now the good news is you will be able to sell them for a little more than you could have in 2009, by about 5%. The reason is because manufacturers of diamonds are slowing production of their supply, which is causing prices to go up. It is unclear how long this upward trend will continue, but since January prices have been going up a little each month.
SHOULD YOU BUY DIAMONDS NOW?
There is no question that in the past three years diamond prices plummeted 30%. That is the question of the day. The diamond industry now has a set price marker, called the IDEX. This pricing index should be a good judge of what a diamond should sell for.
FIND OUT THE VALUE OF THE DIAMONDS
- Go to your local jeweler for an appraisal
- Compare venues across the board to see where you may be able to get the highest price (auction, jeweler, web)
- Consider buying inexpensive little diamond(s) and turning them into something else for your children. The prices have not gone up steadily for a few years, and you may want to hold out.