We all have jewelry sitting on our dresser, untouched and neglected. It could be an 18K pendant you got from your grandma as a graduation gift or a diamond necklace your ex-boyfriend gave you that you don’t really want to wear out anymore.
If you are able to detach from the sentimental value, then you might be considering selling the underused jewelry for some extra cash. The used jewelry market amounts to $250 billion in value so fine jewelry stores as well as local pawn shops sign up to be the buyers in the resale space.
First, know what you need to watch out for
If you go visit 5 different stores, you are going to get 5 different prices. If you have a very expensive piece of jewelry, getting an appraiser from one of the three trusted groups – the American Society of Appraisers, the International Society of Appraisers or the National Association of Jewelry Appraisers – would make sense.
Appraisal is not to determine the market value of your jewelry but to assess the cost to replace the jewelry. It’ll give you a good benchmark, however. Having your jewelry appraised costs anywhere from $50 – $300 so it’ll only make sense to go down that route if your jewelry is much more valuable. In addition, high quality natural gems will typically fetch a higher resale price than lab grown gems such as Moissanite.
The value of your jewelry depends on not just the value of the precious stone or karat size but its style. If it is not in with today’s fashion trends, then buyers will not pay premium for it. On the other hand, if it’s considered ‘antique’, there is a whole subsector with eager buyers who will quote high bids so they can cater to high-rolling collectors. Seeking professional guidance on determining whether your jewelry could be sold as is, qualify as antique, or would need to be melted down to be sold as scrap is highly advised before you engage with any buyers.
Just like any market with bountiful supply and demand, jewelry resale industry has brokers. Some appraisers act as brokers themselves or you can find one that could do the research and negotiation for you. Unfortunately, they often charge a hefty fee between 10% and 50% of the selling price.
Vet and select your buyers carefully
Beware of online buyers! Appraising the value of jewelry and negotiating on the price is an artful process that cannot be done well if automated or without human interaction. Because it’s annoying to ship back and forth, you are more likely going to want to settle and that’s what they are counting on! The online buyers are not going to be of the highest quality. It is also not uncommon for buyers to mysteriously ‘lose’ your items after you reject their offers.
Non-jewelry specialists such as pawnshops are common buyers but you probably would have better luck going with local, experienced jewelry buyers who have both the incentives and resources to purchase what you have. Many of these higher-end stores in the business of buying used jewelry also often buy back gold or silver plates or even high-end Rolex watches. You should check the reviews online and see if there’s any complaint on Better Business Review. Make sure to tell the buyer that you want to get a few, written estimates before making your decision so they are motivated to give you the best possible offer.
