Diamond Resale Value: Lab vs Natural Comparison

Resale Value of Lab Diamonds Versus Natural Diamonds

In the buying process of a diamond, beauty, carat weight, and affordability are some considerations that people think about. You need to have in mind the resale value of the stones that you purchase.

What is the difference in resale value between lab and natural diamonds? Here are some facts about both types.

Why Is Resale Value Important?

This is a metric that represents the amount of money you will get from selling your diamond.

Hence, it is important for:

• Investors
• Jewelry dealers
• People looking to upgrade

- The bottom line: high resale value means high financial protection.

What About Natural Diamonds?

These are stones that occur in the deep parts of the earth after many years of development. These diamonds are rare hence high demand all over the world.

Here are some facts regarding natural diamonds:

• Limited supply
• Emotionally valuable
• Resale market established

- Learn more about natural diamond grading at Gemological Institute of America.

What Are Lab Grown Diamonds?

Lab grown diamonds are produced using sophisticated technology in laboratory settings. The lab diamonds possess similar properties chemically and physically as natural diamonds.

Points to consider:

• Cheaper than natural diamonds
• Easy production process
• Growing supply around the world

- Also, check out certification standards by International Gemological Institute.

- But growing supply makes them less valuable for resale.

Resale Value of Lab and Natural Diamonds

Factor	Natural Diamonds	Lab Grown Diamonds
Resale Value	High	Low
Demand	Strong	Limited resale demand
Price Stability	More stable	Declines over time
Rarity	Rare	Mass produced
Investment Value	Better	Weak

Reasons Behind Resale Value Loss of Lab-Grown Diamonds

Let us explain some facts now.

1. Unrestricted Availability

Lab diamonds are available any time. Hence, they are unlimited.

2. Lowering Market Prices

Technological advances improve the manufacturing process. Thus, their prices continually decrease.

3. Few Buyback Choices

Not many stores will buy back lab-grown diamonds. Therefore, there are few resale opportunities.

- Therefore, consumers should not count on large resale gains with man-made diamonds.

Why Natural Diamonds Have a Higher Resale Value

1. Limited Natural Supply

Mother Nature limits the supply. Because of this, natural diamonds are hard to find.

2. Consistent Demand

People have always liked natural diamonds, and demand remains strong over time.

3. Global Market Availability

There are many places around the world where you can buy and sell natural diamonds.

- So, natural diamonds are worth more when you sell them than lab-grown diamonds.

Realistic Estimates of Resale Value

Here are some realistic estimates of resale prices:

• Natural diamonds usually sell for 20% to 60% of their purchase price
• Lab-grown diamonds usually sell for 10% to 30%

- Thus, you should view diamonds as luxury items, not financial investments.

Which One Should You Go For?

It really depends on what you want.

If you want to go for Natural Diamonds when:

• You want to resell it in the future easily
• You’re looking for an investment in the long term
• You might want to upgrade in the future

If you want to go for Lab Grown Diamonds when:

• You want a bigger diamond at lower prices
• You care more about the looks than reselling them
• You want something more innovative and sustainable

Additional Posts

• What is the Difference between 18k, 22k, and 24k Gold?
• Top 5 Gold Jewelry Pieces for Everyday Wear
• Lab Grown Diamonds vs Natural Diamonds

In Conclusion

It is clear that there is a difference between resale value. It is true that natural diamonds have more value since they are rare and in consistent demand, whereas lab diamonds tend to depreciate quickly.