One of the important considerations when looking to choose lab-grown diamonds is their resale value. To help illustrate this, let's look at the color grade of where these diamonds sit compared to natural stones and what that will mean for their future in the resale market.
Image source: www.loosegrowndiamond.com
- Purchase Price vs. Resale Value
Lab-grown diamonds are also cheaper to buy. Their production costs are much lower, and you can easily ascertain this. You do not need to dig and transport like with the natural ones, and all these cost savings need to be factored in. In most instances, you'll spend the same money on a lesser or lower-quality natural diamond as you would on a larger or more quality lab-grown diamond.
At Nivara, we have a lifetime exchange policy, so you can get up to 100% of the existing market value when you are ready to exchange your piece for something new. We also have a buyback policy at 85% of the current market value. Here, you will only need to add making charges and taxes, if any.
- Resale Present Scene
Currently, lab-grown diamonds have a relatively lower resale value compared to natural diamonds. This is mainly because natural diamonds have for long been cherished and valued as a rare mineral produced naturally over millions of years. A lab-grown diamond can be chemically and physically the same as one that occurs naturally but because it is manufactured in a lab and not formed by nature, it gives off an impression that they are less rare; this will probably affect the sell-back price of the diamond.
However, this perception is changing. As lab-grown diamonds are gradually being accepted and recognized for the ethical and environmental benefits, their resale value is slowly improving. The market for these diamonds is in the state of change where we may see a raise in their resale value over time with greater awareness and demand.
- Market Stability and Value
One of the benefits that lab-grown diamonds have over others is their stability. Unlike a natural diamond, which is dictated by market and geopolitical situations, lab-grown diamonds are less so. This can give it a more predictable resale value, making lab-grown diamonds a safer investment in turbulent economic times.
- Ethical and Environmental Appeal
The value of lab-grown diamonds includes another dimension in the form of ethical and environmental benefits: produced with no destruction that comes along with the traditional mining and human rights issues often associated with other types of diamond mining. For many buyers, these ethical considerations enhance their value and perceived worth. As the concern for sustainability becomes a focus for more consumers, this value-added could help drive up the resale price of lab-grown diamonds in the future.
- Future Prospects
Lab-grown diamonds still have to close the resale value gap with natural diamonds. The market remains very young, and the old perceptions keep on changing. With more people, including jewelers, recognizing the benefits and value of lab-grown diamonds, their resale value increases accordingly. Similarly, future uptrend in these acceptance and value-related matters in the resale market may also be driven by improvements in technologies that allow for scale-up production.
Although lab-grown diamonds still sell for a lower resale than naturals, they far exceed those counterparts in dimensions, quality, and ethical clarity. They are expanding in market, and as public perception of that piece increases, so too is the resale value. Invest now in lab-grown diamonds, which not only provides some very immediate benefits but also embrace a change that's sweeping through the ranks of more responsible and sustainability-friendly luxury. So, although the resale price may not remain as good as it would have been in the current scenario, their future prospects look bright for these glittering stones.
In short,
- Lab-grown diamonds are cheaper than natural diamonds. It means the cost could be afforded to buy more value-for-money, higher-sized stones.
- Presently, lab-grown diamonds are sold at a relatively lower price than natural diamonds primarily based on the misconception that the former is scarce, but the mindset is also becoming changed day by day with the increasing acceptability.
- Lab-grown diamonds are less responsive to economic and political forces, so they boast a better resale potential during uncertain times.
- Lab-grown diamonds are not only eminent for their contribution to sustainable production with no tiny issue, such as those generally linked with the mining process. Thus, they appeal to the greener buyers.
- The market is moving forward with lab-grown diamond awareness, and people are becoming highly conscious about the benefits of these lab-grown diamonds. So, their resale value will rise; hence it becomes a promising choice for sustainable luxury.
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