A look at the specifics of jewellery value.
We all know that jewellery is a great asset because it can always fetch a good resale price. But, if you have some jewellery that you wish to sell in the future, you may want to be sure of exactly how much it is worth.
This is quite a difficult subject for a number of reasons. Firstly, the value of jewellery is always changing based on outside factors, such as the global price of gold. Furthermore, the value of jewellery can be placed in various contexts, which result in different price estimates. These contexts provide intrinsic, resale, and appraised values, all of which may differ.
Fortunately, Liquid Fin provides free jewellery evaluation, so you won’t be confused or misled by the different contexts for the value of jewellery. However, if you would like to calculate the rough value of your jewellery yourself, or if you would simply like to know more about the process, here is a look at the different evaluation methods:
This value, which is also known as cash value, applies to the sum of the worth of the individual components of any given piece of jewellery. So, if you have a diamond ring that you wish to sell, for example, the intrinsic value would be the price of the gold plus the price of the diamonds.
These prices are determined by the current price of gold and precious stones. Diamonds are particularly difficult to evaluate at home because their value is affected by their cut, colour, clarity, and size. Gold, however, is slightly easier:
- First, look up the current price per gram on the internet (there are lots of sites that provide this information). It is currently roughly R 473/g.
- Next, multiply the price by the purity of your gold. For example, 14 carat gold is approximately 58 percent pure, so multiply the gold price per gram by 0.58. This leaves us with a figure of R274.34.
- Finally multiply the resultant figure by the weight of the gold. So, if it weighs five grams, multiply your figure by 5. In the case of our example, this equals R1371.7.
This takes the intrinsic value of the jewellery into account, but factors in certain other elements. These can include workmanship and style. Also, jewellery made by famous designers or fashion houses can have a higher value.
This is a difficult area as appraised value is often influenced by insurance companies. Depending on their own calculated risks, they might appraise the jewellery far above its actual worth, or far below. For this reason, it is best to have your jewellery appraised by experienced industry professionals.
With these differing types of value, it may be difficult for you to determine the exact value of your jewellery. So, if you are thinking about selling your jewellery or are simply curious as to its worth, remember that Liquid Fin offers free jewellery evaluation, which is sure to be the most accurate appraisal that you can get.