Diamond Jewelry Appraisal

A diamond jewelry appraisal is a significant and important document because it details the value of the diamond or piece of jewelry. Not every diamond jewelry appraisal is equal. The appraiser must have credentials to prove his knowledge of the diamond and jewelry trade. An appraisal is done with meticulous attention to detail. Although any governing body does not license appraisers, we have a steady of rules and regulations from professional appraisal associations and organizations.

Value and a Diamond Jewelry Appraisal

In order to determine value, one must comply with these established rules to give a valid and credentialed diamond jewelry appraisal. Credentialed appraisers will have dedicated their profession to learning the diamond, jewelry and gem industries so that they may provide accurate, detailed and up to date information with regards to the appraisal. Appraisers are in a unique situation in that while there is no official licensing body or process for becoming an appraiser, the appraisal itself is a legal document with legal standing and a court of law.

Details of a Diamond Jewelry Appraisal

In appraisal is an opinion with respect to value for a particular market on a specified date. That is according to the definition of the National Association of Jewelry Appraisers (NAJA). An appraisal documents details all the qualitative and quantitative attributes necessary to arrive at components, characteristics and details of a piece of jewelry that of affecting its value, the ultimate conclusion being a determined value. Being an appraiser comes with some liability.

President and chief executive officer (CEO), as well as general counsel of the Jewelers Vigilance Committee (JVC), Cecelia Gardner, explains "if you hold yourself to be an expert, you are legally responsible for the opinion you render." She goes on to explain that sellers are often times willing to inflate value to conclude a deal or simply because gems and jewelry have emotional and historical value in addition to their intrinsic more, approximately 10 percent of complaints received by the Jewelers Vigilance Committee involved inflated or fraudulent appraisals.

The Purpose of a Diamond Jewelry Appraisal

The diamond jewelry appraisal itself can have many purposes. The very first purpose the appraiser will face is establishing the purpose of a particular examination before the work starts. For example is this appraisal for insurance, replacements, divorce or estate evaluation. Factors such as these are important. Especially when the appraiser attempts to set a value on the jewelry or diamond piece. For example would be appraisal attempt to establish a market value, replacement value or liquidation value.

For replacement value, is an identical piece available on the market. If so, how much would it cost to replace the exact same item? Is that is even possible? Another example would be, is this appraisal for liquidation. In other words, someone who wants cash immediately. Appraisers attempt to bring a price to diamonds, jewelry or even art.

For example when a piece shows the telltale signs of replaced parts, one must take that value into consideration. An example of this would be a vintage Cartier piece. If there have been parts replaced in the said piece, the value would be affected.  Original, untouched work is the most valued type of piece one can have. Any inconsistencies affect the dollar value.

Diamond Jewelry Appraisal A Diamond Jewelry Appraisal is important when determining value.

 

http://www.gia.edu/library-appraisal-associations

http://www.americangemsociety.org/appraising

Diamond Price List