Editor’s Note
While fine jewelry can hold sentimental and aesthetic value, this article explores its often-overlooked financial dimension. It highlights key factors that affect jewelry’s resale potential, from documentation to the shifting market for lab-grown diamonds, offering a practical perspective for anyone viewing their collection as more than just adornment.
Jewelry is usually illiquid, so resale offers can be far lower than retail prices — especially for everyday pieces.
Pieces with strong documentation, high-purity metals, and in-demand brands tend to hold value better over time.
Lab-grown diamond prices have fallen sharply in recent years, which can limit resale value compared with natural stones.
Mention investing and most people think of stocks, bonds, retirement accounts, and real estate — not what’s in a jewelry box. But jewelry can act like a collectible asset: It may hold some value over time, and in the right circumstances, it can sell for more than you paid. The catch is that jewelry is usually hard to price, costly to store and insure, and expensive to resell. So, for most people, it’s best treated as a wearable purchase first and an investment second.
Gold, silver and other precious metals, sold in nuggets or bars, have historically been seen as attractive investments that can help diversify a portfolio. But when precious metals are turned into jewelry, their value changes.
The value of any jewelry item is usually determined by the individual piece, not the sum of its parts. Jewelry prices are typically affected by craftsmanship and exclusivity. Plus, retail stores often sell jewelry at a markup, which means that items can cost 35% more than the actual metals and gems are worth.
If you have decided to add fine jewelry to your investment portfolio, you have a plethora of metals and gems to consider, from gold to platinum to silver.
Jewelry is most likely to hold value when demand is durable, and the piece is easy for a buyer to authenticate and resell. That tends to be more common for:
* High-purity precious metals (for example, higher-karat gold)
* Recognized luxury brands and iconic styles with consistent secondary-market demand
* Rare or investment-grade gemstones (a niche market that often requires expert grading)
* Well-documented vintage or estate pieces with strong provenance
Even then, returns aren’t guaranteed. The price spread between retail amounts, appraisals, and cash offers can be wide, and markets can cool.
If you’re thinking about resale, start with purity. Gold is commonly marked by karat (for example, 14K or 18K) or by a fineness stamp. A “585” stamp typically indicates 14-karat gold, meaning 58.5% pure gold. A “750” fineness mark is a common standard for 75% gold (often referred to as 18-karat).
Condition, weight, and brand matter, too. A heavier piece generally contains more metal value, while a well-known designer piece may command a premium beyond melt value — but only if there’s demand and documentation.
Many diamonds don’t resell for what they cost at retail because the original price often reflects retail overhead and branding. Rare stones — like large, high-quality, or fancy-color diamonds — can behave differently, but that’s a specialized market.
The price of natural diamonds fluctuates. Their value fell 26% from 2023 to early 2025 due to inflation and a drop in demand for luxury goods, but prices rose about 6-10% from January to August last year.
Lab-grown diamonds have also faced sharp price declines, down 74% from 2020 to 2025, which can make resale value harder to predict. If resale is important to you, ask how the stone is graded, whether it comes with a third-party report, and what the seller’s buyback or trade-in policies look like.
Luxury watches are sometimes considered alternative investments, but prices can move quickly. The pandemic era saw big price run-ups in the secondary market, followed by a multi-year cooldown for many top models. A 39% tariff on Swiss imports, including watches, went into effect last year as well.
If you’re buying a watch with resale in mind, consider authenticity, service history, and demand for the exact reference. Even within well-known brands, some models are much easier to resell than others.
Documentation can make a meaningful difference in resale offers. If you buy a piece that you may want to sell later, keep:
* Original receipts and any return or trade-in paperwork
* Grading reports for gemstones (for example, a GIA report for a diamond)
* Service records (especially for watches)
* Appraisal paperwork (helpful for insurance, but not always the same as resale value)
Consider safe storage and appropriate insurance for high-value pieces. Insurance appraisals often reflect replacement costs, which may differ from what you could receive in a sale.
Each potential buyer will value your jewelry differently, especially if it has specialty cuts and designs. The goal for most jewelers is to purchase these items to resell or melt down to create new designs.