For many buyers, the biggest challenge when it comes to buying diamonds is the mystery of diamond appraisal and knowing how to find the best possible value. Diamond appraisal is usually based around four major factors, and each of these factors in turn has a direct influence on the market value of a diamond. These factors are known as the “four Cs,” and they are almost entirely responsible for determining diamond prices.
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Diamond Appraisal – Cut
The first of the four Cs is cut. In diamond appraisal and grading, cut refers to the overall brilliance of a diamond, and/or the degree to which it reflects light. “Cut” in this sense does not refer to the shape of the diamond. When you hear about round brilliant cut or Asscher cut(*6) diamonds, this does not refer to the cut grade of the diamond in any way, but rather the shape into which the diamond has been cut. The cut grade assesses the quality of the cut, not the shape.
Different certifiers have their own systems for classifying cut grades. Thankfully, these are usually fairly self-explanatory, with the best cuts usually being classified as “Ideal,” and those of the lowest quality being classified as “Poor.” Usually, all other factors being equal, diamonds with a relatively high cut grade are usually not significantly more expensive than those at the lower end, so even buyers on a tight budget can get a good value with small diamonds with a “Premium” or “Very Good” cut grade.
Diamond Appraisal – Clarity
The next factor involved in diamond appraisal is clarity. The higher the clarity grade is, the clearer the diamond will be. Diamonds with high clarity are more valuable than those with blemishes or inclusions (flaws on the inside of the diamond) which reduce the clarity of the stone.
In the standard system for diamond clarity grading, the highest grade is F, for “Flawless,” followed by IF (Internally Flawless), while the lowest grade is I3, which indicates that the diamond has a significant number of inclusions. Diamonds with an F or IF grade in clarity are very rare and therefore very pricey; the best value can usually be found in the VS1-2 range. These diamonds are “very slightly included,” meaning that their flaws are only visible under high magnification.
Diamond Appraisal – Color
The next area of diamond appraisal is color. Usually, coloration is considered undesirable, so the highest color ratings are given to diamonds with the least coloration. The grading scale for color goes from D (best) to X (worst). An X-grade diamond will have an obvious yellowish tint.
Usually, diamonds within the G to L range in color represent a good value, as they are less expensive than D-F rated diamonds, but still within the range where the coloration is not really visible to the naked eye.
Diamond Appraisal – Carat Weight
The most influential factor in diamond appraisal is the carat weight of the diamond. Carats are a unit of measurement which is used when describing the weight, and therefore the size, of a diamond; very large diamonds (usually those over 5 carats) are extremely expensive regardless of their other ratings, whereas small diamonds with very high grades in the other areas are much less expensive than large ones.
In terms of value, the classic 1 carat diamond is usually a good bet.
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