Moissanite is considered to be a cost saving, diamond alternative. But this assumption is not entirely accurate.
What is Moissanite?
Natural Moissanite is an extremely rare gemstone. In fact, its quantity is so limited that it isn’t sold as jewelry, there simply isn’t enough to go around. The moissanite you come across when jewelry shopping is actually lab grown “synthetic moissanite”. Synthetic moissanite is very similar in appearance to diamonds and is marketed as a diamond alternative for cost-conscious consumers.
Why Do People Buy It?
Most people buy moissanite because it looks like a diamond, but cost less. The initial cost of moissanite is much lower than that of a similar sized diamond. For example, a 1.60 carat round moissanite is listed for $1,150 on brilliantearth.com. The cheapest, comparably sized diamond on bluenile.com is listed for $6,990. That is a significant price difference. But, if you only focused on purchase price you would be overlooking an important aspect of value.
Are They Really Much Cheaper Than Diamonds?
Resale value is key when determining whether or not moissanite is significantly cheaper than diamonds. So, what are their resale values?
Resale value of moissanite: Usually Nothing
Resale value of diamonds: Approximately 60% of the purchase price
You would have a really hard time finding a resale buyer for moissanite. No businesses buy it from the public. Diamonds, on the other hand, can be sold for a significant percentage of their purchase price. Given this information, lets re-analyze the two stones we looked at earlier.
1.60 carat moissanite 1.60 carat diamond
Purchase Price: $1,150 Purchase Price: $6,990
Resale Value: 0 Resale Value: $4,194
Actual Cost: $1,150 Actual Cost: $2,796
At first glance, it would appear that the 1.60 carat moissanite costs $5,840 less. When you factor in resale value, that price difference shrinks to $1,646. This still represents a lot of money. It is much less than the $5,840 you would have thought you were saving had you not taken resale value into account. When purchasing a Diamond alternative like moissanite look for the “price accounting for resale value”. What is it worth to you?
We don’t buy moissanite, but we do buy real, natural Diamonds. Contact us for an offer on your Diamonds today.