Will a lab-created diamond maintain its value in the future?
Diamonds are forever, or at least that is what we are led to believe. Over the years, this notion has gained significant traction and has been imbibed as a true belief when determining the value of diamonds. This however doesn’t necessarily hold true, irrespective if they are lab created diamonds or naturally occurring ones.
Before delving into evaluating the value in the future, it’s important to understand how prices are determined for diamonds in the present. When considering naturally occurring diamonds, the higher price tags come from the high cost of mining from earth’s core, monopolized industry fixes and the lack of transparency prevalent in the industry. However, this isn’t true to lab created diamonds. They are grown in highly supervised scientific laboratories that re-create the temperatures, pressures and gases present under the earth’s surface. By replicating the exact physical, chemical and optical composition of diamonds, these experts produce diamonds without the unethical and cruel practices that malign the diamond mining industry. Without the unregulated mining costs, lab created diamonds become available for the general public to be bought at the fraction of the cost, making this purchase, more economically viable for many.
With the knowledge gained on how pricing gets determined for diamonds, it’s now easier to understand if the diamonds you buy maintain the value in the future. For most people, buying diamonds generally mark a celebratory moment in your life— an engagement, wedding, anniversary and the likes. So, it’s quite possible that you wouldn’t want to sell it, given the sentimental value it holds. However, much like any diamond you buy, the resell value of these diamonds will reduce. The advantage one has with lab created diamonds is that you have not spent a hefty amount on them in the first place. So, the reduction in its value in the future doesn’t impact you negatively, if at all. More often than not, they remain at par with naturally occurring diamonds.
Buying lab grown diamonds prove to be the smartest choice one makes when investing in buying jewelry. While they continue to be at par with naturally occurring diamonds in terms of maintaining their value in the future, they present themselves as forerunners in being better investment options. From environmental, sustainability and economic standpoint, lab created diamonds present their owners with a greater value for the future.
A tip for everyone eyeing to buy diamonds as options for investment— don’t make this decision lightly. It’s inevitably that diamonds will reduce in its value from when you first buy them— however make this choice wisely by opting for lab created diamonds that continue to add value to your life and lifestyle choices.