What You Need to Know About Jewelry Appraisals
You may need to get a jewelry appraisal for liquidation, consignment, taxes, inheritance or estate purposes. Or you may need one for scheduling on your homeowners or renters insurance policy. No matter the reasons for the appraisal, you want to be sure you get a quality appraisal for a reasonable price, with all the necessary documentation. Preusser Jewelers provides the information you need, so you can be sure you are getting a fair and accurate appraisal.
An appraisal is a document that describes an item, determines its relative quality, and assigns a value to it. Descriptions usually cover the visible, measurable and analyzable facts about the piece, such as gemstone or diamond weight, materials, and markings. Jewelry appraisals should describe gemstone quality, count, shape, size, grade, weight, metal type, etc.
A complete appraisal will usually include laboratory work to inspect and gather facts about the piece, or include a lab report. If done for homeowners or renters policies, the item is appraised for current market values, plus a small cushion percentage to allow for market fluctuations. They do need to be updated every 4-5 years, so you know the piece is being accurately covered. You don’t want to over-insure your jewelry, with a high retail, which will not help you if the piece is lost, stolen or damaged. That will only make your premium higher than it should be.
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Please contact us for more information.
Types of Jewelry Appraisals
To be sure you’re getting the most accurate appraisal, you need to understand the differences between the various types of jewelry appraisals. If you’ve ever watched The Antiques Roadshow, you’ve learned a little about the differences between fair market value and insurance appraisals. The reason for the appraisal will determine what type is needed.
● Fair Market Value Appraisals
Fair market value appraisals estimate what the piece could sell for if a buyer was found. Besides the intrinsic value of the piece, changes in the popularity of certain jewelry will affect the value. The value must represent the item’s value in its used condition. Charitable donations and estate planning generally require fair market appraisals. These will run lower than having an appraisal for replacement purposes.
● Insurance Appraisals
Most jewelry appraisals are done for insurance replacement at moderate retail. The reason people insure their jewelry is to be able to replace the item, so the appraisal should reflect the realistic cost of replacing an item in a jewelry store that sells the same type of jewelry. Insurance appraisals should be updated every 4-5 years to make sure the piece still has adequate insurance coverage.
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● Immediate Liquidation Value Appraisals
Divorce settlements and some types of estate dispersals may require this type of appraisal. Less common types of immediate liquidation value appraisals include probate and loan collateral appraisals. These usually reflect low values because of the situations that create their need. Values can be estimated at wholesale or in some situations much lower than wholesale.
Typical Jewelry Appraisal Costs
Appraisal services are charged a fee per piece, based on design, and stone count. Please contact us for more information.
How Can You Get the Most Accurate Jewelry Appraisal?
The best way to ensure you’re getting an accurate jewelry appraisal is finding a trustworthy appraiser. Characteristics of trustworthy jewelry appraisers are:
Good Credentials – A professional jewelry appraiser should be certified or titled by a respected national appraisal organization, like the National Association of Jewelry Appraisers. They should also have a Graduate Gemologist diploma from the GIA or its equivalent.
Broad Knowledge and Experience – A qualified jewelry appraiser must understand manufacturing techniques and recognize their contributions to the value of an item. A wide range of jewelry experience over several years will lead to a more knowledgeable appraiser. It’s also equally important for an appraiser to have solid experience in the appraisal business.
Choose Preusser Jewelers for All Your Jewelry Appraisals
If you need a professional jewelry appraisal in the Grand Rapids, Michigan area, visit Preusser Jewelers. Our staff includes a senior charter member of the National Association of Jewelry Appraisers and a GIA graduate gemologist. We have a long esteemed reputation of providing fair and accurate appraisals. Contact us for more information.