Massively overpriced ring

Sandtree

TELLIT01 said:

Sandtree said:

bris said:

TELLIT01 said:

More as a matter of interest than anything else, but why did they take the ring to an auction house for valuation just a couple of days after purchasing it?  Auction houses are generally pretty conservative in their estimations.

Not really conservative no, just more accurate.

Auction houses know the real value not the highstreet retailers value, a high st retailers markup is huge.

The auction house knows the value by looking at the weight and quality of the stone, the weight and value of the gold and adding them together. They work on scrap value unless it's a known designers make which will add a significant amount to the value but ultimatlely decided on what someone is willing to pay.

Bottom line is if you get something from a high st retailer never go looking for it's true value.

Scrap value isn't the normal way that things are priced... buy a secondhand car at auction and you will pay a lot more than the scrap value for the majority of vehicles. I'm not even sure if its the normal way of pricing jewellery for auction, certainly seen items go both well above their scrap value and what is potentially below it too. 

Gold and other jewellery will often be valued at its pure 'melt' or scrap value by auction houses.  You can't sensibly compare the way jewellery is priced with used cars.

Scrap value provides an obvious lower bound, though with fees to be paid on top of the hammer price it would be more sensible that the valuation was below scrap. 

I am not sure why there would be no value in the design/make etc for jewellery where clearly every other item sold at auctions (cars, furniture, art, clothing) isn't priced purely on value of raw materials... most are priced much higher than the value of their raw materials so why would it be suggested that jewellery isn't? 

lincroft1710

Sandtree said:

TELLIT01 said:

Sandtree said:

bris said:

TELLIT01 said:

More as a matter of interest than anything else, but why did they take the ring to an auction house for valuation just a couple of days after purchasing it?  Auction houses are generally pretty conservative in their estimations.

Not really conservative no, just more accurate.

Auction houses know the real value not the highstreet retailers value, a high st retailers markup is huge.

The auction house knows the value by looking at the weight and quality of the stone, the weight and value of the gold and adding them together. They work on scrap value unless it's a known designers make which will add a significant amount to the value but ultimatlely decided on what someone is willing to pay.

Bottom line is if you get something from a high st retailer never go looking for it's true value.

Scrap value isn't the normal way that things are priced... buy a secondhand car at auction and you will pay a lot more than the scrap value for the majority of vehicles. I'm not even sure if its the normal way of pricing jewellery for auction, certainly seen items go both well above their scrap value and what is potentially below it too. 

Gold and other jewellery will often be valued at its pure 'melt' or scrap value by auction houses.  You can't sensibly compare the way jewellery is priced with used cars.

Scrap value provides an obvious lower bound, though with fees to be paid on top of the hammer price it would be more sensible that the valuation was below scrap. 

I am not sure why there would be no value in the design/make etc for jewellery where clearly every other item sold at auctions (cars, furniture, art, clothing) isn't priced purely on value of raw materials... most are priced much higher than the value of their raw materials so why would it be suggested that jewellery isn't? 

Jewellery is a very personal item. Excluding the obvious high end designer items where there is clearly intrinsic value, the secondhand value is often little more than scrap value. If this was not the case, then why is so much jewellery sold to be melted down?

grandadgolfer

Sandtree said:

TELLIT01 said:

Sandtree said:

bris said:

TELLIT01 said:

More as a matter of interest than anything else, but why did they take the ring to an auction house for valuation just a couple of days after purchasing it?  Auction houses are generally pretty conservative in their estimations.

Not really conservative no, just more accurate.

Auction houses know the real value not the highstreet retailers value, a high st retailers markup is huge.

The auction house knows the value by looking at the weight and quality of the stone, the weight and value of the gold and adding them together. They work on scrap value unless it's a known designers make which will add a significant amount to the value but ultimatlely decided on what someone is willing to pay.

Bottom line is if you get something from a high st retailer never go looking for it's true value.

Scrap value isn't the normal way that things are priced... buy a secondhand car at auction and you will pay a lot more than the scrap value for the majority of vehicles. I'm not even sure if its the normal way of pricing jewellery for auction, certainly seen items go both well above their scrap value and what is potentially below it too. 

Gold and other jewellery will often be valued at its pure 'melt' or scrap value by auction houses.  You can't sensibly compare the way jewellery is priced with used cars.

Scrap value provides an obvious lower bound, though with fees to be paid on top of the hammer price it would be more sensible that the valuation was below scrap. 

I am not sure why there would be no value in the design/make etc for jewellery where clearly every other item sold at auctions (cars, furniture, art, clothing) isn't priced purely on value of raw materials... most are priced much higher than the value of their raw materials so why would it be suggested that jewellery isn't? 

You put a load of gold chains worth £1000 scrap in auction and they will probably sell for £750-800 add the commission on 20% and buyer might make £60-£100 quick profit at "Got Gold Get Cash" 

FeaturelessVoid

Sandtree said:

TELLIT01 said:

Sandtree said:

bris said:

TELLIT01 said:

More as a matter of interest than anything else, but why did they take the ring to an auction house for valuation just a couple of days after purchasing it?  Auction houses are generally pretty conservative in their estimations.

Not really conservative no, just more accurate.

Auction houses know the real value not the highstreet retailers value, a high st retailers markup is huge.

The auction house knows the value by looking at the weight and quality of the stone, the weight and value of the gold and adding them together. They work on scrap value unless it's a known designers make which will add a significant amount to the value but ultimatlely decided on what someone is willing to pay.

Bottom line is if you get something from a high st retailer never go looking for it's true value.

Scrap value isn't the normal way that things are priced... buy a secondhand car at auction and you will pay a lot more than the scrap value for the majority of vehicles. I'm not even sure if its the normal way of pricing jewellery for auction, certainly seen items go both well above their scrap value and what is potentially below it too. 

Gold and other jewellery will often be valued at its pure 'melt' or scrap value by auction houses.  You can't sensibly compare the way jewellery is priced with used cars.

Scrap value provides an obvious lower bound, though with fees to be paid on top of the hammer price it would be more sensible that the valuation was below scrap. 

I am not sure why there would be no value in the design/make etc for jewellery where clearly every other item sold at auctions (cars, furniture, art, clothing) isn't priced purely on value of raw materials... most are priced much higher than the value of their raw materials so why would it be suggested that jewellery isn't? 

The fact that you don't get "it" doesn't mean it isn't a thing.

I don't wear jewellery but I do understand not wanting to wear other people's jewellery.

Just the same way that some don't like wearing other people's clothes, or drinking out of their cups etc.  There is the other obvious element that jewellery is, at least to an extent art, and one person's Mona Lisa is the other person's Scream.

If it has no intrinsic value then surely the only value it has is as scrap?

CKhalvashi

lincroft1710 said:

Sandtree said:

TELLIT01 said:

Sandtree said:

bris said:

TELLIT01 said:

More as a matter of interest than anything else, but why did they take the ring to an auction house for valuation just a couple of days after purchasing it?  Auction houses are generally pretty conservative in their estimations.

Not really conservative no, just more accurate.

Auction houses know the real value not the highstreet retailers value, a high st retailers markup is huge.

The auction house knows the value by looking at the weight and quality of the stone, the weight and value of the gold and adding them together. They work on scrap value unless it's a known designers make which will add a significant amount to the value but ultimatlely decided on what someone is willing to pay.

Bottom line is if you get something from a high st retailer never go looking for it's true value.

Scrap value isn't the normal way that things are priced... buy a secondhand car at auction and you will pay a lot more than the scrap value for the majority of vehicles. I'm not even sure if its the normal way of pricing jewellery for auction, certainly seen items go both well above their scrap value and what is potentially below it too. 

Gold and other jewellery will often be valued at its pure 'melt' or scrap value by auction houses.  You can't sensibly compare the way jewellery is priced with used cars.

Scrap value provides an obvious lower bound, though with fees to be paid on top of the hammer price it would be more sensible that the valuation was below scrap. 

I am not sure why there would be no value in the design/make etc for jewellery where clearly every other item sold at auctions (cars, furniture, art, clothing) isn't priced purely on value of raw materials... most are priced much higher than the value of their raw materials so why would it be suggested that jewellery isn't? 

Jewellery is a very personal item. Excluding the obvious high end designer items where there is clearly intrinsic value, the secondhand value is often little more than scrap value. If this was not the case, then why is so much jewellery sold to be melted down?

I have to agree with this. Most jewellery I own has been bought at a specific wholesale/dealer market outside the UK where I've always looked at a price per gram of metal and any stones.

Very good price compared to shop prices, but I doubt anything is worth a retail price as a second hand item.

Flight3287462

De Beers has made a fortune convincing couples to part with shed loads of money for overpriced stones.