Many of my appraisal clients come in with pre-owned or estate jewelry pieces. These pieces need to be appraised at “fair market value” as opposed to retail value.
The fair market value is determined by the sale price in a market in which the item is most commonly sold to the public. In the case of an item that is generally retailed, the fair market value is the price at which the item or a comparable item would be sold at retail.
To determine fair market value (used jewelry), I conduct diligent research of comparable jewelry pieces that have record sales in the secondary market, such as: auction hammer prices, diamond dealers, consignment stores and estate dealers.