How Much Are Diamonds Worth?

Diamond prices are complicated. Their true value is determined by dozens of factors. At least
that’s what they often tell you. It’s true, but it really doesn’t have to be that complicated.
In this guide I’ll give you the all tools you need to calculate how much a diamond should cost,
how much a diamond is worth – because as you probably know by now the two are not the
same. If there is one thing I learned during the past 14 years in the industry is that value and
price are not the same. Far from it.
Diamond Price Chart
Actual Diamond Prices

I may very well recommend a different diamond for each individual based on his/her
specific needs (and I will explain below along with more actual diamond prices).
But since the reality is that 1 carat diamond prices range from $1,900 to $16,000 and 2
carat diamond prices range from $8,000 to $84,000 which is a HUGE difference so as a general
rule of thumb, in today’s market, my recommendation for best value for money
diamond would be G color, SI1 clarity, no fluorescence and at least very good cut, and very
good polish & symmetry. Needless to say that all of the above prices refer to GIA certified
diamonds
Clicking on the recommended diamond pricing will display a gallery of suitable
diamonds. Diamond prices are complicated. Their true value is determined by dozens of factors.
At least that’s what they often tell you. It’s true, but it really doesn’t have to be that complicated.
In short… A diamond’s value is set by its appeal. Trying to regulate the industry and create a
standard for diamond comparison, a methodology of diamond grading was set by the GIA and it
is called the 4 C’s of diamonds. The 4C’s stand for - Cut, Color, Clarity and Carat. As I
mentioned above, in reality it is more complicated than that and as diamond dealers we look on
dozens of factors but this grading system does do the trick in providing good estimates for the
diamond’s value by enabling us (and you) to compare similar diamonds.
The only thing missing is a chart that states how much does a diamond cost? How much is
it worth? And here to fill in the void entered Martin Rapaport who invented the diamond price
chart (sometimes also referred to as the diamond price list or diamonds price index). We’ll dwell
into the diamond price chart below and I’ll explain how to use it and more important what are the
chart’s flaws. But before that, below you’ll find our diamond price calculator which will give
indication as for current diamond prices (unlike in the chart which is a pricing index).

Diamond Price Calculator

Whether you are trying to assess the value of your diamond or looking for a diamond
engagement ring and wonder how much a diamond is worth, this diamond price calculator is
perfect for you. We are analyzing hundreds of thousands of diamonds and by clicking the
search button you will get all of the information you need
The price calculator's defaults are set to 1 carat round diamond, G color, SI1 clarity with
excellent cut and no fluorescence. Without additional information, this is the best "out of the
box" most cost-effective diamond to buy - the diamond with the best value.

How to Get the Best Diamond Value for the Least Amount of Money?
Now, I will not tell you (or sell you) that you can buy the same diamond for 50% less - it’s simply
impossible (though there is a way to save about 20% which I’ll reveal at the very end of this
article). But I will tell you how to buy a similar looking diamond, one that you cannot tell the
difference for 50% less – that is doable!
When professional diamanters are evaluating a diamond, they look at more than a dozen
attributes. BUT, with all the respect, these are things that even when diamonds are placed one
next to the other – you won’t be able to tell the difference. Not to mention when the diamond is
mounted. So why pay extra for things you cannot see?
Here are my tips and they work whether you are looking for a 1 carat diamond ring, a 2 carat or
half a carat:

Go Below Weight Classes

 If you are looking for a 1 carat diamond, consider 0.95ct. If 2.0 carat, consider 1.90ct.
Same goes for fracture - if you were looking for half a carat then consider 0.45ct etc.
Since diamond weight is one of the biggest and easiest ways to reduce costs - I've
dedicated an entire section explaining the price per carat system at the end of this
article. For now I'll just say that diamonds are priced per carat AND the price per carat
increases as the weight goes up - this means "double" increase. The result is that while
a good quality 1 carat diamond will cost $6,000, the same quality diamond weighing
0.90-0.95 carat will cost about $4,000! That’s 33% discount!

1. Diamond Color

Diamond color refers to how colorless the diamond is. D color is the ideal, the highest
grading and Z is the lowest. On colors I and below you’d already start seeing yellowish
tint. But unless you have superman’s vision you won’t be able to tell D color from an F
color diamond or even my recommendation G color diamond. And the savings on a 1
carat diamond? 15%

2. Diamond Clarity

Diamonds are not perfect and clarity refers to the inclusions within them. There are
various types of inclusions from black points to fractures. The grading tells us how big
and how visible these inclusions are.
Our goal should be getting diamonds with inclusions that are not visible to the naked
eye, that unless a magnifying loupe is used you won’t be able to see them. This means
we are aiming to an SI1 clarity diamond. And the savings compared to a Flawless
diamond – 50%

3. Diamond Shapes

Are you familiar with the saying don't be square? Well here I'm saying the opposite.
Round diamonds are far more expensive than other shapes such as oval, cushion cut
and even princess cut. Below you'll find two examples of GIA 1 carat diamonds with G
color and VS2 clarity. One is round and costs $6,300, the other is a cushion cut and it
costs $3,500

1. Diamond Cut - Never Settle

This is where we don’t save! It is the only place where we tell you to make the extra
effort and pay for an excellent cut diamond. The premium is not that high and we LOVE
diamonds that sparkle!The bottom line – a 1 carat round D Flawless diamond would cost
$12,500 - $15,000. And a 1 carat round diamond like the one I recommend, A G color,
SI1 Clarity and Excellent cut would cost $6,000. (and a cushion cut about $3,500)

What is the Diamond Price Chart?

The diamond price chart, also known as Rapaport Price List or just “The List” is a matrix that
provides a benchmark to a diamond’s value based on its 4 C’s.
Since a matrix is two dimensional and there are 4 C’s then there are several price charts – each
is of a weight group. Also, Cut, even though often considered as most important C is not in the
chart but is given weight by discounting diamonds that are poorly cut.
Here is the Rapaport price chart for round diamonds weighing 0-5 carats:
As you can see, each cube / each matrix represents a weight class. On the left you have the
diamond’s color and on the top you have the diamond’s clarity. To know the diamond's value,
find your weight class's matrix, crosscheck the row of your color with the column of your clarity
and you get the result. Just note that the results are in hundreds. Meaning that 89 is actually
$8,900. Also, more importantly, diamond prices are per carat! A system that has its own
disadvantages, or advantages if you know how to use it (explanation below).
The Hidden Dangers in the Diamond Price Chart
The problem with the diamond price chart is not what’s in it but rather what’s not. People tend to
rely too much on the chart not knowing its limits. Consider the following two diamonds below –
which do you like better?
Both diamonds above have the exact same certificate - both are 1 carat diamonds, G color,
excellent cut with vs2 clarity and… The diamond price chart puts them both under the same
value. However, given the black inclusion in the center of the table of the right diamond, I
assume you’d prefer getting (or giving…) the one on the left. But, as you can imagine, you are
not the only one to prefer the diamond on the left and therefore its value is indeed higher. The 1
carat diamond on the left costs $7,600 and the diamond on the right costs $6,500...
As seen above, not all VS2 diamonds are alike and priced alike. And this is a problem that was
caused by something that does get representation on the chart. What about attributes that are
not on the chart?

1. Cut Quality

Cut is interesting and many claim it’s the most important of the 4 C’s and for a simple
and logic reason – you want a diamond for its brilliance and sparkle. If its poorly cut –
who cares of its color or even size? When considering diamond cut, aside for its
measurements like depth and table size, you should also take into account polish &
symmetry. The difference between a poorly cut diamond and an excellent cut diamond
can be 30% when all other factors are the same. The diamond here is yet again 1 carat,
G color, vs2 clarity only this time with Poor cut grading. The value now is $5,400
 2. Fluorescence
Diamond fluorescence refers to a bluish glow some diamonds reflect under UV light.
Since it is considered a flaw, a defect, a medium to strong fluorescence reduces the
price of 10-20%.
3. Certificate / Lab
A diamond’s certificate is often referred as a 5th C. All of the above are true only if you
know what you have or what you are looking at – and you should not trust the dealers
word or expertise. When it comes to the certificate, you should only consider GIA. To
make the point clear, when it comes to EGL vs GIA certificates – an EGL diamond may
sell for as much as half the price of an equivalent GIA diamond.
Current Diamond Prices
Below you’ll find a list of actual diamond prices. These prices are of diamonds of the highest
value, diamonds that are:

1. Excellent Cut
2. Excellent Symmetry
3. Very Good / Excellent Polish
4. No Fluorescence
I chose these attributes both because in it is the only way to truly compare diamond prices
and because in today’s market you may not want to waive these qualities. With that in mind, you
can always reduce the price by waiving a few of the above, the easiest and least affecting on
appearance that does impact the price is the fluorescence. Going to a faint to medium
fluorescence will reduce the price by 5-15% and at the same time, may actually cause the
diamond color to appear whiter (a positive side effect of fluorescence).
You should also remember that these are prices of loose diamonds. The cost of the ring will
set you back by another $300-$2,000 depending on whether you are going for the classic
solitaire or a more expensive mount like a double halo and whether you go with gold or platinum
(and even double if you're buying a designer ring).
Take a look at these beautiful two 1 carat rings from James Allen:
1 Carat Diamond Prices
1 carat diamonds are as classic as it may get when it comes to engagement rings. In fact,
considering that the average engagement ring for the last few years is just beneath $6,000, 1
carat diamonds are probably as high as you can go.
1 carat Diamond Price Table
The marked cell of a 1 carat diamond for $6,000 with G color and SI1 clarity is my
recommendation for best value for money diamond. It provides a good white diamond color that
will work with both white gold and yellow gold and is basically as good as the eye can see.
The affordable alternative to a 1 carat diamond would be running a wider search of diamonds
weighing 0.90-0.99ct that are still cut very good to excellent but may include fluorescence. This
search will get you a very similar looking diamond for approximately $4,350! And if you are
going for yellow gold setting you can drop to H color diamond at $4,000.
2 Carat Diamond Prices
In recent years with the economic depression and the drop in demand for luxury goods, prices
of diamonds declined (at least for a while) - especially in such in bigger more expensive
diamonds. As a result, the prices of 2 carat diamonds had decreased dramatically, in some
cases 30% (though still very expensive) - So there was no surprise that we started feeling a
stronger demand for 2 carat diamond rings.
To answer the question of how much a 2 carat diamond costs, check the chart below:

In order to make it easier, the above price chart is of total diamond prices and not per carat.
Since these are 2 carat diamonds and the price steps are HUGE price wise, I’ve recommended
three options. For $21,000 you get 2 carat diamond G SI1 - again the best value for money.
However, due to the differences you may very well consider H SI1 or G SI2. Keep in mind that
the SI2 diamond may not be “eye clean” – especially in a 2 carat diamond. This needs to be
verified.
On the affordable side of 2 carat diamonds, dropping to 1.80-1.90 carat diamond and allowing
fluorescence may get you a G SI1 for $14,000-$15,000!
I don’t know if you’ve noticed, but my recommended 2 carat diamond costs more than three
times than the equivalent 1 carat diamond. There is a reason for that. For even better bigger
savings, an advanced course if you will, if you are willing to break the mold of buying a perfectly
weighing 1 carat diamond or a 2 carat diamond and buy slightly smaller carat diamonds like
0.90 carat or a 1.90 carat for an extra 10-20% discount - keep reading!
What Does Diamond Price Per Carat Mean?
Price per carat is the price of the diamond divided by its weight
The practical explanation is that if you see a diamond that is priced $5,000 per carat and it is
half a carat what you'll need to do is 0.50 * $5,000 = $2,500 for the diamond. And if the same
diamond that costs $5,000 per carat weighs 1.50 carat then it means 1.50 * $5,000 = $7,500 for
the diamond.
Comparing Prices of Apples to Apples and Diamonds to Diamonds
It may sound confusing or you may wonder why diamonds are priced this way but this is
basically the same as fruits and vegetables are priced per lbs… This is extremely important
because not all diamonds are the same and therefore should not be priced the same and the
price per carat method allows you to better compare between two different diamonds.
Consider the following example - A man walks to the store looking for an engagement ring to his
future wife. He sees a beautiful classic solitaire ring with a center diamond weighing 1.10 carat
with D color and VS1 clarity for $10,200. Later, as he walks down the street he sees another
store with the same ring only that the center diamond is 1.02 carat and they want $10,000.
Assuming that all other factors are the same, if we'll ignore the cost of the ring itself (which
should not cost more than $500) we will see that while the first diamond is about 8% "bigger" it
costs only $200 more which is equivalent to 2%. This means that the bigger diamond is the
better deal. He pays a bit more and gets a lot more…
Weight Matters!
It is important to know and understand that prices of diamonds increase with their scarcity. The
rarer the diamond the more expensive it is. A high diamond color diamond costs more than a
low color diamond not just because it is better color - but also because these are extremely hard
to find. Same goes for large diamonds. It is by far harder to find a gem quality diamond weighing
2 carats than a similar diamond weighing 1 carat.
As a result, the price per carat of a 2.00 carat diamond is higher than the price per carat of a 1
carat diamond. In other words, two 1 carat diamonds cost less than one 2 carat diamond - in
fact - far less...
How to Reduce Diamond Prices using the Price Per Carat System?
Let me ask you the following question – Would you rather buy a 1.00 carat diamond or a 0.99
carat diamond for 1% less? Same question regardng a 2.00 carat diamond and a 1.99 carat
diamond for 0.50% less?
DIAMOND EDUCATION
 4 C's of Diamonds
 Diamond Color Chart
 Diamond Cuts & Shapes
 Diamond Prices
 Diamond Carat
Most people would rather walk the extra mile (or pay the extra 0.50%-1%) to get a round weight
number diamond or more correctly not to get the "just below" carat weight.
This is why ontop of what we mentioned above about the scarcity of diamonds causes higher
prices, while diamonds are in fact priced per carat, the price per carat changes between weight
steps or weight classes and as a result the prices of diamonds are not increasing linearly but
rather exponentially - supply and demand. Meaning, that the price per carat of a 1 carat
diamond is higher than the price per carat of a 0.99 carat diamond and thus the increase in total
price is more than the 1% of the weight - much more.
Example with actual diamonds…:
At the time of writing these lines a 2 carat D VS1 diamond costs $40,000-$42,000 total,
approximately $20,000 per carat.
A 1.90 carat D VS1 diamond costs $30,000 - which is $15,800 per carat - more than 20% less
per carat and more than $10,000 total!!!
And in case you wonder, I doubt if you could find a 1.95 carat diamond because the price
difference is so HUGE that the diamond manufacturer would rather settle on the cut quality than
dropping from 2.00 carat to 1.95 - this "drop" will cost him $10,000... And the diamond cutter's
goal is not the brightest and most brilliant diamond but rather the most valuable one.
Carat Does NOT Mean Size!
Heavy men are not necessarily bigger. On the same note, heavy diamonds are not necessarily
bigger! Just keep this in mind that "settling" on a diamond carat that is slightly less than
originally intended (a "lighter" diamond) does not mean that it is smaller.
And therefore - my advice to you, if you are on a budget (and we all are), instead of settling on
other factors of the 4 Cs (such as diamond color), you can step a little below the weight class
that you had in mind and save A LOT of money. The weight steps which have an effect on the
price per carat are: 0.50 carat, 0.75 carat, 1.00 carat, 1.50 carat, 2.00 carat, 3.00 carat, 4.00
carat, 5.00 carat and so on. On September 25th 2020, a 9.07 carat diamond was found, the
second largest diamond to ever being found at the Crater. There is very little that is known
about this diamond at the moment. But a mid-level quality 9 carat diamond would be worth
around $100,000-$250,000.
However, considering that a diamond can easily lose about 50% of it’s weight during the
polishing procedure, it brings us to a 4.5-5.5 carat diamond which would place this specific
catch in the $40,000-$60,000 price range.