Do’s and Don’ts of Investing in Jewelry

The idea of investing during a time of crisis might be the last thing on most peoples’ minds. But any economic situation does not get in the way of a true investor. If you are an investor who wants to capitalize on the market, there are opportunities to be exploited even during a time of crisis. It is all about identifying the right type of investments during tough times so you can make the right moves. Jewelry buyers in Colorado Springs are looking at the current economic crisis as the best opportunity to make an investment in jewelry. Long known to be a solid investment product, there are more reasons why it makes sense to invest in jewelry at this time.

Why Invest in Precious Metals?

Tips when investing in jewelry (Image Source: Unsplash)

Precious metals, such as gold and jewelry, have long been regarded as solid investments in the market. Whether or not there is an economic crisis, this kind of investment is widely known for its ability to retain its value even during periods of uncertainty.

Silver and gold are two precious metals that have performed well historically during recessions. If you want to invest but are afraid of the risks involved, then it makes sense to invest in precious metals right now.

Another advantage of investing in precious jewelry is that you get to enjoy them twice. First, owning a piece of precious jewelry will give your wardrobe a major boost. You can wear the jewelry on special occasions to add extravagance to your ensemble. Second, these precious jewelries can serve as a worthy portfolio of assets under your name. Unlike other things you buy, it appreciates with time and holds its value, regardless of the economic conditions. While it is not a completely fail-proof investment, jewelry buyers in Colorado Springs would be happy to know that it provides an anchor of stability to their investment portfolio.

Do’s of Investing in Jewelry

Investing in jewelry is not as straightforward as it seems, especially when dealing with precious metals. Below are some of the tips you have to keep in mind when investing in jewelry:

Guide to buying jewelry as an investment (Image Source: Unsplash)

• Do choose vintage and antique jewelry. Vintage pieces are highly favored by buyers because they tend to hold a higher market value. In addition, there is a certain appeal to the idea of buying jewelry pieces that you won’t find elsewhere. The rarity combined with the accumulated value of the jewelry item through time makes it a worthwhile investment. There is also a market for jewelry buyers in Colorado Springs who are looking for antique and unique vintage pieces. The rarer an item is, the higher its value.
• Do buy jewelry with an individual character and style. This is somewhat related to the tip above that focuses on the rarity of each piece. When you have a piece of jewelry that is unique and is not available elsewhere, you can expect its value to rise. If you believe you have a rare piece of jewelry in your hands, hold on to it. You can then sell it later for a higher value than what you bought it for.
• Do buy second-hand jewelry. If you buy brand new jewelry, you should expect to pay for its full market price along with VAT (which is sometimes 10% of the value of the item itself). Aside from being less expensive than brand new pieces, second-hand jewelry also tends to be more unique. The item is available on a per-piece basis and is therefore coveted by collectors. On the other hand, new jewelry items are often manufactured and sold in batches so you will find plenty of similar pieces in the market.

Don’ts of Investing in Jewelry

Knowing the best practices for investing in jewelry is not enough. You must also be aware of the things you need to avoid so you can maximize your investment.

• Do not buy jewelry if you are thinking of it as a short-term investment. It is not something that you buy and then expect a huge return from within a short period of time. In some cases, investing in jewelry means keeping it in your possession for many years, sometimes even decades! It is important to choose your jewelry wisely, specifically the style and the brand. You need to buy ones that are durable so that you can still get value out of them even if you sell them after a decade.
• Do not buy brand new pieces of jewelry. The rare and antique ones tend to rank higher in terms of market value. In addition, new jewelry prices come with marked up prices. Another downside to investing in new jewelry pieces is that their value will also depreciate faster. Most jewelry items require years in order to get the price back of what you initially bought it for. This goes back to the tip above: do not expect a short-term return on jewelry. If you rush it, then you could suffer from an erosion of value.

Why should you invest in jewelry? (Image Source: Unsplash)

##Best Option for Jewelry Buyers in Colorado Springs

Thinking of investing in jewelry? Lane Mitchell Jewelers can help you out! Whether you want to buy or know where to sell gold in Colorado Springs, you can get the information you need on our website. Start here if you have any precious gold jewelry that you wish to sell.

If you want to get started on investing in precious jewelry, you can find a wide range of jewelry options on our website. We offer all kinds of precious metals such as platinum, silver, white gold, yellow gold, and rose gold. Lane Mitchell Jewelers has been in business for over four decades. Throughout these years, we have delivered exceptional customer service to our clients.

If you would like to know more about our jewelry options, call us at (719) 632-1170. If you wish to sell, we can provide expert jewelry appraisers in Colorado Springs to determine the market value of your jewelry pieces. This is how you can guarantee that every piece of jewelry is valued honestly and accurately. If you have further questions, you can reach us by email at lanejewelers@gmail.com.