Are Lab Diamonds Cheaper & Affordable
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Time to read 15 min
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Time to read 15 min
Content
While lab-grown diamonds are usually about 40-50% cheaper than natural diamonds for the same size and quality, the price difference can even be more pronounced regarding different stones. The more you would pay for a mined diamond, the more you save on the lab-grown one. Lab-grown diamonds do not require that costly mining process since production can be done in such a more efficient, monitored way that costs go down. Hence, consumers benefit from its cheaper price.
Lab-created diamonds may give you about $2,000-$5,000 worth of savings in every carat compared to natural diamonds. A 1-carat natural diamond that costs around $5,000 would have a lab-created equivalent that is worth only about $2,500-$3,000.
Laboratory diamonds are usually less expensive because they have a smaller supply chain and take less time to manufacture. The known production setting does away with the mining unpredictability and expense, while modern methods have significantly optimized the manufacturing procedure.
Resale value of laboratory diamonds virtually is lesser than the natural ones. Though they are cheaper at first acquisition, depreciation takes place much more quickly due to increased efficiency in production and competition in the marketplace making them consumer products rather than investments.
There is no reduced quality implied in the lower prices of lab diamonds. Lab-created diamonds possess identical value to physical, chemical, and optical property compared to natural diamonds. The price difference is on production costs, not the quality differences; both receive the same certification and grading.
Excellent quality lab diamonds commence from around $800-$1,000 for a perfectly cut 1 carat stone. Just like the natural diamonds, lab diamonds are also priced according to the same 4Cs namely cut, clarity, color and carat weight. The more the grade and the bigger the size, the cost would increase proportionately.
Indeed, the jewelry of laboratory diamond is significantly cheaper. The cost of an engagement ring made from lab diamonds is usually about 40% to 50% less than that of a similar natural diamond ring. Hence, a natural diamond ring worth $10,000 would have nearly 5,000 to 6,000 dollars as the pricing of a lab diamond.
Indeed, the lab diamond prices are on the decline as their manufacturing technology grows and there are several more entrants in the production sector. With years, the prices have lowered by around 20-30%, while natural diamond prices remained fairly unchanged in some instances but would surge in others.
Identical certification processes are undergone by lab diamonds like natural diamonds but to certify these diamonds costs less. Major gemological institutes like IGI and GIA reduce the grading costs for lab diamonds, which in turn culminates into a lower overall retail price.
The price of lab-made diamonds is determined by the 4Cs- cut, clarity, color, carat, as well as production costs, market demand, and production efficiency. They follow quality grading as natural diamonds, but their prices are much lower since production methods are controlled.