I read this on a forum and thought I would share a summary...

When you are attempting to sell something on Craigslist (CL) you should expect a few things.

The price you get is determined on: 1) where you purchased your items, 2) the quality of your items, and 3) mostly what you are really willing to accept.

For instance, many people try to sell things that they have purchased at the malls for half of what they paid for.

No dealer in their right minds would purchase from these people.
****Why?****
Well, mall jewelry, is...how do you say it nicely?? COMPLETE AND UTTER JUNK!

Zales, Gordon's, Kevin Jewelers, Penny's and the like... they purchase mass produced items (mostly made in India and China) and sell them at a markup of between 10 to 20 times. Why do you think they can afford to have 50 - 99% off sales. The stones are commercial / very poor quality. Most of these mall stores bank on the fact that you will also finance your purchase... making even more money back in the end.

Okay, so you decide to sell your mall store purchase to a dealer. What will happen?

Well, the "1 carat diamond, K color I2" ring you purchased for $6,000.00 is, in reality, worth only $1,200.00 at best.

****What does this $1,200.00 mean?****
It means that if this dealer needed a ring like this for a client, he could call his wholesaler and get it for around $1,200.00.

****So how much will the dealer offer you?****
$500.00 - $700.00
Because why should he purchase something that he doesn't really need for a price that he can get pretty much any time he needs it?

In most cases, he'll purchase it from you for, let's say $600.00, and then sell it back to his wholesaler for around $900.00.
****Why doesn't he sell it to a client and make more money?****
Because the chances are low that someone will come into his store asking for a "K color I2 diamond."

Enough with mall jewelry.  Let's talk about what Grandma passed on to you.

You inherited Grandma's wedding band.
It's got 2 carats of diamonds (older cut) in Platinum.

You brought it to your local jeweler (who's probably not even a certified gemologist) who appraised it for $7,500.
He says that it's a beautiful ring and they don't make it anymore.
You walk out of the store thinking, "Damn, I got a small fortune!"

You decide you're not going to wear Grandma's ring and want to sell it.
You call up the jeweler who appraised it for $7,500 and ask if he wants to purchase it.
He says "no" because he's not in the position to buy it [at that price], and that you should try to sell it to individuals [not other jewelers or dealers].

****Why doesn't he want to purchase it?****
Well...unfortunately, there are jewelers that just really don't know what the hell they're doing...

I mean, first off, he appraised it way too high.
But you were happy with the results of the appraisal right?
How would you feel if he appraised it for $1,000? Definitely not as good as $7,500.

[[Let's say you weren't going to sell it and just wanted to insure it. A premium on $7,500 is much more than $1,000.  But what if you end up needing to make a claim and your adjuster says your ring was appraised too high and the pay out would only be $1,500. And all that time you were paying for a premium on $7,500...]]

Anyway, I digress.  Back to why the "appraiser" will not purchase your ring...
Because it's his job to make you feel better after he's done with the appraisal.
How would he look if he offered $1,000 for the ring he just appraised at $7,500.

[[Have you noticed that most jewelers that do appraisals will talk down on the jewelry you purchased from another jeweler; but they will always talk about how great your Grandma's ring is.  WHY?  Because he wants you to be his customer.]]

To get a closer idea of what your jewelry is worth, go to an expert that does only appraisals and not one that sells jewelry.

Now, you have a pound of gold and the dealer only offers you $1,000.00.
****Why?****
It's worth $1 MILLION, right???
WRONG.

The pound of stuff you brought in will have fake stuff, plated stuff, filled stuff, etc.

Why is it that the dealer will pay you $8.00 a gram when 14kt gold is intrinsically worth $13.00 a gram?
Well, do you think his rent is free?
His employees work for free?
He doesn't have to pay insurance, taxes or workers comp?

Let me ask you another question; you pay $3.50 for a venti-caramel-decaf-macchiato-soy-latte / "cup of coffee" at Starbucks when it intrinsically costs only $0.42.
That's definitely a much higher markup than buying gold at $8 and selling it for $12, don't you think?
Every business has inherent costs, so it is factored in the buying price.

Sellers, have an open mind before you sell.

And consider alternate selling methods.

Dealers will "rip you off."