Lab grown diamond buying guide

How are lab grown diamonds made?

Lab-grown diamonds are diamonds… that alone may be difficult to get your head around! But let me explain. They are diamonds that are just grown in a laboratory setting rather than being mined from the earth. These diamonds are chemically and physically identical to natural diamonds, they are produced through processes that are set to mimic the natural conditions that create diamonds.

The process of growing diamonds in a laboratory setting involves creating the same high-pressure, high-temperature conditions that occur deep in the earth's mantle, where diamonds are formed over millions of years. A small diamond or carbon “seed” is placed in a chamber that is filled with a mixture of gases, and then it is heated to temperatures of over 1,000 degrees Celsius. The gases in the chamber are ionised, and the carbon atoms in the gas begin to settle on the diamond seed, causing it to grow. Another method for growing is Chemical Vapour Deposition, or CVD - check out HPHT vs CVD.

Lab-grown diamonds can be produced in a matter of weeks or months, compared to the millions of years it takes for natural diamonds to form. This means that lab-grown diamonds can be produced at a much lower cost and higher rate than mined diamonds, making them more affordable for consumers. Additionally, lab-grown diamonds are often considered to be a more environmentally friendly option than mined diamonds, as they require fewer resources and do not result in the environmental damage caused by mining.

Can you tell the difference between a lab grown diamond and a natural diamond?

There are some differences between lab-grown and natural diamonds. While lab-grown diamonds are physically and chemically identical to natural diamonds, they may have different types/shapes of inclusions or growth patterns due to the different growth environment. However - if you stick to a higher level of clarity when buying a lab diamond, not even your average jeweller will be able to spot the inclusions using a magnifying loupe - meaning zero visual difference with a natural diamond of the same spec; to the naked eye it would be impossible to tell. Check out how to tell the difference between a lab grown diamond and a natural diamond for more information.

Value of lab grown diamonds. Do lab grown diamonds have a resale value?

In terms of value, lab grown diamonds can be anywhere from half the price to a 10th or more of the price of a natural diamond of the same specification. Lab grown diamonds though do not hold as much value, if any, compared to a natural diamond. There isn’t a resale market for them and they are not a finite resource, meaning no jeweller has the desire to buy it back from you. They will also get cheaper as time goes on as the market gets more competitive. Saying that, you will always lose money reselling a natural diamond unless you buy an investment diamond (don’t confuse the insurance valuation with the actual value). It’s about working out what’s best for you, take this an an example: If the big diamond you would want to buy is $25,000, and the lab equivalent is $5,000. If you resell the natural diamond in 10 years, you will likely lose at least 30% or $7,500. So even if you got $0 trying to resell the lab diamond, you still wouldn’t lose as much overall, plus you’d have $20,000 of capital to invest in other areas of your life. So although natural diamonds do maintain some value for now, always expect to lose a fair amount of money if you ever have to resell it. Overall, lab-grown diamonds offer a more affordable and more environmentally friendly option for consumers who are interested in buying a diamond. However, it is important to consider all the differences between lab-grown and natural diamonds when making a purchase decision - whatever feels right for you is the answer!

Pros & Cons of buying a lab grown diamond

Pros

• Potential to buy a bigger and higher specification diamond than your budget would allow if buying a natural. Especially if your partner has her heart set on a big rock like she’s seen in the age of Instagram and TikTok.

• Save a big amount of money if you’re set on getting a certain size/weight of stone. For example getting a 2ct diamond for a 5th of the price.

• Not tying up lots of capital in a natural diamond. Invest in other things or take a holiday.

• More environmentally friendly

• Achieving your dream ring on a budget. No need to resell or upgrade in future.

Cons

• Expect a $0 resale until a resale market develops. However you shouldn’t go into an engagement especially expecting to resell anyway!

• Doesn’t have the “romance” of a natural diamond some may desire.