“Over the next ten years, there will be a $10-$17 trillion transference of wealth from parents to the baby boomer generation,” says Randall Jones, CEO of Capital Publishing, publisher of Worth magazine. In addition to stocks, bonds and real estate, a big part of that transference will be in personal items, such as jewelry, but after the initial thrill of learning about the inheritance, questions will arise. What does one do with inherited jewelry? What steps must one take to ascertain its value and to protect it? The answers depend on what the recipient intends to do with the piece.
Most people receiving a precious memento choose to wear it and enjoy it. Some, however, may opt to sell the piece and buy something more to their liking. Still others may wish to keep the gemstones, but have the piece redesigned into a more contemporary style. All options are open, but there is one important step that must be taken with any inheritance of jewelry.
According to Lynn Ramsey, President of the Jewelry Information Center, a New York-based trade association, the first step is to have the piece appraised. This is necessary for insurance purposes as well as for possible sale, but where does one find a qualified appraiser?
The best way is to call a professional organization. Typically, these associations will suggest several qualified appraisers in the owner’s vicinity.
When choosing an appraiser, advises Jerry Ehrenwald, of the New York-based International Gemological Institute, “Don’t bring the jewelry to someone who may want to buy it or someone charging a fee based on the appraised value of the piece.” Either of these factors can color the value of the appraisal.
To get a fair and accurate appraisal report, tell the appraiser the purpose of the valuation. For example, if the appraisal is for insurance purposes, for liquidation purposes, or for its historical value.
A typical appraisal involves examining a piece of jewelry, photographing it, inspecting it for metal type, quality of construction, value and weight of gemstones, vintage and desirability in the marketplace, if the piece is going to be sold.
Fees should be calculated according to the number and nature of items to be evaluated, the complexity of the assignment, on a straight hourly rate or using a combination of those factors, says Ralph S. Joseph, author of “The Jeweler’s Guide to Effective Insurance Appraising.” The written appraisal should contain the following information: the reason for the appraisal, a description and photograph of the item, plot diagrams of important diamonds or gemstones, the valuation estimate, the name, signature and credentials of the appraiser.
For those wishing to have a piece restyled, it is best to consult a reputable jeweler who specializes in custom design or the redesign of estate pieces. However, it is important to understand that any alterations will destroy the historical integrity of the piece.
Where to find professional help
For a recommendation of qualified appraisers in your region, call one of these major associations:
4 National Association of Jewelry Appraisers, Annapolis, MD: 301-261-8270.
4 International Society of Appraisers, Seattle, WA; 888-ISA-4732.
4 American Society of Appraisers, New York, NY; 800-ASA VALUE.
4 American Gem Society, Las Vegas, NV; 800-346-8485.
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