Wholesale diamonds are cheaper for a few reasons. First, they are sourced directly from diamond mines or cutting factories, which cuts out the middleman and allows the buyer to save on markup. Second, because they are sold in bulk, wholesalers can offer a discount on the per-carat price.

Loose diamonds aren't necessarily cheaper than their mounted equivalent, however, they have the advantage of offering buyers a 'complete view' – no inclusions hidden by prongs or color concealment against a setting. Buying a loose diamond online will be considerably cheaper than buying from a store.

Pro: You Can Get a Good Deal Buying a Diamond Online So, while there are no great deals in diamonds, online retailers and online custom jewelers like CustomMade can offer lower prices compared to a brick-and-mortar store, and comparable prices to places like Blue Nile or James Allen.

On that basis, are loose diamonds a good investment? Yes, there will always be a market for resale, but it's up to you to find a good diamond to invest in. Looking for a loose diamond as an investment? Contact a Diamond Expert at 866-727-0754 or learn more about Brilliance to get started.