GEM OF A BUSINESS
Bellaire gemologist Steve Silver says his appraisal business is booming as people look to sell jewelry for extra cash during the pandemic-induced recession.
Steven Silver can’t recall being this busy since he opened his jewelry appraisal business 26 years ago.
With gold prices hitting record highs and hard times forcing more people to sell jewelry during the pandemic-driven recession, customers are flocking to his Jewelry Appraisal Services in Bellaire. July sales jumped 30 percent from year earlier after June sales surged 50 percent.
“A lot of people are struggling right now,” said Silver, a gemologist, “and a lot of people are looking to sell jewelry.”
The pandemic is driving business in other ways. Some of the increase in sales comes as more people die from COVID-19 and jewelry needs to be appraised to help value estates.
In addition, as people spend a lot more time at home, they are finding time to sort through heirloom jewelry and get it appraised. As an added incentive, the price of gold has shattered previous records as investors pour money into what is viewed as a safer investment during troubled times.
“Having jewelry appraised has always fallen to the bottom of people’s list, but it seems to be floating to the top more than ever before,” Silver said.
The price of gold hit a new record in July, when it raced above $1,900 per ounce. On Friday, the precious metal was trading above $2,000 ounce, up about 12 percent over the last 30 days and 29 percent over the last six months, according to Kitco.com, which tracks gold prices.
Rex Solomon, owner of Houston Jewelry and past president of the Texas Jewelers Association, said gold prices go up during unstable times — when many look to preserve their wealth by buying gold for fear that the flood of money pumped into the economy by the central banks around the world will erode the value of U.S. dollar and other currencies.
“Because there’s a very real crisis going on worldwide and gold is the historic place of safety,” he said. “Even when controlling for inflation, prices are near an all-time high.”
Solomon said that Silver is one of the appraisers his store recommends to its customers. It makes perfect sense, he added, that Silver would see a jump in his business.
“With the rise in metal values, people should be updating their appraisals,” Solomon said.
Silver started out in the jewelry business by working at his uncle’s store in 1978. He developed a passion for working with jewelry, but the tedium of maintaining showcases, high-brass security and employees on the retail side lost its luster.
He saw a gap in the city’s appraisal business, and so, in 1994, he left the family business to open an appraisal shop in the Galleria area. Five years ago, he moved his operation to the Frost Bank building in Bellaire.
“Every day is different,” he said of his work. “You don’t know what somebody’s going to bring in the door.”
Silver became a gemologist by completing a three-year home study program and gaining certification from the Gemological Institute of America. To determine the value of jewelry, appraisers must consider several variables, including the weight of each precious metal, the type, cut and shape of the gem, and the popularity of its style at the time.
Silver uses specialized scales and microscopes, and consults price guides available through trade sites.
One customer, Marsha Sweeney of Houston, said her mother died about 18 months ago and left more jewelry than Sweeney could use. With gold prices so high, she decided to sell, and last month she took the jewelry to Silver’s shop for an appraisal.
She said she’s gone to Silver in the past and trusts his honesty and skill to get an accurate estimate of what jewelry is worth.
“There’s a reality check when you go to Steve (Silver),” she said. “He’s real; he tells you the real story.”
And who wouldn’t trust a gemologist named Silver, a coincidence that Silver said often prompts questions if that, indeed, is his real last name.
“If I’d have changed it,” Silver said, “I would have said, ‘Diamond.’ ”