Carats (abbreviated to ct.) are units of weight used to measure diamonds and other precious stones. It has a direct correlation with price and is one of the key factors considered when valuing a stone. The simplest equation used to determine the price of your diamond is:

*Diamond Price= Price per Carat x Carat Weight*

Of course, it’s not quite *that* simple. There are other factors that need to be taken into consideration when pricing a diamond. But carat weight is a great starting point for assessing your diamonds’ value.

**Why does carat weight affect price? **

The larger the stone, the rarer and therefore more more valuable it is. Another way to understand this phenomenon is if you imagine one 1.00ct diamond and four 0.25ct diamonds next to each other. Even though they have the exact same total carat weight, the single diamond will cost exponentially more, because it is rarer than each of the smaller stones combined.

**How does carat weight affect price?**

One thing that can be confusing when establishing the price of your diamond is that carat weight is not uniform in its relation to price. What this means is that it will not rise by a set amount with every tenth of a carat that your stone increases in size. Instead, there are some weights, often referred to as ‘magic sizes’, that will get you significantly more money.

For example, a 0.80ct diamond worth $600 might increase to $650 for a 0.90ct diamond of the same characteristics. Now, you would assume that a 1.00ct diamond then would be $700, but you’d be wrong. A 1.00ct belongs to a different price bracket and there is much bigger jump in price. This is because 1.00ct sounds more attractive to buyers and consumers. The diamond trade breaks carat sizes into the following brackets:

- 90-0.99ct
- 00-1.49ct
- 50-1.99ct
- 00-2.49ct
- 50-2.99ct

And so forth.

**Does carat weight affect size?**

People often assume that carat refers to the size of a diamond, but it actually refers to its weight. Of course the heavier the diamond, the larger in size it is. But the reality is that the shape and cut of a diamond will also play a role as to how big a diamond appears. This is because the proportions of a diamond alter how large a diamond looks. For example, a diamond with a large diameter appears bigger than a diamond of the same carat weight with a smaller diameter.

**How accurate are carats when measuring my diamond?**

The reason that gemologists use carat measurements to weigh your diamonds is because of its accuracy and precision. A carat is 1/5 of a gram, and just over 7/1000 of an ounce. This means that one ounce contains almost 142 carats, giving gemologists the most exact weight possible, so that you can get every dollar your diamond is worth.

**The larger the carat weight, the better the diamond?**

As a rule of thumb, the larger the diamond is, the more it is worth. But this is a generalization as carat weight is not the only factor that gemologists take into consideration when grading a diamond. Other factors such as clarity grade, cut grade and color grade determine the quality of the stone.