Lab-Grown vs Natural Diamonds: An Honest Take from a Shop That Sells Both

Most blog posts comparing lab-grown and natural diamonds are written by shops that sell only one of them. The lab-only stores tell you naturals are an outdated cartel scam. The natural-only stores tell you labs have no resale value and your fiancée will be disappointed. Both are exaggerating. We sell both at our Coquitlam shop, with no commission incentive to push one over the other, so this is the version that doesn't try to talk you into anything.

The science: they are the same material

This part is not controversial. Lab-grown and natural diamonds are chemically identical. Both are pure carbon arranged in the same cubic crystal lattice. Both have a Mohs hardness of 10. Both refract light the same way, sparkle the same way, and weigh the same per carat. The Gemological Institute of America grades them on the exact same 4Cs framework (Cut, Colour, Clarity, Carat) using identical procedures. A lab-grown diamond is a real diamond by every scientific and gemological definition. The only difference is where the carbon came from and how long it took.

Natural diamonds formed under the Earth's mantle 1–3 billion years ago and were brought to the surface by ancient volcanic activity. Lab-grown diamonds are produced in a few weeks in a high-pressure chamber or chemical vapor deposition reactor. The end result, atom for atom, is the same.

The price gap (and why it's getting bigger)

This is where the conversation actually matters. As of 2026, lab-grown diamonds retail for roughly 73–90% less than equivalent natural diamonds, depending on size and quality. The gap has grown every year since 2020 because lab production capacity has scaled and per-carat manufacturing cost keeps dropping. Five years ago labs were 30–40% cheaper. Today they're 80–85% cheaper.

Stone size & quality	Natural diamond (CAD)	Lab-grown diamond (CAD)	Lab savings
0.5 ct, G/VS1, excellent cut	$1,800–$2,800	$300–$550	~80%
1.0 ct, G/VS1, excellent cut	$5,500–$9,000	$900–$1,500	~83%
1.5 ct, G/VS1, excellent cut	$11,000–$17,000	$1,500–$2,800	~84%
2.0 ct, G/VS1, excellent cut	$22,000–$35,000	$2,500–$4,500	~87%

Ranges reflect typical Vanhess centre-stone pricing as of April 2026. Specific stones vary based on exact 4C grades, certification, and origin.

The lab price column will keep dropping. Industry analysts expect another 10–20% price decline through 2026–2027 as production capacity continues to expand.

Resale: the real argument against lab-grown

Here's the part lab-only retailers don't usually highlight. Lab-grown diamonds have almost no resale value. If you pay $1,200 for a 1-carat lab diamond and try to sell it to a jeweller five years later, you'll probably be offered $50–$200 if anything at all. The wholesale market for used lab stones is thin because new lab production keeps pushing prices down — there's no upside in buying second-hand.

Natural diamonds also lose value at resale, but less catastrophically. A 1-carat natural diamond that retails for $7,000 today might fetch $1,500–$2,500 from a wholesaler in a few years. That's still a heavy loss versus the original retail price, but it's not zero.

The honest framing: both are bad investments. If you're buying a diamond expecting to recoup money on resale, you're going to be disappointed by either choice. Lab diamonds just lose more, faster.

"Will my fiancée be able to tell?"

No. Not by looking. Even trained gemologists cannot distinguish lab-grown from natural diamonds with the naked eye or a standard 10x loupe. Identification requires specialized equipment that detects trace nitrogen patterns and growth structures invisible without spectroscopy. Most local jewellers don't have the equipment. The major labs (GIA, IGI) do, and they laser-inscribe lab-grown stones with a microscopic identifier on the girdle so the origin is documented for future reference.

What your fiancée might be able to tell: whether you spent $1,500 or $7,000. Not from the stone, but from how you talk about it, what's printed on the certificate, and the context of the purchase. If origin matters to her, it matters before the proposal, not after. Have the conversation.

Who should buy lab-grown

Lab-grown is the right choice if any of these apply:

• Budget is the main constraint and stone size matters. If you have $3,000 to spend on an engagement ring and want a substantial centre stone, lab-grown lets you get a 1.5–2 carat stone instead of a 0.5 carat natural. For most buyers, the visible size difference matters more than the origin.
• You'd rather put the budget elsewhere. Going lab on the centre stone frees up money for a better setting, a higher quality of secondary stones, or wedding bands.
• Environmental footprint matters more than rarity. Lab production has a smaller mining footprint than natural diamond extraction. Both still have energy and water costs. Neither is zero-impact.
• You want to upgrade later. Some people deliberately start with a lab centre stone planning to swap it for a larger or natural one at a future anniversary. Lab makes sense as a "starter" stone if upgrade is part of the plan.
• You're not emotionally attached to the geological backstory. If "billions of years old" doesn't move you, you're paying for an idea you don't value.

Who should buy natural

Natural is the right choice if any of these apply:

• The geological story matters to the wearer. Some people genuinely care that the stone formed in the Earth's mantle billions of years ago. That's not irrational — it's a meaningful aesthetic and emotional difference, even though the material is identical.
• You're buying an heirloom piece. Natural diamonds hold a (modest) resale value over time. Lab-grown almost certainly won't, and the resale gap is widening.
• Tradition matters in your family or culture. If your fiancée's mother wore a natural and the expectation is that you will too, deviating from that may not be worth the savings.
• You're buying into a small budget on a small stone. Below 0.5 carat, the price gap shrinks because the absolute dollar difference is small. A 0.3 carat natural at $700 versus a 0.3 carat lab at $200 is not the kind of savings that changes the decision.
• You want a fancy colour. Natural fancy-coloured diamonds (yellow, pink, blue, green) are extremely rare and command very high prices. Lab-grown coloured diamonds exist and are much cheaper, but the connoisseur market for naturals is real if you care about it.

Certification: get one either way

Whether you go lab or natural, demand a grading report from a recognized lab — GIA, IGI, or AGS at minimum. The report tells you exactly what the 4Cs are, confirms the origin (lab or natural), and is your independent verification of what you're paying for. Buying any centre stone above 0.5 carat without certification is asking to be ripped off.

Lab-grown stones are usually graded by IGI (Intergem International) because GIA charges more for lab grading and the price-conscious lab market routes to IGI by default. Natural stones above 0.5 carat usually have GIA reports. Both labs use the same 4Cs framework, but GIA's grading is generally considered slightly stricter on colour and clarity, so a "G/VS1" from GIA might grade as "F/VVS2" from IGI on the same stone. Adjust your expectations accordingly when comparing.

Our shop's actual mix

To put numbers on it: as of early 2026, roughly 70% of the centre stones we set into custom rings at Vanhess are lab-grown. Five years ago that number was closer to 20%. The shift happened because the lab price gap got too large for most buyers to ignore, and because lab quality reached a point where the visible difference disappeared.

The 30% who still choose natural skew toward two groups: buyers spending over $10,000 (where the centre stone is part of an heirloom-quality piece) and buyers with strong personal or family preferences. Both are valid. We don't push either way. We show you both at your budget and let you decide.

Key Takeaways

• Lab-grown and natural diamonds are chemically identical. Both are real diamonds by every scientific and gemological standard.
• Lab-grown costs 73–90% less than equivalent natural diamonds in 2026, and the gap is widening.
• Lab-grown has almost no resale value. Natural has modest resale value. Neither is a good investment.
• Trained gemologists cannot tell lab and natural apart by sight. Identification requires specialized spectroscopic equipment.
• Always get a GIA or IGI grading report, regardless of origin.
• For most buyers, lab is the better value. For heirloom pieces, family tradition, or buyers who care about the geological story, natural is still worth the premium.

Frequently Asked Questions

Are lab-grown diamonds real diamonds?

Yes. Lab-grown diamonds are chemically, physically, and optically identical to natural diamonds. Both are pure carbon arranged in the same crystal structure, with a Mohs hardness of 10. The Gemological Institute of America grades both using the same 4Cs framework. A lab-grown diamond is a real diamond by every scientific and gemological definition. The only difference is the origin — lab versus mined.

How much cheaper is a lab-grown diamond compared to natural?

As of 2026, lab-grown diamonds retail for approximately 73–90% less than natural diamonds of the same size and quality. A 1-carat lab-grown diamond typically costs $900–$1,500 CAD, while an equivalent natural diamond costs $5,500–$9,000. The price gap has grown every year since 2020 as lab production capacity has scaled.

Can a jeweller tell the difference between lab and natural diamonds?

Not by sight. Even trained gemologists cannot distinguish lab-grown from natural diamonds using a standard 10x loupe. Identification requires specialized spectroscopic equipment that detects trace nitrogen and crystal growth patterns. The major grading labs (GIA, IGI) have this equipment and laser-inscribe lab-grown stones with a microscopic identifier on the girdle for permanent documentation.

Do lab-grown diamonds have resale value?

Almost none. A lab-grown diamond purchased for $1,200 today might fetch $50–$200 from a wholesaler in five years, if any offer at all. The wholesale market for used lab stones is thin because new production keeps lowering prices. Natural diamonds also lose significant value at resale, but typically retain 20–30% of original retail. Neither is a good investment.

Will my fiancée prefer a natural diamond?

Depends entirely on the person. The stone itself is visually indistinguishable, so the preference is about the geological backstory, family tradition, or specific values. If origin matters to your fiancée, ask before buying — having the conversation upfront avoids regret. If she has no preference or doesn't care, lab-grown gives you 80–85% savings or a much larger stone for the same budget.

Which lab grades lab-grown diamonds?

Both GIA and IGI grade lab-grown diamonds, but most lab-grown stones in the retail market come with IGI reports because GIA charges more for lab grading. Both use the same 4Cs framework (Cut, Colour, Clarity, Carat). GIA's grading is generally slightly stricter, so an IGI "F/VVS2" might grade as "G/VS1" by GIA on the same stone. Adjust expectations when comparing certificates from different labs.

Sources

• GIA 4Cs — Lab-Grown Diamonds and the Marketplace
• Draco Diamond — Lab Diamond Prices 2020–2026 Decline Report
• Angara — Lab-Grown vs Natural Diamonds Price by Carat

Sourced April 2026. Diamond prices change frequently. Get current quotes from a jeweller or grading lab before making a final decision.

Visit Vanhess

If you want to see a lab-grown and a natural diamond side by side at the same carat and grade, come in. We carry both at 2929 Barnet Highway, Unit 2424, Coquitlam, open Monday to Saturday. Reach us at (604) 653-6449. Browse our engagement ring collection or read our custom engagement ring design guide if you want to start from a blank page.