HOUSTON – Inside the old Jewelry Exchange Center in what used to be Sharpstown Mall there were diamonds, watches and lots of bling.
Owner Jeff Parsons said there's an amazing amount of inventory marked 70 percent off for their going out of business sale.
He said they'll continue to discount everything until it is all gone.
"So this is not a gimmick, folks. This is a true going out of business sale. There's lots of deals to be had here," said Parsons.
To see if Parsons was truly offering great deals, Local 2 sent an undercover producer in to the store and then enlisted the help of jewelry appraiser Ben Gordon.
"Every jewelry store that went out of business made more money going out of business than he did staying in business," said Gordon, whose been appraising jewelry for more than 50 years.
Gordon said the average markup in retail jewelry stores is 50 percent.
He appraised a diamond tennis bracelet and a 1 1/2 carat diamond ring that a Local 2 producer picked out at the Jewelry Exchange.
Parsons gave Local 2 permission to take the items to the appraiser.
Gordon found what he indicated to be telltale signs that the jewelry is second-hand -- there's a scratch where the ring was resized and the bracelet is not straight.
The Jewelry Exchange said the regular price of the bracelet was $6,000 and at a 70 percent discount it is now for sale at $1,800.
Gordon gave the piece a fair price of $1,500.
The store claimed the ring was originally priced at $3,400 and on sale for $1,000. Gordon said that is a fair price for the ring. He said no matter where you shop you should check the prices of similar pieces online and use that information to get a better deal than what the store is advertising.
He also said that reputable jewelers will let you leave a credit card number and take a piece of jewelry to an independent appraiser with the understanding that you will only buy it if the appraiser finds it's worth the price you're being charged.