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You can dig them up, find them in treasure chests, receive them as gifts, but, if you'd like to buy one, the easiest place to get one would be in bowerstone market. Go to the bell tower, then as you're facing the pub or inn look about 20 degrees to the right and there will be a jewellery shop (right in front of the inn but slightly to the right). Here you can buy dolls, toys and gems, including emeralds, rubies and diamonds. You can also sell them at this particular shop. Approach the owner of the jewellery shop, then press A, then select BUY ITEMS and scroll right down to the bottom and there shall be a DIAMOND, usually costs about $4000-$6500, so try build up your relationship with the owner to get a reasonable dicount. Hope this helps!!!!

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Q: On Fable 2 where do you get diamonds?
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