What Is Domain appraisal? Domain Glossary

Why it matters

Automated appraisals are fast and free, but they only guess from patterns. They miss who might use the name. A human expert can judge brand fit and likely end-user budgets. Use appraisals as a rough range, not a price. Compare several tools and recent sales in the same extension. A common mistake is quoting a tool's number to a buyer as fact. Buyers know those numbers vary widely. A broker can compare these numbers with real buyer demand.

Source: godaddy.com

Where we use this term

Domain Sale Scams: How to Spot Fake Buyers, Appraisal Scams, and Fake Escrow

Related terms

Automated valuation (AVM): A software estimate of a domain's value based on factors such as length, keywords, extension, search data and similar sales. Tools like Estibot, GoDaddy and Atom offer them.
EstiBot: EstiBot is an automated domain appraisal tool that gives an estimated value for a domain name. Investors and buyers use it as a quick first check, not as a final price.
Comparable sales (comps): Comparable sales, or comps, are recorded sales of similar domains. Investors and brokers use them to estimate what a name should fetch, as a real estate agent uses nearby home sales.
End-user value: End-user value is what a domain is worth to a business that will use it, not to an investor who will resell it. It is also called retail value and is usually higher than wholesale.
Wholesale value: The price an investor or reseller would pay for a domain to resell it later. It is usually well below the price an end user would pay for the same name.

All 205 terms

Why it matters

Where we use this term

Buying or selling a domain?