Domain name Valuations:
Understanding the financial potential of an investment without a valuation is like trying to navigate without a map. Yet, some folks still choose not to get a domain name valuation from a trusted expert. Instead, they end missing out on great opportunities.
Or worse, they end up buying a clunker.
That’s why getting a your target domain name valued is so important before you conduct any transaction.
Domain Name Valuations are a Moving Target
As with real estate, stock, or any other investment, the value of a domain name is in a constant state of flux. However, by understanding both long and short-term trends in the domain name market, you can get an accurate valuation. And having a clear understanding of your target domain’s value, is key to long-term investment success.
Seeing Through an Investor’s Eyes
When you put a valuation on a domain name, you have to be able to see through an investor’s eyes. That means you need to understand not just what a domain name is worth on any given day, also but what it could be worth on some day in the future.
For example, it’s not enough that a domain name has the potential to sell for a large sum. It’s also important to consider how long it will take for the domain name to reach the value at which you’d like to sell it. Time plays a big part in any investment.
When is it Time to Get a Domain Name Valuation?
You’ll definitely want to get a valuation for any domain you’re targeting. It might also be helpful to ask for a ballpark price for a particular domain name. This will give you an idea of the market, but is no substitute for a detailed, expertly assembled valuation.
Either way, a domain name valuation is a critical step to take in your investment process.