domains GoDaddy valuations changed – they took $3k off one of my names

[equity78]

I was looking at GoDaddy valuations and I had a name in there of mine. I then was doing some stuff for a few hours and came back and hit refresh for whatever reason. The value of the name dropped by like $900, I was like that's weird not that automated appraisals mean much. In a poll I did on Namepros, 0 was the majority of votes given when asked their importance on a scale of 0 to 10. So … [Read more...]

 

[platey]

For godaddy valuations to mean anything godaddy should be able to stand by their valuation and be able to lend against their valuation and or be comfortable enoigh to buy a persons domain at what godaddy values it at

 

[Silentptnr]

Kind of ridiculous...particularly for auction buyers that use the appraised value.

Look at this one...Damit.com

https://www.godaddy.com/domain-auctions/damit-com-322622024
Auction page shows value of $11,188

Appraisal tool shows $7887
https://www.godaddy.com/domain-valu...&checkAvail=1&tmskey=&domainToCheck=damit.com

Almost a 4k difference. What a joke.

 

[Silentptnr]

Wanna see something really inconsistent?......


Why are the values on the names in GD auction higher than if you just put the name into the appraisal tool?....now thats weird.

Look...heres the auction page for a random name I picked out...
https://www.godaddy.com/domain-auctions/liquidationauction-com-323753791

Notice it shows the value is $3073...


Now here's the GD appraisal tool for the exact same domain..
https://www.godaddy.com/domain-valu...&tmskey=&domainToCheck=liquidationauction.com

The tools shows $2009


That's some weird stuff.

 

[wwwweb]

Yep, after the high appraisal in auctions, you pay a higher price, bham get bidded up on a high appraisal, and then be expected into reselling into a low appraisal. Double Hit.

 

[EJS]

Huge Domains playing with any last second $12 bids on auctions, and forcing a bidding war between bot and human into the hundreds, has caused a fake sense of demand. Unless your aware of how the bot came in you are thinking another party has a real interest in your domain, not a domain warehouse heading to 8 million registrations, and needing to make sure domain valuations stay high so their portfolio values high.

According to Paul Nicks (in November of 2019), GoDaddy does not include auction sales into its appraisal algorithm, nor does it list auction results under comparable sales.

https://domaininvesting.com/godaddy-auction-results-do-not-impact-godaddy-appraisal/

 

[YairDD]

Yep, they reduced like 20-50% off all of my names, which is crazy, they are supposed to increase the valuation, not decrease it. just shows again how bullshit this is.

 

[wwwweb]

Huge Domains playing with any last second $12 bids on auctions, and forcing a bidding war between bot and human into the hundreds, has caused a fake sense of demand. Unless your aware of how the bot came in you are thinking another party has a real interest in your domain, not a domain warehouse heading to 8 million registrations, and needing to make sure domain valuations stay high so their portfolio values high.

 

[Name Trader]

My view between Estibot and GoDaddy values is that Estibot values "low value" domains at $0-200, and GoDaddy values pretty much them all at $1k+ I know which I would choose to quote to an inquiry about my "low value" names I don't think either of them realistically value "high value" domains very well either. Estibot say $XXXk and GoValue say $25k+. Pretty much the price depends on how much the seller is prepared to ask, and how much the buyer is prepared to pay. So these estimates are all basically, crappy.

 

[xbank]

I think the mechanism is to show the greater value for the domains which are being held for sale by GoDaddy, this happens when 70% of the domain control is own by them!!!

 

[NickB]

One of my names went from 12.5k to 3k on Estibot & 5.5k to 1.9k on Godaddy at roughly the same time

load of bollocks if you ask me.....

 

[uzver]

Just posted in another thread. GD valuation for a domain changed from $4,185 to $3,762 in 5 days.

Last week I got an inquiry for my only LLinc.com domain that was listed at $650 just to liquidate. We agreed to move forward but the buyer disappeared for few days (now he's back). I was kinda pissed and I removed the price altogether.

As a part of my pricing strategy (and research), I always look up the GoDaddy appraisal tool. So the appraised value for my LLinc.com domain was $4,185 last Friday. Today I refreshed the page (to ensure my price is no longer pulled from Afternic) and it's now showing $3,762.

It seems GoDaddy's valuation is constantly changing.

 

[lock]

Good thing is it is irrelevant and have no effect on sale price.

 

[EJS]

Kind of ridiculous...particularly for auction buyers that use the appraised value.

Look at this one...Damit.com

https://www.godaddy.com/domain-auctions/damit-com-322622024
Auction page shows value of $11,188

Appraisal tool shows $7887
https://www.godaddy.com/domain-valu...&checkAvail=1&tmskey=&domainToCheck=damit.com

Almost a 4k difference. What a joke.

I did some searching today, and it looks like this is a timing issue. From what I could tell, the Estimated Value is from when the auction starts and the GoValue is more of a real time thing. I do not think this should be the case, especially since some people rely on these automated appraisals for bidding. I appreciate Raymond for drawing attention to this, and I appreciate you for calling this particular auction out which made me look further:

https://domaininvesting.com/dam-it-auction-appraisals-different-than-appraisal-tool/

 

[Silentptnr]

I am also seeing a return to valuation normality today.
Previous years from my records, and todays valuations:

Domain #1: 2018 = $3667, 2019 = $3545, 2020 = $3765
Domain #2: 2018 = $3697, 2019 = $3222, 2020 = $4024
Domain #3: 2018 = $2534, 2019 = $2309, 2020 = $2460
Domain #4: 2018 = $5779, 2020 = $6863
Domain #5: 2018 = $6107, 2020 = $6746
Domain #6: 2018 = $6258, 2020 = $6798
Domain #7: 2018 = $4097, 2020 = $3821​

It's fixed now. Or should I say, it's back to the way it was. Also, it appears the auction page values are the same as the appraisal page values.

 

[EJS]

Paul Nicks from GoDaddy commented about the appraisal irregularities:

https://domaininvesting.com/dam-it-auction-appraisals-different-than-appraisal-tool/#comment-87717

 

[biggie]

Hi

I'll bet a few LLLL.com...
that the bots are sitting back, laughing, drinking beer, smoking bud, and whatnot.
all while discussing how they got domainers heads in a tailspin.
they prolly got big screen tv's watching ip addresses check, check, checkin their domains.
they get to see which domains get queried and can pick and choose what dollar amount to slap on it.

there is no rhyme or reason to the rationale.. they bots, wat you expect!

it all started years ago, when bot was born
I knew this child of an idea, was going to be a menace to domain society

in every instance of it's growth, I tried to explain how it's control would spread and over the years.
as new domainers enter the game, they are immediately inoculated to the bot.
since they have no way to determine value, this child of an idea, is now here to assist.

in the beginning, it was free... kinda like how drug dealers test out new batches
get'em hooked on the product, then come the subscription fee

but it's not just the product, it's what the product has replaced for so many
it has become your first option and for so many, of those many, it's their only option.

it don't take too much brain thought, in today's game, when bot can decide for you, right?
it's on dns pages, it's on NJ, gd got their own, then you got all the bots on the side stepping over each other trying to get some rep.

now, it's 2020 and more discussion about the bot, and the value fluctuations that this child on an idea is having,
such "irrationality" ( a human trait) has caused domainers to check, check, check, check and recheck their domains.
uhh, I checked yesterday and it wasn't same as last week, id'uh.com, umm.org, what should i do?

so, somebody told the parents, of this child on an idea, that their bot is showing it's discrepancies in public...
"they" decide to "correct" it, and now everything goes back to normal.
and domainers are happy again.
question: what cha gonna do, when this child of an idea, acts up again?

is the phrase...
a domain name speaks for itself
being replaced by
bot value speaks for domain

do threads about bot
make you go check, check, check and recheck some more?
and will you go check now...
if you never check, check, checked the bot before?

check and mate!

puff, puff... ahhhhh

imo….

 

[uzver]

Why is ANY domainer worried about what GoDaddy appraisals say? (Or indeed any other supposed appraisal system for that matter.)

I use godaddy comps in the same way I use namebio. More recently I started pulling the data via an API because you get also year of sale which is relevant, of course.

 

[Bob Hawkes]

Right from its introduction in beta GoDaddy valuations have changed regularly, sometimes by 50% or more over short time periods. Recently it seems .ca valuations are up, some other TLDs I have noticed are down. Valuations seem to go up and down, supposedly due to either changes in the algorithm or recent comparable sales, or both. I agree that valuations should logically change, but they should change less dramatically and often in my opinion. You would expect heavily traded names with a lot of liquidity such as 5N .com to vary less, but not sure if that is true. Conversely, thinly traded extensions would be expected to be more variable.
Bob

 

[belmar313]

I have just checked some of my names. Many remained more or less the same, but some other have changed drastically. There's even a 1 dictionary word .com in Spanish that is now "worth" $2,000 less than a week ago according to GD. All the valuations have changed this week. Not sure what happened. Some other names I recently purchased for middle $xxx had a GD value of $3,000 - $6,000 and today they have a value of $1,400 - $3,100.

Edit: I tend not to use appraisal bots too much, but since GD seemed consistent in some type of domains, I mostly used it like Namebio, or to make a purchase decision when I saw a certain domain name priced at a fair value compared to its GD value. However, dropping 50% of value in many .coms within a given week renders it even less reliable. It's like having a realtor appraise your house, then the buyer pays for it, and after a week the same realtor tells him his house is now worth 50% less.
Not sure if the change is due to a change in demand/supply, or a change in the algorithm, or due to the global recession we are going through right now....but it seems to be general. Of course it's more obvious with some domains, but there seems to be a general decrease in appraisal value.

 

[Chris Hydrick]

I just became a member of Estibot. Why? I created a list of my domain names in a portfolio. Their domain valuations are highly accepted by the IRS, and other organizations.

Do you have proof, or can you cite such examples backing up the claim that estibot domain valuations are highly accepted by the IRS and other organizations?

What is your opinion of Estibot vs. GoDaddy appraisals?

I would venture to say given GoDaddy marketshare / marketsize that there is an argument that GoDaddy appraisals are more widely accepted. Just my opinion, no facts.

Sorry for my rant. Just thought I'd share.

Thanks for your rant. Not sure if I agree though.

 

[Name Trader]

Agree with all, but check out

DomainIndex for the cruelest appraisal.

I just valued 2 of my domains. Ouch! I won't recommend them to potential buyers

 

[equity78]

Thanks

Really appreciate!. Now pivot to estibot;

Voice sold for $30M. See it as an anomaly.
Why does estibot have Voice.com near 100%? Isnt "tougher"?
Show attachment 154311

Conspiracy to think voice.com sale 100% influence this "appraisal"?

Estibot a lot of times upgrades the appraisal to where a published sale transacted. Seen it many times with Estibot.

 

[Joe N]

Because of comments like this from the the owner of what some on this thread consider to be the best domain appraisal business; "It does sound like a catchy name and I like it."

Besides this comment and others similar, this is exactly why PopsRibs.com would have received high marks if there were only a subjective scoring program. This should make perfect sense to a common sense consultant

You would think... but us common sense consultants usually focus on objectivity over subjectivity. Otherwise you risk falling victim to confirmation bias, which might be the case here.

 

[Hypersot]

GD valuations change constantly and it's ok since that's how it's supposed to work (ie. they are based off keyword trends and sales).

I keep track of GD valuations on my domains on a monthly basis and the fluctuation is a very common thing. I'm mainly interested in the fluctuation and not the actual appraisal however.