question Sedo Appraisals used as a relative measure of value ?

[HDmarketing]

[newbie alert ]
Hello,

I've read some threads here about appraisals and specifically about Sedo appraisals.
I understand that
- they may be very off-chart, that the value depends on what an end-user / wholesaler agrees to pay.
- there is a whole business around appraisals...

I just want your opinion about the following statement.

"if two appraisal differs by a large amount (x5-x10) then the higher appraised value has indeed more value"

For example I have the two following domains

FarmersInsuranceQuote.com appraised $599
OnlineCriminalJusticeDegree.net appraised $6,999

Although I'm a newbie, I understand that these names are worth far less and are appraised high because of the keywords, regardless on their potential to sell or their tld.

But I'd like to know if you think Sedo is right in the relative values of the two ?

(note : not asking for an appraisal of the avobe domains here...)

 

[LoneDeranger]

Hi,

Here's a statement that have been said many times on this forum:
"The price of a domain is the price the buyer's willing to pay."
And therefore ALL appraisal services aren't so helpful at all.
Moreover Sedo's appraisal is not very oobjective since their target is to sell your domain at the highest price.

As for your domains- I believe the appraisal is much more than I would pay for it, but again, see the statement above.

Good luck..

 

[HDmarketing]

Thanx @LoneDeranger , but I'd rather know your answer about my question :
"If two appraisals differ by a large amount (x5-x10), then I can be confident that the higher appraised has indeed more value on the market"

 

[LoneDeranger]

Thanx @LoneDeranger , but I'd rather know your answer about my question :
"If two appraisals differ by a large amount (x5-x10), then I can be confident that the higher appraised has indeed more value on the market"

Is the statement you've showed above is meant particularly to the domain industry? If so, I would say it is rather incorrect, mainly because appraisals has almost no power in this business. In general, I would say it is probably correct. But than again, it is not applicable to the domain industry. In my opinion..

 

[biggie]

Thanx , but I'd rather know your answer about my question :
"If two appraisals differ by a large amount (x5-x10), then I can be confident that the higher appraised has indeed more value on the market"

if appraisals are meaningless, then both appraisals are useless

imo...

 

[Kate]

Even if the appraisal is "correct", that doesn't mean you can sell the domain right away, except for certain types of highly liquid domains such as LLL.com. You still need a buyer.
Appraisals are best-case scenarios, even when they realistic. The odds of actually making a sale are even more unpredictable. That's why you need experience and good understanding of the market, and preferably dabble in niches you are familiar with...