Value of a domain name [This is not appraisal]

[hantu.internet]

Hi,

I have been curious about this for a while. Where do domain names get their values? What's the base of domain appraisal? Do the million-dollar domain names like computer.com, business.com, etc actually live up to their cash-value?

Well, maybe those two names did, but what about the other names, like for instance I read somewhere in the forum that girlblog.net was purchased for $4000. Is it actually worth that much?

Sorry for the newbie question, appreciate all responses

Regards,
HI

 

[ssamriga]

it is as valuable as it can earn you!
If girlblog for example because of traffic generates 100$ revenue per month, it is worth at least 6000$ (5 years of revenue). There can be many other factors to determine the value of a domain name, but mostly it is the revenue potential...

 

[hantu.internet]

Can we really predict revenue? Can I safely say that developed domains generate more than parked domains?