Understanding Domain Comparables (Comps)

## Why Comparables Are the Foundation of Domain Valuation In domain investing, no skill is more important than accurately assessing Domain Valuation through comparable sales research. Unlike stocks with transparent real-time pricing, or even real estate with public sales records, the domain market is partially opaque — many sales are undisclosed or underreported. But the data that exists, when analyzed properly, provides reliable pricing signals. "Comps" — short for comparables — are recent sales of domains similar to the one you're evaluating. By studying what comparable domains actually sold for, you build an empirical foundation for pricing decisions that protects you from both overpaying as a buyer and underpricing as a seller. ## NameBio: The Primary Data Source **NameBio.com** is the definitive public database of domain sale history, aggregating over 2 million verified transactions from all major Domain Aftermarket platforms: Sedo, Afternic, GoDaddy Auctions, SnapNames, DropCatch, Flippa, and others. NameBio allows filtering by: - **TLD**: Search only .com, only .io, only .net, etc. - **Keywords**: Find sales containing specific words - **Price range**: Filter by sale price minimum and maximum - **Date range**: Focus on recent sales to reflect current market conditions - **Length**: Filter by character or word count - **Extension type**: ccTLD, gTLD, new TLD The data goes back to the early 2000s, but for current valuation purposes, focus on sales within the past 24 months. Domain market conditions shift — a category that was hot in 2021 may have cooled significantly. ## DNPric.es: The Complementary Database DNPric.es aggregates additional data sources not fully covered by NameBio, including some private sale disclosures and alternative marketplace data. The two databases together provide better coverage than either alone. Use DNPric.es as a cross-check and to find sales that NameBio may have missed. The search interface is slightly different but intuitive. ## DNJournal: Premium Sale Reporting **DNJournal.com** has published weekly domain sales reports since 2003, covering the largest verified sales across all platforms. These reports capture the top of the market — multi-five-figure and six-figure sales that represent the Premium Domain (Registry Premium) tier. DNJournal's annual year-in-review reports are particularly valuable for understanding market trends. Reviewing the top 100 sales from the past three years reveals which categories, keywords, and extensions command premium prices. ## How to Research Comps Effectively ### Step 1: Define Your Comparison Criteria For a domain like "GreenHomeLoan.com," you'd look for comparables across multiple dimensions: - Two-word .com domains - Finance/mortgage niche - "Green" or sustainability modifier + financial product - Similar character count (13 characters in this case) ### Step 2: Run Multiple Searches Don't stop at one search. Run: 1. Exact keywords: search "loan" in .com recent sales 2. Related keywords: "mortgage," "lending," "finance" 3. Modifier pattern: "green" + financial term 4. Length-matched: 12–15 character .coms in finance Triangulate across these searches to build a realistic value range. ### Step 3: Weight Recent Sales More Heavily Market conditions evolve. A domain that sold for $12,000 in 2019 might be worth $8,000 or $25,000 today, depending on how the underlying market has moved. Weight sales from the past 12 months at 100%, sales from 12–24 months ago at 75%, and older sales as directional context only. ### Step 4: Understand the Sale Context Sales on public marketplaces like Afternic tend to reflect end-user prices. Sales on NamePros or forum investor markets may reflect below-market investor prices. Sales at GoDaddy auctions during drops often reflect bargain prices (particularly in Closeout sales) or inflated prices (when multiple bidders compete for a popular drop). Context affects how you weight each comparable. ### Step 5: Build a Value Range, Not a Point Estimate The honest result of comp research is a range: "Based on comparables, this domain is likely worth $3,000–$8,000." A specific-seeming number like "$5,247" implies false precision. Ranges are more honest and more useful. Your listing price within that range depends on your timeline. Motivated sellers price at the low end and sell quickly. Patient sellers price at the high end and wait for the right buyer. ## Interpreting Comp Data: Common Pitfalls **Outliers distort averages**: A single $200,000 sale in a category where typical sales are $2,000–$5,000 does not mean your domain is worth $200,000. Understand why the outlier sold for that price (often: the buyer had unique strategic need) and do not assume your situation replicates it. **Liquidity differences across extensions**: A .com sale at $10,000 does not imply that the .net version is worth $5,000. The secondary market for non-.com extensions is thinner and less predictable. Apply steeper discounts when extrapolating from .com comps to other TLDs. **Category-specific factors**: "Cannabis.com" sold for $400,000 in 2019 — but cannabis remains federally illegal in the US, restricting the buyer pool. Context matters more than surface-level similarity. **[[Domain-age]] premium**: An older domain with documented history may sell for more than a newly registered domain with identical keywords. Note the registration age in comps when it's disclosed. **[[Exact-match-domain]] considerations**: Google's Exact Match Domain algorithm update in 2012 reduced (but did not eliminate) the SEO premium for keyword-exact domains. Be cautious about paying premiums based on claimed SEO value for EMDs. ## Automated Valuation Tools and Their Limits GoDaddy's Domain Appraisal, Estibot, and similar automated tools use machine learning on historical sales data. They can be useful starting points but have known limitations: - **They undervalue unique brandable names**: A one-word domain like "Grix.com" might get a $500 appraisal from an automated tool but sell for $15,000 as a startup brand. - **They overvalue non-.com domains**: Many automated tools apply .com multiples to .net and .org domains that don't have the same market. - **They lag market conditions**: Training data takes time to incorporate recent market shifts. - **They're gamed by sellers**: Some sellers cite automated appraisals as justification for inflated prices. Treat them as one data point, not authoritative values. Use Domain Cost Calculator alongside manual comp research for a complete valuation picture. ## Building Your Comps Research Practice The investors who consistently make good buying and selling decisions are those who study the market continuously, not just when evaluating a specific domain. Build a habit of: - Reading DNJournal's weekly sales reports every week - Running NameBio searches for your specialty niches monthly - Tracking your own sales data meticulously - Attending domain investor conferences (NamesCon) where sale data and market intelligence are shared Over time, you'll develop intuition that shortcuts the formal research process — you'll know within seconds whether a domain is priced reasonably. But that intuition is built on thousands of hours of data study. How to Value a Domain Name Premium Domain Market Trends 2026 Domain Flipping: Buy Low, Sell High