Remember the story a few weeks ago about the domain name Houses.co.uk which was purchased a few years ago for £40,000 was on sale for £2,999 on Sedo?
The owner of the domain name blames Sedo and its automated valuation tool.
“Instead, he has blamed domain name sales website Sedo.com for putting an automated valuation on his domain which he feels was several orders of magnitude too low”.
“They had an auto appraisal that wasn’t working, and gave it a really low valuation, we must have had three dozen offers, some up to £10,000.”
The owner went on to say the price was set by an ill-informed web programme and actually it should have been around £50,000.
“Really, I would sell it for what I paid for it a couple of years ago, which was $70,000, about £50,000. I’d sell it as a pair with the houses.uk domain included as well”
Of course domain name investors know the automated valuation tools should be taken for what they are just an opinion as to value but it would be foolish to blindly follow them to make selling or buying decisions.