Before buying a domain name in private or at auction, I tend to do a fair amount of research. I would not call this research exhaustive, nor do I fully research every domain name I buy. One thing I try to do is see if the domain name was on the market before, and if so, at what price.
For a variety of reasons (including the emergence of Sedo’s network and Afternic’s GoDaddy listings as well as a greater interest in selling domain names), people have been adding buy it now prices to their inventory. Some of these domain names have the prices listed right on the landing page while others have the pricing information available on a marketplace. Prospective buyers don’t always need to inquire to get the price of a domain name – it is much easier to find prices these days.
Knowing the former owner’s asking price is an important data point for me when buying a domain name, so I try to do a domain name pricing history check when possible. If a domain name held a low asking price, there might not be enough margin in it for me, and I would need to raise the BIN price to justify buying it. I must ask myself why I would have better luck selling it than the former owner. Oftentimes, I can’t justify this and will pass on the auction. Conversely, if the domain name had a super high asking price, perhaps prospective buyers simply passed on the domain name and a lower price point would make the name appealing.
Here’s an example:



