Hello!
I've had an offer today for one of my domains> I wondering how one goes about determining if the person on the other end is legit. If so, how is the payment transaction made?
Thank you!

Does your domain registrar have domain auction?

I don't know. I'm contacting them. This person says he got my info from Whois.
Here is a copy of email he also sent me:
Thank you for time. I have a client interested in several domain, including ThreeMillionJobs.com. If there is a figure that will allow you to part with it, we need to know today.
Regards,
Sounds bogus to me. Can't wait to start getting all the scammers and spammers calling. I know there is privacy option but I've heard a lot on these forums that if indeed you are interested in possibly selling (who isn't?) then you shouldn't use privacy. Others say it's a waste plain and simple. A few say go ahead and get it. (???)
Any thoughts will be much appreciated.

Usually the procedure the following:
1) Domain is placed at auction;
2) A buyer purchases a domain;
3) Regisrar performs all necessary billing checkings and pushes a domain to pursaser's account;
4) A new domain owner either stay with a current registrar or transfer domain to a new company!

I would suggest going forward with the sale. Just be absolutely sure that you receive real funds (e.g. wire transfer, not something that can be charged back) or have other kinds of protection.
-mike

There are tons of overseas domainers who don't have the fullest grasp on the English language. While they may seem shady, it could just be a case of the language curve.
That said, there are plenty of unscrupulous domainers, who have all kinds of ways to get names without paying for them. One more popular method is to pay via PayPal, and reverse the transaction once the name is in your possession. We see this kind of thing relatively often. It may not be in your registrars TOS to participate in monetary exchanges between customers, which leaves you in charge of protecting yourself from a fraudulent buyer.
In any case, when conducting a domain name sale use escrow! This is especially important if the names you selling are expensive. If more people used escrow when conducting a domain sale, then a good portion of aftermarket fraud issues would just go away (ahhh... to live in a perfect world).

I agree with NameWrangler. The safest approach is to use escrow. We specifically use escrow.com. Their rates are exceedingly reasonable. We typically do a 50/50 fee split. If the buyer is for real, they won't have any issues, as it protects them, too.

Thanks a million for all the info!
One question: when you say 50/50 fee split, what do you mean exactly?

One question: when you say 50/50 fee split, what do you mean exactly?
Escrow services, like Escrow.com, will typically charge a fee to process the transaction. By splitting the fee 50/50 means, you would pay half of the fee and the buyer would pay the other half.
Cheers,
Mike
Fabulous.com

I think you have less risk when selling a domain, rather when buying one!