Thanks for the post. Very cool idea.
I guess finding a good domain name to buy is like finding a niche, you just have to work at it.
Can you offer anymore hints ?
Also one more question.
I was searching for certain phrases and found one or 2 exact matches for company names. Now the domain is obvously worthless to me as it is a lowish traffic and not really a niche. There are also no bids and the bidding ends in 36 hours.
Would it be worth my while to contact the companies and offer them this domain before i bid on it to insure i have a buyer ?
If you buy domains that are based on someone's trademark you can lose them via the UDRP process. It costs someone $1,500 to file the complaint and companies do this all the time. Then a panel of judges will look at the complaint, look at the domain owner's response, and decide who should get the domain.
Sometimes a company can file a lawsuit against you and sue you for damages. This is more rare but has occured.
My advice would be to stay away from company names unless they have another meaning (i.e. if you bought Apple.com it is a company but it is also a fruit so you could have a legitimate right to the domain).
Part 3 will come out sooner or later, maybe a week.