Do you guys consider auction domains to generate links?

[frank]

Many use and many don't. Some others deny to tell. Its a personal choice you know.

If you are using auction domains then look into their previous history. Do they have any penalties? How is their record? And also you should be looking into the referring domains to that domain. How's their reputation?

The more "authority" a domain has in its niche, the more it will help.