Ok, if you’re curious about how to make money buying and selling domain names then you’re going to want to delve deep into this article and pay close attention — because, I’m going to divulge some ultra-tasty secrets here regarding buying and selling domain names for profit. I’m talking some real insider, heavily guarded stuff that many people, right now, are paying good money to have revealed to them. And, you’re going to get them here, in this article, absolutely free!
Why, oh why, do I give this kind of stuff away for free here, week after week, when I could be selling it in eBooks for big money? I must be crazy, or something! …or, maybe, I keep laboring under what, so far, seems to be the extremely deluded belief that if the stuff I give away for free on this blog is juicy enough, then, eventually, a great many of you might just become appreciative enough that you might actually start clicking away on a link or two every now and then in order to show your appreciation and earn me some ad-revenue bucks! But, that never seems to happen! Oh well… perhaps someday I’ll learn my lesson. But, it seems to day will not be that day.
Ok, ok… rant over. Sorry about that. I’m just venting a little. But, don’t worry. In this article you are, in fact, going to learn some real secrets regarding how to make money buying and selling domain names online — and, I do mean the types of secrets that you normally have to pay good money to gurus to divulge to you. And, I’ll also lay out a process you can follow, pretty much step-by-step, for making money by acquiring and flipping domain names. So, keep on reading on, my friend!
How to Make Money Buying and Selling Domain Names
Buying and selling domain names 101:
I’ve been flipping domain names for profit for quite a number of years now and making good money at it. And, as such, I have every confidence that I could easily turn it into a full-time income generating endeavor if I chose to. I never have chosen to, however — not really for any financially oriented reasons — but just because I have other interests and I don’t want to just make money buying and selling domain names. And, while you can make what most people would consider to be really good money flipping domain names for profit, if you wanted to do it as a means for generating a really good full-time income, doing such would pretty much require a full-time effort. And, if you’re into that — if that’s what you want to do — if that’s how you want to make your full-time income — then by all means, go for it. It’s certainly doable, if you know what you’re doing. But, devoting 100% of my daily work to pulling a full-time income from flipping domain names just isn’t for me. I’m happy, for the time being, grabbing the occasional awesome domain name opportunity that presents itself and flipping that name for some extra cash, without much time or effort needing to be invested at all.
Ok, so let’s get on to exactly how to make money buying and selling domain names for profit. Here are a few points you should keep in mind before we really get into the meat and potatoes of it — I suggest you write these down:
.COM domains are the cream of the crop! WAY more than any other domain suffix, if you’re looking to flip domain names for a profit, it’s almost all about .COM domains. .NET & .ORG are kind of, sort of, almost ok too — IF you can grab a truly great one. But, for the most part, it’s ALL about the .COM domain. Don’t waste your time at all with any other domain suffix — at least not until you get experienced flipping domain names, and become a more expert judge of what will sell easily, and what wont.
The shorter the domain name the better.
Actual words, and as few words as possible, are ideally what you’re looking for.
non-alphanumeric characters in a domain name SEVERELY lower the domain name’s value. A domain with nothing but letters is the best. Numbers in the domain can be acceptable, sometimes. Dashes and what not? Forget about them altogether.
Pronouns and what are commonly known in the business as ‘stop words’, such as the, my, he, she, our, your, a, etc., also lower the value of a domain name. myporkrinds.com is not NEARY as good as just porkrinds.com, for example.
Words closely associated to an established industry are a bonus — and, the bigger the industry, the better.
So, with those basic points firmly memorized (and, preferably written down somewhere, so you wont forget them) let’s look at how they play out with regards to how to make money buying and selling domain names for profit:
With the above points in mind, I’ll yell you that, if you were somehow able to acquire the domain name, oh, let’s say: “cars.com”, you would, very literally, become a millionaire over night. Within a few hours after registering that domain name, you’d have multiple corporations entering into a bidding war and offering up multiple millions in order to purchase that domain name from you.
Why? Because: Short, .com suffix, actual, very common word, nothing but letters, no stop-words, and the automtive industry is ginormous! That’s why. But, don’t worry too much about that — you’re not very likely to ever get such a valuable domain name. Sure, it could happen — but, you could get struck by lightening twice on the same day you win the lottery, too.
So, “cars.com”, would be awesome. “cars.net”, or “cars.org” would be ok too — you’d likely be able to flip those for really good money. Multiple millions? Probably not. But, very likely, many, many, many multiple thousands — perhaps even into the six-figure range. The shortness of the domains — the fact that they consist of a single word — and, it’s a very common word – and, especially because it’s associated with a strong business or industry — makes the domain highly valuable. But, the fact that it’s not a .COM domain lowers the value significantly. So, .Com above all else. But, if you can score high points with the other factors — shortness, common word, etc., a .NET, or .ORG domain might not be without value.
Let’s look at some examples of domains you might be able to acquire with the word “car” in it, and I’ll comment on the various one’s relative value in order to give you a greater understanding of calculating a domain’s potential resale value when it comes to how to make money buying and selling domain names for a profit:
cars.com — Jackpot! You’ll be a millionaire by this time tomorrow.
cars.net — Yeah, pretty freakin’ good. You’ll make a heck of a lot of money.
luxurycars.com — Boom! Maybe not many multiple millions, but a million or two to be sure.
myluxurycars.com — I think you might be able to snag some decent bucks for that.
my-luxurycars-website.com — Forget it. Pracitcally worthless. How myluxurycarswebsite.com? Meh. Better, but not great — too long, too many words, and a stop-word.
my-luxury-cars-forsalelistings-orlando.net — If you pay me $30 bucks, I’ll take it off your hands for you. Actually, on second thought, forget it. Pay me $30 not to laugh at you instead and keep your worthless domain.
123luckybestcars.com — You might be able to find someone who will throw twenty or thirty bucks your way for it, maybe.
carscarspeoplehotdogcarsnewyork.com — Worthless.
aaacarsbestprices.com — Hmmm… maybe another $20 or $30 deal, maybe… or, probably not.
usedcarsforsale.com — There’s likely a few thousand in that one for you, I’d say.
sweetfruitshopping.com — Maybe a few bucks in that one.
So, does that give you somewhat of a better idea? You want real words, or short phrases that actually make grammatical sense — you want short domain names. If they’re tied to an established industry, that’s a value multiplier — the larger and more lucrative the industry, the greater the multiplier. And, of course, .COM is the best. And, don’t even give consideration to anything that has a dash in it, or non-word. So, keep all of this in mind when you’re hunting domains.
Now, how likely is it that you’re going to be able to find, acquire, and flip a domain as valuable as, say, the “usedcarsforsale.com” domain in the above example just by going to a domain name registrar, entering that domain, finding it available and registering it? Forget it! It wont happen. The odds of you finding a good domain name by simply thinking up domain names that would have significant value and then just entering them all into a registrar’s search function, looking for ones that haven’t been registered, and registering them, are astronomically small.
Understand this: There’s A LOT of people currently flipping domains for profit. And, a good number of the big-time pros run expensive software that constantly looks for key words in domain names and automatically snags up valuable ones within seconds after they become available.
They can set this software to scour through listings of recently acquirable domain names that registrars publish in a feed. They set the software to grab the feed and look for thousands of key-words, like, say “cars”, or “shopping”, or “money”, or what have you. They can set the software so that if it hits on a key-word, it automatically discards the domain if the domain is longer than, say, 20 characters (or, whatever they wish to set it to), or if it contains any non-alpha-numeric characters, or just about anything else they wish. If the software finds a recently available domain that meets all of the criteria the domain speculator has programmed into it, it registers the domain to the speculator’s account automatically.
With this automated software, the entire process — from locating the domain all the way through to registering it — can be done automatically, within seconds of the domain name becoming available. So, if something like “usedcars.com” (a domain that would likely make you millions) does become available, it WILL be registered by someone using one of these programs within one to three seconds of it becoming available. I absolutely guarantee it. But, the chances of a domain that good even becoming available at all is exceedingly unlikely — such domains are just too valuable. A domain with that much value would be sold, probably at auction, if the owner ever wanted to get rid of it.
Of course, with all of this known, it should be absolutely simple to see why thinking up a domain name and just going to a registrar to see if it’s available is pretty much pointless. If the domain you thought up would have significant value, then by the time you get to the registrar’s website, enter the domain you wanted to search, see the results posted and click through the link to register it, it’ll already be long gone.
So, what hope is there if you don’t own such software, and don’t have the up-front capital that the big-player domain name speculators do to register domain names in bulk, sight-unseen? Well, luckily for us, computers are fairly stupid. And, these programs they use, quite often, will miss a decent number of domain names that contain some real value — enough value, in fact, to make them highly attractive to smaller domain name traders — such as yourself. Yes, the big-boys with their fancy software do get most of the good ones, it’s true. But, there’s sooooo many domains being dropped and bought up all the time, that some fairly decent ones get overlooked with fairly good regularity. Enough that, if you were to devote perhaps thirty minutes or so per day to hunting for valuable domain names using the method I’m going to divulge here shortly, you might be able to come up with two or three $500.00 — $2,000.00 domain names a week — maybe more… maybe less.
So, forget about going to the registrars themselves and searching for available, high-value domains. You’ll just waste your time. So, what are you to do then? Well, keep reading!
Buying Domain Names For Profit:
In order to best use your time and actually have a chance of being able to grab some domains that have some decent value, you’re going to go after recently dropped domains. These are domain names that people have registered and, for whatever reason, they’ve allowed them to expire, so the registrars are making them available again. There are thousands, upon thousands, of domain names being dropped every single day. And, the domain name registrars broadcast a feed that lists each one of them the second they do get dropped. If you know where to look, you can access this feed, browse through the recently available domain names, and register any ones you see that look like they have worth.
Here’s a great site that you can use for doing this: ExpiredDomains.Net When you get there, click on the “Expired Domains” link on the menu bar near the top of the page. This will give you a listing of domains that have recently been dropped.
Now, when using this particular service with how to make money buying and selling domain names there’s a couple of things to know: Look at the headings of the columns above the listings table. There’s a few options that you can click on which will order the list in different ways. Here’s some things to keep in mind:
PR — This orders the list in relation to the Google Page Rank the domain currently has. The higher the page-rank, the more value is added to the domain name — as, the higher a site’s page rank, the better position the major search engines will give it in search results. So, if you see a domain that you’re considering, click on PR and order the list from highest to lowest. A score of 10 is the highest page rank possible. But, don’t look for 10s. You wont find them. Wikipedia.Org is currently a 9. Amazon.Com is only an 8. Google itself is only a 7. So, getting a web page to a page rank of anything anywhere close to a 10 is exceedingly difficult. Most of the sites you see will run between 0 – 4.
Remember that a high page rank is only a multiplier — a domain with a page rank of zero is not hurt by not having a page rank — if it’s a good domain. And, probably the most important thing to remember is that the domain has been dropped. This means that its page-rank is going to start falling — and, quickly. So, if you’re making a decision to purchase a domain because it has a high page rank, then you’re going to need to move the domain quickly in order to cash in on its page-rank value. There’ll be no registering and parking that domain. You’ll need to flip it quick — preferably within just a couple of days — otherwise you’ll very likely lose the associated page rank value.
The best use of page-rank when it comes to buying up dropped domains is to immediately point that domain at an existing website in order to try and exploit the traffic it might be getting due its high page rank.
DP — Another multiplier. This lists the amount of separate domains that are currently active on the internet which have links pointing to that domain. A high score here usually means instant traffic. So, this adds value to the domain. If you’re not clear on what this is, exactly, think of this: Back in, say, 2009, someone registers the domain “mycoolblog.com” and sets-up a blog on that site. They post articles every day to the blog. And, the articles are pretty good. Other blogs and webpages start linking to mycoolblog.com. Well, it’s five years later now and the owner of mycoolblog.com has lost interest in updating her blog. She’s moved on to other things. She hasn’t posted anything to it in quite a while and she lets the domain name lapse. Well, all of those other sites that have linked to mycoolblog.com over the years — those links are all still on their sites and are still pointing at mycoolblog.com. So, the more of these links that exist, the more likely it is that other people are still visiting those web pages, seeing the link to mycoolblog.com and clicking through to it. So, if you now register the expired mycoolblog.com domain, it’s going to come with that traffic right out of the gate.
Alexa — This means that the domain is listed on Alexa and gives its current ranking. Here, the lower the number is the more desirable. Google, for instance, has an Alexa rank of 1. While we here at EarningInternetIncome.Com enjoy an Alexa rank currently of around 1.4 million. And, in case that doesn’t make it clear, rest assured that the EarningInternetIncome.Com domain name is somewhat less valuable than the Google.Com domain name.
So, a lower score in the Alexa column is more desirable than a higher score. And, when it comes to the figures in this column, anything lower than 100k is fairly exceptional. Anything lower than 50k — GRAB THAT SUCKER IMMEDIATELY! I don’t care how many of the rules from above it breaks! The domain name could be 18×7—ksdfbb-2hxb.info, if its Alexa rank is less than 50k, BUY IT. BUY IT NOW!
So, head over to the ExpiredDomains.Net site and start looking for domains that should have resale value. Chances are that you wont find anything worthwhile the first time you check it. You might find one or two good ones your first time out, but they’ll already have been registered. But, if you keep checking it fairly regularly, you should be able to get your hands on the odd domain that has some decent resale value.
Oh, and as a side note: Make sure to watch out for easily overlooked misspellings. A small spelling error in a domain name can turn a great domain name into a worthless one. Recently, I almost soiled my britches while browsing through dropped domains names and I saw that “designerhandbags.com” was available to register! I hastily clicked through to my registrars website and tried to register that awesome money maker as quickly as I could. Except… I was looking at it quick! It wasn’t actually “designerhandbags.com” at all! It was actually “desingerhangbags.com”! Worthless!
Flipping Domain Names for Profit:
So, you’ve been to the site that lists all of the dropped and expired domain names a few times and you found a domain name that you’re pretty sure can be flipped for a good price. What’s the next step? The next step, of course, is to register it. But, here’s a trick you really, really, should be paying me money for: Don’t register it through that site that lists them. Instead, head over to good ol’ Google and do a plain ol’ web search for “domain sale.” When you do that, right at the top of the search results — in the top three results returned — there should be an advertisement result that says something along the lines of “99¢ DomainNames”, or something very similar, from GoDaddy. If you click on this link, you’ll be taken to GoDaddy where you can register your domain for just 0.99¢ for a whole year. There! I just saved you fifteen bucks! SEND ME SOME MONEY! …just joking (not really, though. Can I have some money?)… lol, no, just joking. (sort of)
That offer, as far as I am aware, and at the time of this writing, is only available when you do a search and click through the resulting advertisement link that appears at the top of Google’s search results. So, ever time you find a domain name to register, go to Google do that same search and follow that link to register your new domain.
And, guess what — if, for some reason, you end up not being able to flip your domain at some point within the next 365 days, you can just drop the domain and you’ll have only lost a buck. But, how likely is it that you wont be able to flip the domain? Think about it — if you’ve chosen the domain wisely, and you’re coming up to the renewal date and still haven’t sold it, you can offer it for $2.00 and make 100% profit! If you can’t sell a domain name for $2.00 — then YOU messed up in choosing the domain name.
Selling Domain Names for Profit:
Alright, so, now you’ve purchased a valuable domain name, you’ve gotten it registered for less than a buck and all of that. Now, what do you do with it? The selling part, after all, would seem to be an integral step in the process of how to make money buying and selling domain names for profit, would it not? Well there’s a number of things you can do, actually. You can advertise it for sale through a domain name broker. Put it up for auction on a domain name exchange. Make a sales page, point the domain to it and try to sell it privately. Or, push the sale yourself. (more about that last one in just a little bit)
No matter what, you should point your domain to some page, somewhere. And, preferably a page that advertises the domain as being for sale, and points any visitors to where they can purchase it. With that in mind, when it comes to actually moving the domain name, the quickest and most certain way of actually doing so is probably to go through a popular, established and reputable broker of some type. A few options that are available to you are as follows, in no particular order:
Keep in mind that any third-party brokerage or auction system you go through is going to take a cut of your sale price, and possibly require a listing fee as well — which, in practically all cases, wont be refundable should your domain name not sell. So, selling your domain name this way, while it’s the quickest and most efficient way to get the fastest and most widespread exposure for the sale of your domain name, it also can have its drawbacks. Your domain is more likely to sell, and sell more quickly using the services of one of the well-established third party domain name sellers. But, when/if it does sell, you’re going to end up with a smaller piece of the pie. And, if it doesn’t sell at all, it’ll very likely cost you money in the form of a non-refundable listing fee (depending on who you choose to go with). Still, most successful domain name traders make use of this method to move their domain names.
A Different Strategy for Making Money Buying and Selling Domain Names:
Alright, here comes another thing you should be paying me for — honestly. I know I could develop this next section that I’m going to reveal to you into an eBook and sell it for good money. So, I hope you’re happy that I’m just going to give it to you here entirely for free.
Here’s a strategy that I’ve used a number of times in the past to make a pretty decent return on investment with buying and selling domain names… nay… strike that… this is more accurate: Here’s a strategy I’ve used a number of times in the past to make a return on investment with buying and selling domain names that most multi-millionaire marketers would absolutely wet their pants over. How does an ROI of ninety-thousand percent in less than 90 days sound to you?
I’ll explain here exactly what I did the last time I went through this strategy, so you can follow along. I’m just going to change some actual names to fictitious names, and change the actual domain name that was bought and sold, because I don’t know if the real-world buyer would be appreciative of me actually making that information public — and, I’m not going to assume they would.
What I do is to search for valuable domain names that are highly specific to a certain industry and, of course, possess as close to all of the qualities discussed above which make a domain name desirable as is possible. So, what I’ll do is to think up some pretty specific industries. As an example, let’s say one of them is… just off the top of my head… uummm… construction adhesive manufacturing. Ok, I’ve got it. That’s an industry: construction adhesive manufacturing.
Now, I go to Google and I simply perform a search using that exact term. Doing that now, with that term, a number of pages come up linking to companies that are in the business of manufacturing construction adhesives. So, now what I do is to begin a hunt for the most valuable domain name related to that specific industry that I can find. I start scouring through the dropped domain listings, filtering by search terms like “construction” and “adhesive”, and that sort of thing. I also go directly to my registrar and at least try entering in the most desirable related domains I can think of “constructionadhesive.com” would be my number one choice. It’s probably not available, but it doesn’t hurt to try — and, you just might, maybe, perhaps, hit the jackpot every once in a blue moon. And, what’s it to you to try? 30 seconds of your time, perhaps?
If I find something that’s a clear winner, I register it — but, it’s got to be a clear winner. Like I mean, for this method, it’s got to be a domain name people in that industry would lmaost drool over. Then, if I find one, I simply go to all of those top ‘construction adhesives manufacturing’ search results on Google and search out company contact info, looking for a contact e-mail, for each one of them. When I’ve got the e-mails, I craft a well-formed, formal business letter which describes briefly, but in detail, the importance to a business of having a highly valuable domain that is highly and specifically targeted to that business’s area of operations. I explain how setting up such a domain name as an auxiliary domain name which points to their main domain in order to capture traffic from people entering in search terms the domain is targeted to is highly valuable for a business, and extremely inexpensive to maintain.
I then, of course, let them know that I am currently in possession of just such a domain name that would prove highly valuable for their particular business, and that I’m willing to let it go and am interested in hearing offers. I will give them a high-price — what I’m hoping to get for it. But, I wont make it too high, lest I scare them off. And, I’ll make it clear that this is an opening offer, and that I’m more than willing to consider any counter offer, should they be interested in acquiring the domain name from me. And, from there, negotiations begin.
If they’re interested at all, they’ll usually come back with some low-ball figure. I’ll respond by dropping my price a bit. They’ll respond to that by upping theirs. And, it’ll go on until we meet on some mutually agreeable price. …you know? Haggling!
This method works, believe me. The last time I did this, I did it backwards from how I described above. (which also works) While browsing through a listing of recently expired domain names, I lucked out and happened on a fairly killer one. I wont tell exactly what it was, for reasons explained above, but let’s say it was very close to ‘widgetdistributors.com” I snagged that little gem for a total of $0.99! I then did a Google search for all of the top ‘widget’ distributors, and found a bunch.
I sent my e-mails off to each of them, and, long-story-short, ended up selling that domain directly to one of them for $980.00. That’s almost a 100,000% profit! My total time invested? Finding and registering the domain, searching for potential buyers, writing and exchanging a few e-mails, then transferring the domain to their account? I didn’t run a clock on it. But, all told, I’m sure it was significantly less than three hours. Not bad, huh? That’s more than $327.00 per hour. Certainly nothing to sneeze at, if you ask me.
Alright, so, if you’re just starting out in trying to learn how to make money buying and selling domain names for profit, I really have let you in on some pretty damned juicy secrets here — certainly enough to get you up and running and actually making money yourself. I probably shouldn’t have done it. Heck, I’ve written over 5,000 words in this article — a little more fleshing out, a few more in-depth specifics and elucidations, and I certainly would have a valuable eBook that people would pay good money for. And, you’ve gotten it all for free. So, what do you say, as a token of gratitude, you pay a visit to this link and just spend a minute or two reading through the information located there? And, if you do actually end up making some money from the information I’ve provided above, then return to that page and purchase the product on offer so I can make a little dough for my efforts, huh? Sound like a deal?
And, of course, remember what the good ol’ FCC requires of me to tell you (and, rightly so): I’ve used the information and the system that I’ve laid about above to make money for myself in the past. But, that’s no guarantee that you will be able to repeat my success using this information. There’s a lot of variables involved and a good deal of learning and experience that goes into flipping domain names and realizing a consistent, valuable return. You very well might follow everything I’ve laid out above and not realize any returns at all, or, even wind up losing money. So, be aware of that — it is a possibility. This is just information that has worked well for me in the past. Your mileage, of course, may vary.
But, with the tedious and necessary legalities being said, I really do wish you the best of luck and success in locating and flipping domain names! Now, go out there and snag up a few great, valuable domain names! And, more importantly, have some fun doing it!
If you have any questions, comments, or concerns, please feel free to make full use of the comment box below and share your thoughts with us. I can’t promise anything, except that I will do my best to read and respond to your comments as my time and schedule permits. Have a great day, and happy domain name hunting!