Flipping domain names

Flipping domain names is quite a common way of making money on the Internet. It’s been around for a long, long time. “Flipping” in this case refers to the practice of buying and, later, selling a domain name. This is a basic “buy low, sell high” practice.

Typically, one of two strategies is employed in this industry.

1. Buy, hold, then sell.

This strategy involves buying a domain name, holding it for a while, and then selling it when a good price comes along. Of the two strategies, this requires the least amount of work.

2. Buy, improve, then sell.

This strategy involves buying a domain name, improving the website associated with the domain name, and then selling the domain name. This involves more work than the other strategy, but performing the work (assuming the improvement was performed wisely) will likely increase the value of the domain name.

Is flipping domain names lucrative?

Yes, it can be lucrative. But flipping domain names isn’t for the weak of heart. It’s a tough business. To make a profit, one needs to have great foresight, managerial skills, money, patience, and persistence. Being able to develop and market a website would also be invaluable.

Here are a few techniques that may aid you in you in successfully flipping domain names.

1. Watch the market

Observe the domain name market. Observe what domain names are bought and sold. What qualities and characteristics do those domain names have that make them valuable?

Typically, domain names like “God”, “Money”, “Music”, etc. will fetch a high price due to how well-known, descriptive, and desirable they are.

Needless to say, a random domain name like “75boxstreet” won’t be worth anything unless it is associated with something popular.

2. Try to buy short, and memorable, domain names

Domain names like “lime”, “pool”, “fox”, etc. may be good choices for beginning domain name flippers. These names are common, descriptive, and may be desirable provided one can find the right buyer.

3. Don’t spend what you can’t afford to lose

Realize that flipping domain names involves quite a bit of risk. You may not get any profit from selling a domain name because you. Most people barely realize any profit after putting a ton of work into improving and selling a domain name. Only spend a little money, at first. When you become more comfortable with buying and selling domain names, you can invest more money.

What factors influence a domain name’s value?

1. The length of a domain name

Shorter domain names tend to be more valuable.

2. Commonality

How common a domain name is increases its value. For example, a domain name like “God” is highly valuable.

3. Association

The associations attached to a domain name make it valuable, depending on the buyer. For example, the domain name “God” would be valuable because its associated with God or other deities.

4. Hits

Domain names that are composed of commonly searched for words are highly valuable. The word “Money” is often inputted into search engines. If a domain name was “Money”, it would be very valuable due to the fact that it is often searched for.