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How To Make Great Money Part Time Buying And Selling Domain Names – Part One
This is truly a business to enter in 2005. This is a red flag opportunity that savvy investors can overcome when you know how. And this article will walk you through the process of making money step by step.
Don’t be put off by the word “investor”. I am not talking about big money here. As long as you have an extra £5 a week there is great money to be made for just half an hour of your time. Like that sound? It felt like that.
There are a few ways you can make money by buying domain names and selling them for a profit. And I mean PROFIT. In no time you’ll see why people are clamoring to your door to buy from you.
Let’s start with the basics.
All domain names are registered for a limited period only. Registrants can choose to use the name for a period of 1-10 years. After this the rights of these domain names expire and the user has to renew the name again. If they don’t, it will be put on hold for a short time and then deleted. This means that it is available to anyone who wants to buy it!
This is where you can cash in!
20,000 expired domain names are made available daily. Some of the names are very attractive and well established.
Example. Last year Race.com owners did not renew their registration fees. A savvy ‘investor’ snapped it up for a few pounds (a term used to describe the purchase of an outdated name) and sold it to the old owner for thousands and thousands of rupees.
The owner was willing to pay the investor a large sum of money because he had built up qualified traffic over a period of X years and didn’t want to lose all the previous custom.
Now I admit that selling for thousands is rare, but certainly possible.
Chances are you can buy a domain name and register it for £5-£50 and then sell it for £150 – £1000. Do this with five domain names a week and you’re looking at big bucks for just two hours of work.
It’s not just businesses that carelessly give up their domain names that will buy you. There are also other businesses that will buy the old owners name to get traffic. This is a valid way to increase your customer base.
And if the old owner and the new potential owner get into a bidding war…well..the sky really is the limit.
So there are two main reasons why people are willing to pay you hundreds of pounds for a domain name.
A) They carelessly allowed the domain name to expire. This means that they will pay you to get the name back to ensure they don’t lose their existing traffic that they have built up over the years.
b) They are businesses in the same sector that have allowed the name to lapse and therefore have to pay you to secure the competitor’s existing practice.
Here’s step-by-step how you get into this incredibly profitable part-time business.
There are many sources of expired domain name information and recovery tools, some free and some that require a fee.
http://www.wehavethem.com provides a list of names to be deleted. http://Www.DeletedDomains.com allows you to do some free and more extensive searches for a $99 annual fee. You can search for names to be deleted and allows you to pre-bid on newly deleted names. Other ‘investors’ usurped.
What you are looking for is an expired domain name with more than 1500 traffic in the last month. Make sure the site is a real customer site. There is no point in buying a domain name if the previous site is not selling anything.
If you see a site with thousands of visitors in the last month, grab it. Chances are the previous owners will be itching to remove their name from you because of their apparent success.
Also if you see a name that has a lot of qualified traffic expiring and has a lot of traffic, use an automated grabbing system like http://www.snapnames.com and http://www.pool.com. Make sure you register them the second they become available. The cost is about $60 but only if they get the names for you. It’s definitely worth it in my eyes.
Remember that you can easily sell the name for hundreds, maybe thousands.
In Part 2 we’ll take a look at how you market your name once you’ve got it. But in the meantime here are some domain names that were for sale at the time of writing this article. Now obviously not all names sell for that much, but there’s a real chance you’ll stumble upon a gem in your business.
Profitability in this business is like no other. Now it’s your turn to get your share of the billion dollar industry of buying and selling domain names.
Until next time…
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