What Is Domain Investing?
So what is domain investing? Domain investing is buying a domain name and selling for a profit that is the easiest way to word it.
For those that do not know what a domain name is, it is a name for a web site. The more technical definition for a domain name is it identifies a network or it represents an IP (Internet Protocol) resource, that is used to connect to computers or servers that are hosting the website or app. Meaning that instead of using an IP address for example 172.16.254.1. a domain name is used like google.com and is easier to remember. Do you think you could remember google from just using 2001:4860:4860::8888?
How do you invest in a domain name?
There are many ways to invest in a domain name here are a couple.
- Register a new domain name
- Buy expired domain
- Bid on auction
- Buy from another Domain investor
The first on the list is to register a brand new domain with a registrar such as GoDaddy or Namecheap. This way is one of the cheapest methods you can register a domain for below $10 USD each.
Next is to buy an expired domain name. There are many pros to buying a domain that was once owned. The name could have been used for a website so that means there is traffic already coming to the name. The age of a domain is something many investors look at, the longer the domain has been around the more likely it is to have a sale from someone who used to frequently visit the site.
Another way to buy a domain is to bid for one or a portfolio of them at an auction site like SEDO and Flippa. This is the way I personally got started in domain investing. I was biding for a portfolio of domains and got 12 domains for under $100. A couple of months after buying the portfolio I sold one domain for 3x what I paid for the entire portfolio.
The last way to get a domain name is to buy from another investor. One investor sells to another. Key To Web has a great selection of domain name at reseller prices click here to see our great selection.