⚠️ Reality Check
Domain investing isn't get-rich-quick. Most domains never sell. The successful investors have years of experience, large portfolios, and accept that most acquisitions won't profit.
How Domain Investing Works
1. Hand Registration
Register available domains at standard price ($10-15). Least expensive but hardest—all the good .coms are taken.
2. Expired Domain Auctions
Bid on domains that weren't renewed. Platforms: GoDaddy Auctions, NameJet, DropCatch. More competition but better inventory.
3. Aftermarket Purchases
Buy from other investors or end users. Higher cost but known quality. Negotiate for better prices.
What Makes a Domain Investable
✓ Good Signs
- • Short (1-2 words)
- • .com extension
- • Real English words
- • High search volume keywords
- • Easy to spell/pronounce
- • Clear commercial use case
✗ Red Flags
- • Hyphens or numbers
- • Obscure TLDs
- • Trademark issues
- • Misspellings
- • Too niche/specific
- • No clear buyer
Where to Sell Domains
| Platform | Commission | Best For |
|---|---|---|
| Afternic | 15-20% | Wide distribution network |
| Sedo | 15-20% | International reach |
| Dan.com | 9% | Modern UX, landing pages |
| GoDaddy Auctions | $5/year + 20% | High traffic |
| Direct outreach | 0% | Maximum profit |
Portfolio Management
Key Principles
- Track renewal costs: A 100-domain portfolio costs $1,000+/year just to maintain
- Drop non-performers: If a domain hasn't sold in 2-3 years and has no inquiries, let it go
- Quality over quantity: 10 great domains beat 100 mediocre ones
- Spreadsheet everything: Track cost basis, inquiries, renewals, and estimated values
Common Mistakes
Registering too many domains: Renewal costs add up fast. New investors often register 50-100 domains, then realize they're spending $500+/year on domains that won't sell.
Ignoring trademark law: Registering brand names or variations is illegal and will result in UDRP complaints. You'll lose the domain and may face legal action.
Overvaluing your domains: Just because you think a domain is worth $10K doesn't mean anyone will pay that. Check comparable sales.
Getting Started Realistically
- Study NameBio sales data for 3+ months before buying anything
- Start with 5-10 carefully selected domains, not 50
- Budget for 3+ years of renewals before expecting sales
- List on multiple marketplaces
- Learn to let go of domains that don't perform
- Treat it as a long-term side income, not a primary business