The fastest way to get to financial independence is by adding a side hustle to your day job. I love side hustling. I constantly have a side hustle going. Most recently, I've gotten into domain investing. If you've read my story on how I got out of debt in 2 years, you will know that it was purchasing real estate for the right price and then flipping it at the right time that got me out of debt.
A lot of folks don't have the capital to purchase real estate for an investment, especially in cities like Seattle (where I live) where the prices are through the roof. However, there is another kind of real estate - online real estate. Anyone can be an investor and it is a relatively low touch side hustle. Domain prices have been driven up recently by the growth of WordPress and how easy it is to start a website these days. Folks are willing to shell out for the domain of their dreams.
Just like with actual real estate, good domains are getting more and more valuable. Depending on how much time you invest in side hustling, you can flip a domain name in 90 days for an average of $1K-$5K. That being said, domain flipping takes some knowledge
and you want to make sure you aren't impulse buying domain names that are worthless.
In this blog post I will talk about: - how to buy domain names
- how to select good domain names
- how to purchase a domain name
- how to sell domain names
How To Buy Domain Names The easiest place to look for domain names is on auction sites such as GoDaddy, Flippa, Sedo. I also like to subscribe to the Just Dropped newsletter. It's a list of domain names that gets emailed to you daily by Dan Rubin. If you don't have the time to sit on auctions, this is an easy way to get started. I've bought domain names from here and it is legit, and probably one of the easiest ways to do a transaction.
How To Select Good Domain Names This is the part that takes practice to nail and find domain names that are worth the flip. There are several steps you can take to make sure that you find something that is valuable.
1. Look for short domain names. Short domain names are more memorable. 2. Look for Top Level Domain names. These are names that have a .com. Don't even think about purchasing a .net, .org, or anything else. Waste of money. 3. Google the domain name and see if a version of that title website already exists. Does someone own the .net of the .com you are looking at? That is a potential buyer who would be willing to shell out.
4. Use estibot to determine the domain name value and search traffic. Esitbot is literally my life saver. I love this tool so much. It immediately tells me the base line I can flip a domain for, how much traffic a domain name is getting, if the domain name is strong, and potential buyers. Estibot is $29 a month, but if you are serious about domain flipping cut the work in half for yourself. There have been so many times I thought a domain name was marketable, and Estibot tells me it is worth $0.
5. Buy domain names that people want to purchase. This is usually in a specific niche or business. Focus on learning about an industry so you can get the hang of what could be up and coming domain names.
How to Purchase A Domain Name Once you've figured out which domain name you want, go ahead and bid on it or "Buy It Now". I personally like GoDaddy's auction because you have to be a member ($4.95 a year, no big deal) and that is a bit more secure and you are bidding with folks who are serious. Also, you can use Ebates for GoDaddy on domains you purchase. I mentioned Dan's Just Dropped domains - those are easy to buy through PayPal.
How To Sell A Domain Name 1. Sell on Brandbucket.com. There are tons of brands and startups looking for a name and logo. Most domains selling on Brandbucket go for at least $2K. Once you buy your domain, head on over to Canava.com, make yourself a logo and upload to Brandbucket. Done! 2. Reach out to potential buyers in your niche. Estibot has a great feature that shows you potential buyers, including their email. Google potential buyers who have names similar to yours and send them a note letting them know the search traffic volume coming from the .com you own and if they would like to purchase. Look up hashtags and handles on Instagram and Twitter to see if there are people who have the same name as your domain name and would be interesting in purchasing.
3. Sell your domain name on an auction. There are many auctions (GoDaddy, Flippa, Sedo, Namecheap.com) that you can post your domain name. It's usually not recommended to post on all at the same time because you can run into multiple people buying the domain at the same time. A few of the auctions also take a commission off of the sale, so figure out which one you feel more comfortable with.
To wrap up, get started, bid on a few domains that you think are valuable according to the above steps, list them on an auction and see how it goes. With everything, it takes time and practice. The great part of domain investing is anybody can do it and you don't need a lot to invest.
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