How To: I made 65% ROI Buying and Selling Domains in 6 Months

Discussion in 'Domain Names' started by evossman, Feb 4, 2007.

  1. #1
    Aloha All-

    Just wanted to help others out who have dabbled in buying domain names and parking them, trying to make a few dollars selling them. This is nothing new but sometimes it helps to just have it written down in front of you.

    I've put together a five part series on the subject to capture the methods I've used over the past 6 months to make a 65% ROI. The first part in the series is at

    http://www.erikvossman.com/2007/01/09/part-i-how-to-make-money-buying-and-selling-domain-names/

    Not that I've invested huge dollar amounts in buying domain names but I think I've come up with a strategy that allows you to look at typos and type-ins as investments, kinda like buying and selling stocks. I don't go for the super high priced names, although since I've been able to make some money in the small names, I'm looking at scaleability and getting a higher ROI.

    As I said it's nothing new, but basically I:

    • Look for a Small Parked Revenue Earning Typo, like $3 to $15 a month
    • Try and Buy at Small Earnings Multiples
    • Park, Earn, and Sell
    • Rinse - Repeat

    I elaborate a little more in the articles but the best advice I can give is to be patient. Even though seeing a name that makes $10 a month being sold can be exciting, if it's being sold at 24 months earnings, it raises the risk of the investment. Wait around, the deals will be there.

    Hope this helps a couple people out.

    Oh and to be certain that the ROI is truly 65% I recently got my portfolio appraised and got an offer to sell it at the same price that the names cost me to begin with.
     
    evossman, Feb 4, 2007 IP
  2. 30k Challenge

    30k Challenge Peon

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    #2
    I use the same approach you do for the most part except I put up quick automated sites on mine that boost the immediate earnings while waiting on a sale. Bookmarked your articles though.

    Cheers
     
    30k Challenge, Feb 4, 2007 IP
  3. evossman

    evossman Peon

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    #3
    I've thought about putting up mini, automated sites, my payouts have been a lot lower than normal but I haven't had the time to invest in putting those sites up.

    If the payout is much bigger, which I imagine it is, I may think about that.
     
    evossman, Feb 4, 2007 IP
  4. nate_king1

    nate_king1 Active Member

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    #4
    The domains that make $3-15 in typo/misspell traffic per month are long gone.
     
    nate_king1, Feb 6, 2007 IP
  5. evossman

    evossman Peon

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    #5
    Why do you think that?

    I have quite a few, and there are always people looking to buy and sell them.
     
    evossman, Feb 6, 2007 IP
  6. 30k Challenge

    30k Challenge Peon

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    #6
    The last one I picked up makes $100ish per month. New ones are created daily as more sites come online / get popular. How do these rumors get started, seriously?
     
    30k Challenge, Feb 6, 2007 IP
  7. Halobitt

    Halobitt Well-Known Member

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    #7
    Also new fads, products, gadgets, and celebrities come and go.
    Always will probably.
     
    Halobitt, Feb 7, 2007 IP
  8. evossman

    evossman Peon

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    #8
    The only way I see typos getting squashed are if browsers start warning people of parked sites or typos, but people can always do something with the traffic.

    Thats the only worry I have. Does anyone think this is going to come about in the near future?
     
    evossman, Feb 7, 2007 IP
  9. tigrrra

    tigrrra Well-Known Member

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    #9
    Can you guys post one or ur parked urls I want to see the structure u use for those misspelled domains.
     
    tigrrra, Feb 7, 2007 IP
  10. nate_king1

    nate_king1 Active Member

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    #10
    The quality generic domains that produce that revenue are long gone, like fastmoviedownloads.com or camortageloans.com

    But there are always going to be new movie websites that generate revenue ie...

    Transformres.com
     
    nate_king1, Feb 7, 2007 IP
  11. evossman

    evossman Peon

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    #11
    I agree. You now have to pay big premiums for generic typeins. I pick some up every once in a while. But it's tough to come across some and get a good deal.

    Although they're coming up with new extensions all the time (rediculous IMHO) I'm not sure how people get their hands on those generics in the new extensions, i think you have to know someone.

    :)
     
    evossman, Feb 7, 2007 IP
  12. evossman

    evossman Peon

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    #12
    Sorry it's more than likely against some TOS to post these types of domains, if you're with a parking company. Just type in something to your address bar then while you're typing look at letters around each letter on the keyboard that you just typed in. What's more typical? Who knows.
     
    evossman, Feb 7, 2007 IP
  13. SiteBuyerUK

    SiteBuyerUK Peon

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    #13
    Thanks for this, i never have much to any luck with parking domains, but i may give it another shot.
     
    SiteBuyerUK, Feb 8, 2007 IP
  14. Stealx

    Stealx Active Member

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    #14
    i never have much luck parking either :(
     
    Stealx, Feb 8, 2007 IP
  15. Your Content

    Your Content Banned

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    #15
    And the worst of all is that most parking revenue services do not pay unless you have at least $20, $50, $100 or up, depending on the service.
     
    Your Content, Feb 8, 2007 IP