Buying sites as an investment. Anyone?

I have a couple of sites that used to make me a lot of money. However, I was recently sent to "Google Hell" on the most profitable of the sites, so that had a big impact on my monthly revenue. I was thinking of buying established sites as an investment, does anyone here do that regularly?

My idea is basically to buy a site for a max. price of $1000, and that site must make $200 monthly via Adsense. By the end of 12 months, I'll have $2400, which gives me a return on investment of 240%. Even if the rev. drops to $150 monthly, the profit is still great: 80%.

It sounds a great deal looking at the numbers, but is it really? My main concerns are the quality of the site and the stability of earnings and visitors. I need to be sure that the site will in fact generate a steady revenue and require little work. Is it worth the trouble to invest in such an instable market?

Thank you!

 

You have PM

 

I think it depends a lot on the niche... I wouldn't go for anything sketchy..but instead solid gadget, tech, business, or travel sites. Buying blogs is an idea, but hiring a blogger could be spendy.

I think when I start to buy sites I'm going to focus on revamping and flipping them.

 

I've always wondered, if the site has the ability to generate the income, why would anyone sell it?

Wouldn't it be smart just to keep the site themselves and make the money?

Some would argue that these sellers might need quick cash...BUT, if they go and borrow money (even on their credit card with high interest rate), they'll still be better off keeping the site and earning like 240% in return.

 

I thought to. But I've noticed most people sell sites for a one year revenue and I it's quite hard to get any insurance and good revenue reports. A lot of people just do that: develop a site to sell it and I'm still having a hard time to distinguish which ones are 100% genuine.
But if it's a site on a niche I'm quite familiar with I don't have to think this way - the revenue is not the only thing that matters to me.

 

chiefwiggum, I am sure it is worth the trouble if all works out as per the numbers you have mentioned but the important thing is you have to invest in the right sites - you need the fine eye to identify those sites which can perform upto your expectations

 

Without you managing or doing nothing for the site the succes can't last long

 

I'd rather invest 1000$ in making a site, link building, programming, unique design etc and just grab 60% of the revenue, give 40% to the webmaster, and it's a pretty good combination.

 

I agree, because that's a pretty decent budget to start a nice site. Plus you also get more control over your site.

 

i totally agree with you on this one. some people will be willing to sell their sites to earn a quick buck, where they cant borrow from family/friends/credit card etc, or even if they have lost interest in the site, so there certainly is sites out their which will suit your requirements, but do a lot of research before you invest in the site. instead of seeing screenshots of adsense accounts, ask them to show you the account personally, because anybody can make a screenshot, then photoshop it to make it look like their earning a lot of moeny, then wen you pay for the business, they do a dissappearing act and you wotn see them again

 

yeah i agree with flash9..

Im also thinking about getting in to flippen

 

matters how much money you can spend on a website , and how much profit you thnik you will be able to make .....