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How to make a profit by selling domain names? 

 

You can sell a domain name you don't want or buy a domain and sell it at a higher price. Buying and selling domains have been quite a popular business for a long time. So many stories exist where people buy a domain at a low price and later sell it for a higher price. So how to make a profit by selling domain names? Learn the ins and outs of this business.

Factors that are used to calculate the price of a domain 

 

You can use different parameters to evaluate the value of a domain name. The first step in calculating your domain's value is to look at the name of the recent domain sale. Getting familiar with domain name sales is the best way to get started. Check out recent sales to see what types of domains are bought and for what amount. 

 

Domain price increasing factors

  • Top-level domain (a domain with .com, .net, .co.UK etc)

  • Short name

  • Existing traffic

  • Backlinks

  • Value of the similar domain 

  • You can use domain price valuation tools to calculate the price of a domain, there are free websites to value your domain name value like Easibot, NameBio, etc. 

 

Domain price decreasing factors

  • Long domain name

  • Misspelling name

  • Low traffic

  • Low-level domain

  • Suspicious and spammy backlinks

 

Ways and places you can sell a domain

 

To sell your domain name, you must first determine the way you want to sell your domain. You can sell your domain by contacting buyers through social media and creating advertisements. If you get a buyer, you can use the Escrow service to have a transparent deal without being cheated. Besides, there are some domain selling marketplaces where you can sell your domain.

 

The most popular markets places are: 

 

In this domain selling market, you can get the best price by using an auction; you will get a large number of potential buyers and a transparent process to sell your domain. Besides, you can set a minimum price for selling your domain and start the auction. There are forums and other marketplaces like eBay to sell your domain easily. 

 

Use Exploding Topics website to help you buy a domain

To maximize your revenue you can use Exploding topics website, to help you decide which domain names to buy.
Exploding topics is a website that shows topics that are starting to become popular.
Exploding topics show you which industries/businesses/products are becoming popular by analyzing different metrics on the web.
They show also the period something it started to become popular, you can find the option to search by time on their website.
Exploding topics have a free plan with limited functions.
You can Exploding topics to find what is starting to become popular and buy a domain name that is relevant with an exploding name.
If you buy a domain name that is relevant to a topic that it's starting to gain attention and becoming popular now, in the future probably when that topic it's more popular the value of your domain will increase and you can sell it for a higher price.

 

What is domain parking (parked domains), and how you can make money from it?

 

A perked domain is not connected to the server or any email or hosting. You can use the domain to show advertisements. People keep the parked domains for future sales or for building a website later. You can use your parked domain to earn money by using it as an advertisement site. You can earn money depending on how many users land on your domain and visit the advertisements. You get paid each time someone clicks on the ads (pay-per-click ads). For example, you can use Sedo or Godaddy to park your domains and earn money. 

 

What are domain drop-catching platforms, and what are the benefits for someone to buy a domain from there?

After a certain period, you have to renew your domain. When the owner fails to renew their domain name, the registrar gives them a grace period to do so. During the auction, if the domain is not purchased, it is placed on a drop list and eventually becomes available.

 

Here are some popular domain drop-catching platforms:

 

Buying a drop-catching have so many benefits. You can easily build a website that is already indexed on the search engine. You can sell the domain later at a high price; you can use this domain as a parked domain. Before buying a drop domain, you can check its quality.

How to check the quality of a domain before you buy it?

You can use tools like Moz, Ahrefs, Small SEO Tools, or Website SEO Checker to check the Domain Authority (DA) of a drop domain or any domain in general before you buy it.
You can also use tools like Similarweb to check the traffic of a domain.
A domain with a lot of traffic will help you to earn more money with the method of parking domain because more traffic means that more people will click on the ads of your parked domain.

A domain with a high Domain Authority number and high traffic as well has bigger value, and in general, it can help you to earn more money in many ways like selling it, creating a website, and so on.