Buying .COM Domains for Profit – Fool Proof Investments

Posted on February 11th, 2010
A blog post by DN (2 Comments)

For some people, finding a good domain can be very difficult. For others, it is as easy as sitting down for a short while and brainstorming. The success one reaches in finding a good domain name is determined entirely on their creativity and determination. While the more creative minds may come up with better names, more often, it should be noted that there is still money to be made from seemingly less attractive domain names. In fact, virtually any .com name can be bought and then sold in ten years for some sort of profit. The concept is simple; buy the domain, gather backlinks, wait five to ten years and sell the domain. This may seem like such a simple process that it couldn’t possibly work, but please continue reading before you decide to discard the idea.

.COM Domain Names – Prime Real Estate

The reason why investing in .Com domain names is a risk-free investment is because with each passing day there are less domain names that are memorable .com domains. In fact, sooner or later (not too long from now) there will be virtually no desirable .com domain names available. Since the demand is steadily increasing and the supply is steadily declining, the value of a .com domain name will always rise. When the situation is viewed in this simple context, it is easy to see why there are entire corporations designed to buy up all of the good domain names they can think of. These companies literally buy hundreds or thousands of domain names everyday, just to sit on them until the right buyer comes along. If there is any market that presents a risk-free investment at the moment, it would have to be the domain name industry.

Increasing the Value of the Domain

Although the value of the domain is going to naturally increase over time, you can also increase the value greatly by executing a few simple tasks during the time you won the domain. Older domains are generally worth more because they are more established, but this doesn’t mean they establish themselves. The domain owners spend their free time gathering backlinks for their site to increase the popularity and therefore the value of the domain. Backlinks are links that point to your website. Domain owners build up a lot of backlinks for their website in a number of ways. Any way you can get someone to post a link to your site is a good way to get backlinks. Perhaps one of the easiest ways to get backlinks is to do link exchanges with other domain owners.

Selling the Domain

In almost all cases, the longer you wait to sell the domain, the more it will be worth. However this is not always true. The true value of your domain will ultimately be determined by the individual that decides to buy it. Therefore it may be better to place the domain on the market indefinitely to receive a pool of offers over time until you receive an offer that provides a satisfactory return on your investment. In some cases this can happen in just a few short months.