Is it possible to buy domain names that make $5 a day?

[maxf]

Hey all,

I've got some spare cash that I'd like to invest in a domain name. I'd like to know if you think it's possible to a find domain name that I wouldn't have to manage at all, and that would make $5+ per day. Are there many domains like this? Type-ins I suppose?

How cool would it be to save up and build a portfolio of domains that pull in a total of $XX per day!

Anyways, what could I expect to pay for something like this if such a thing exists?

Any information would be fantastic! Although I'm a veteran to DNF, I'm new to domain parking and such. Thanks!

 

[simon]

Of course its possible.
Tell people about your budget and there are different types of names depending upon your budget, from generics to TM typos

 

[noelius]

Well, I suppose there will be. it depends of domain, keywords, PR, and type-in visits.

 

[maxf]

Of course its possible.
Tell people about your budget and there are different types of names depending upon your budget, from generics to TM typos

Starting off, my budget would be between $500 and $1000 USD, depending on what the domain is, and how long it has been making money.

Any other details I could scrounge up from you all?

 

[GT Web]

There are many (probably thousands) of names that make $5 or more per day. Depending on the name you will probably have to pay at least $3000 for a solid domain making this much...but there are certainly names like this out there. Adam (DCG) claims he has names making at least $100 per day...and although these names are much more rare, I believe him.

 

[David G]

Based on paying about 8X yrly income you should be ready to pay at least $15,000 for a $5/day domain. I can see that value going as high as 50 to 100X yrly income within a few yrs.

 

[dvestors]

$5 is possible, $50 is possible, $500 is possible, $5000 is possible.

Starting off, my budget would be between $500 and $1000 USD, depending on what the domain is, and how long it has been making money.

$1000 is too low for a $5 per day name. You need atleast $1825 ($5 day for 1 year)..but most people won't sell a solid earner for 1 year rev. Usually 2-3 yrs., sometimes 4-10 yrs. depending on the quality of the name. You might be able to get a hold of one if the domain itself has low value, like akskz344s-aks.info, or the traffic isn't specifically targetted, or maybe you could catch a deal b/c someone needs quick cash.

If you can't extend your budget, collect smaller names that add up to $5 or any desired figure for that matter. I'd add a few more zero's to your goal though!

 

[whydna]

Based on paying about 8X yrly income you should be ready to pay at least $15,000 for a $5/day domain. I can see that value going as high as 50 to 100X yrly income within a few yrs.

Hah. Those figures seem a bit inflated IMO.

 

[Steen]

50 to 100x yearly income for domains?
Who's buying?

 

[GT Web]

I can see that value going as high as 50 to 100X yrly income within a few yrs.

I can't.

Who in their right mind would pay $36,000 for a name making $1 per day - assuming traffic is its only source of value? Everyone needs to realize, the internet is changing and evolving so quickly, domains as well know them might not be around in 10 years, let alone 50 or 100.

 

[mike031]

there aren't too many sellers this days. many buyers out there, very few sellers who are willing to part with their names for a single digit multiple... it's definitely a sellers market.

if you want some action you better be prepared to spend some big bucks.

domain names were the best investment in ones lifetime, pre-2000...now it's a different story. there are still deals to be had if you know what your doing but if you are starting from scratch it's going to be really tough to get some value... so much has changed this past 2 years, industry has really matured. it's amazing!

 

[nickb]

those names are out there but i'd agree that there are few sellers.

one of the first domains i registered ( 4 months ago at $5) was a slow starter but last month averaged about $3 per day with a few $5+ days. all type in's as well it would seem. now, i wouldn't sell that name unless i received an offer i couldn't refuse. it brings in a decent daily amount and repays for its every few days.

i'f everyone feels the same way about their revenue earners then very few will come up for sale at a decent price.

 

[pleasedelete]

there aren't too many sellers this days. many buyers out there, very few sellers who are willing to part with their names for a single digit multiple... it's definitely a sellers market.

True.

if you want some action you better be prepared to spend some big bucks.

Pretty much sums it up.

 

[none]

Based on paying about 8X yrly income you should be ready to pay at least $15,000 for a $5/day domain. I can see that value going as high as 50 to 100X yrly income within a few yrs.

The 30-year treasury yields 5%. Why would anyone want to pay 50x-100x for a 1%-2% return?

 

[petrosc]

Based on paying about 8X yrly income you should be ready to pay at least $15,000 for a $5/day domain. I can see that value going as high as 50 to 100X yrly income within a few yrs.

Why would someone pay 100x or even 50x yearly income for a name? I wouldn't invest into anything that would bring my investment back in 50 or 100 years, thats just crazy....

 

[madcamel]

The 50x prediction is based on the assumption that a domain that makes $5/day now will make more than that in the future (PPC prices will go up, better parking pages that will improve CTR). So you actually pay less than 50x if this prediction will come true.

 

[petrosc]

The 50x prediction is based on the assumption that a domain that makes $5/day now will make more than that in the future (PPC prices will go up, better parking pages that will improve CTR). So you actually pay less than 50x if this prediction will come true.

But even if I pay for 50x the current yearly revenue and then I make my money back in 30 years, who would make such an investment? Why would someone in his 30s invest $1,000,000 in order to make profit when he is 60?

Nowadays, good generics will go up to 20x their yearly revenue and I can understand that. but more than that is just crazy

 

[DomainLobe]

I believe it comes down to opportunity cost - if you put your money into domain names what other investment opportunity are your missing out on ie. stocks, bonds, realestate, homebusiness or debt repayment ( but where is the excitement in that!)
Not only is ROI (return on investment) important so is what I call RORI or 'rate of return of investment' or how fast you can make your initial investment back so that you can deploy you money elsewhere. This needs to be constantly re-evaluated: domains today but something else tomorrow.
This is dynamic world but easy to forget once addicted.
My thoughts anyhow.