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I have several clients whom I am helping to build domain portfolios. I initially set a minimum of $100,000 to enter, but I would not do it for anyone with less than $500,000 to invest now. It takes too much time and effort for me to help someone with only $100,000. We have been buying traffic domains that mostly cost $1,000 to $10,000. With $500,000 to invest, $5,000 to $50,000 would be a good range for domains.
You need to buy enough domains for diversification, to reduce risk, just as when in investing in stocks or real estate. Most of the effort comes in finding and negotiating for investment-grade domains. An investor can easily (if they know what to buy) earn 15% to 30% ROI, with considerable potential for the return and the capital value to increase over time.
Only buy investment-grade domains. That means traffic with staying power. For as long as you can, reinvest all earnings in new domains. The $500,000 will turn into a $1,000,000 portfolio in 2 to 4 years, and then be earning $150,000 to $300,000 per year.
You need to buy enough domains for diversification, to reduce risk, just as when in investing in stocks or real estate. Most of the effort comes in finding and negotiating for investment-grade domains. An investor can easily (if they know what to buy) earn 15% to 30% ROI, with considerable potential for the return and the capital value to increase over time.
Only buy investment-grade domains. That means traffic with staying power. For as long as you can, reinvest all earnings in new domains. The $500,000 will turn into a $1,000,000 portfolio in 2 to 4 years, and then be earning $150,000 to $300,000 per year.