Sometimes people purchase domains that they plan to build a website on or sell in the future, but it just doesn’t end up happening. If an individual decides that it is no longer worth the yearly investment of keeping the domain in their account, they may choose to let it expire. Or, someone might just forget to renew the domain before the expiration date. If this happens, it’s a great chance for other domain investors to score rare domain names that are pending delete. Spending time perusing the list of recently dropped domains can be a worthwhile way to find high quality domains.
Great post! I tried to repurpose an expired domain to build an authority site (your method 1) – but it doesn’t rank as it should. i checked the backlink profile via majestic and archive.org and it’s clean. also checked the metrics of the competition. with the amount of trust and link juice my expired domain has vs. the competition, it should be on page 1 for those keywords. is there something i’m missing here?
In the grey hat SEO world, the thought is that you can take a domain that is keyword driven, do a quick optimization to get the site ranking, and sell it off at a profit. It could, and does happen daily. How much time is invested in optimizing a site to get to page one, vs how much the site will sell for? (remember that quote at the beginning of this article?). Let's put it into simple math:

Premium Domain names are domains that are already registered, but are available for sale at a higher price. Sometimes it will be an individual selling the domain, or it could be the domain registry (Like Donuts Inc. or Radix) selling their top quality inventory at a higher price point. These domains can be priced anywhere from a couple extra bucks to millions, depending on the domain name, the level of interest, or the amount of traffic it organically receives.

When you see one that looks pretty good you can just click on the bid button and you’ll be taken to Go Daddy Auctions which shows some more information about the domain bidding process, how many people have bid, the traffic potential per month, the price which is now $12. How much time is left? You can make a bid. It’s based on the link profile and it’s relevancy, authority and your budget. This domain looks like a good bet for you.
The third option is the one that's the most time consuming but also has its benefits. It's like having a successful restaurant and buying another restaurant and operating them simultaneously. They're not the exact same restaurant, but both are popular in their own right and make you money. The same goes for Option #3. You could update the content on the old domain and sell the same products that you're selling on your current site. If you can get both sites to rank alongside each other in the SERPs, you're increasing your conversion chances and sales potential.
Thanks for this post. I do good with Adsense and wanted to branch out so I bought 5 domains from Namejet after reading this thread. After the 5 auctions ended I spent $500 total. I contacted 30 people about these domains and after a few bites I was able to sell one of them for $500 so I got my money back and now what I sell the other four for is all profit. The best part about this is that it is not very time consuming. I spent maybe an hour on Namejet. I spent maybe two hours sending out emails. Thanks again!
Determine your domain's value. Before you start taking offers or listing your domain, take stock of its value so that you can come up with a good price. There are a lot factors to take into consideration when determining the value of a domain, so if you are unsure it may be wise to contact a company that performs these assessments. Some of the major factors include:
Building a solid domain portfolio is not a piece of cake; it may take you several months or years to achieve this goal but it will definitely be worth it in the end. When you are in the fishing phase, look at the potential of the domain name. Another common strategy used by seasoned domain flippers is to get hold of some high profile domain names and sit on them until they soar in terms of value.
The first thing you need to do is signup at Namejet in order to get your account (signup is free).  You can then use their search functionality to sort through all the upcoming domains for auction.  Place bids for $69 on the ones you want to go to auction for.  If you bid on 100 different domains for $69 each, and there is 50 bidders for each auction you need to understand you aren’t going to owe any money, you are not committing $6,900 to Namejet.  By entering that $69 you are getting an entry into the live bidding when the 30 days expire.  Only if you are the ONLY bidder on a domain would you automatically win the domain and owe $69 to Namejet.

You can find the new fields in the Column Manager and the Majestic Filter Tab. Majestic Crawled URLs, Information about the Outbound Links of the Domain and Information about the types of Incoming Links (follow, homepage, ...). Also you can now see the detected language for the website (or previous website) on the domain and the language of the anchor text links referring to the domain. The filter for the website language only includes values with at least 20% and the filter for anchor texts only with at least 10%. When you hover over the column, you still see all values (even lower percentages), but lower values are not used for the filter. If you only want to see domains matching the majority language, use the "majority language" filter. Unfortunately that filter doesn't work in the domain name search
Then the number is an HRL so it’ll be quite a bit different then you’ll see an expired domains because domain pop service is not very good compared to HREFs. Usually this shows about 20 percent of the total lengths. This shows more like 80. Okay? As you can see it has actually 162 referring domains which is quite a lot better than we saw in expired domains.

The domain name industry is quite similar to the real estate industry in a lot of aspects. There are end users, brokers, consultants and domain flippers or “domainers”. Domain flipping works similarly to buying a house, renovating it (or even sometimes just sitting on it) and then selling it again at a higher price point. The gist of it is: you’re purchasing a domain name and betting it’s worth (or will be worth) more than you paid for it. If you’re right, you get a nice paycheck and move on. Those who make a living out of this just rinse, repeat, and scale.
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