If you buy keyword specific domains, you're really buying the type in traffic.  I use the URL builder and redirect through that URL so you can see how much traffic your getting from the keyword domain.  There seems to be no rythme or reason to what keyword domains deliver traffic and what don't.  By tracking traffic with the Google URL builder you get a feel for what names are giving you traffic and which are not. ie. the plural, the singular, two words, three words, the possessive, etc.

You can add it as part of a private blog network or you can 301 redirect an expired domain to your site to bring some trust and authority to your site. Now, in my experience, the best place to look for expired domains is this free website called expireddomains.net. So, you just have to head over there, make a free account and this is the page that you’ll see when you log in.
So, you paste the domain into here and click on the search domains button. This will show you more information about the pending delete status domain. In this case, you have to order by June 13th and today is the 10th. So, you have three days and you just add it to your cart as if you’re just buying anything online. Just check it off and click add to cart. It’s added to your cart and they will try to get it on your behalf.
Lately I've noticed a lot of questions in Q&A centering on purchasing expired domains. A lot of our members have expressed interest in buying old domains for a variety of prices (some are cheap, some are going for upwards of $50k) and want some advice on what to do with the domains once they've been purchased. I'm no domainer, nor am I an expert in such a business tactic, but I generally recommend one of three different options for an expired domain (and would love to hear more if you've got any).
Wait for people to contact me: When I bought my two domains, I didn’t pay the extra $12 for Domain Privacy, learn about Domain Privacy here, so anyone can look up the owner of IHateCold(.com) and ReallyFunnyJoke(.com) in the ICANN WHOIS Database. It can tell you whoever owns any website unless that domain owner pays for domain privacy. So if someone was really interested in any of my websites, they could look me up and shoot me an email about their interest.
The first is the link profile I and actually took this example carbondsystems.com because it looked like a pretty good choice. It’s from 2003. It has some links, some age and it’s in DMAS and looked at the link profile in DMAS. So, you just copy and paste the domain,  the home page it to here, click on the search links button and this will show you all the links to that site.
You can easily find domains using the best metrics available from Ahrefs, Moz, Majestic, SEMRush, Similar Web, SEMrush, Domain Scope and Social Networks. We buy only the best, the latest, and, the most comprehensive industry wide metrics so you have the maximum amount of information to make a decision. No other tool gives you access to 90+ metrics.
What about option #4 - Redirect your existing domain to the old domain? I bought an old domain that is 100% relevant to my current domain but currently has with very little content. It did have more content fours years ago. The old domain is 13 years old, pr=3, while my current is 7 months old pr=1 and a decent amount of content. The old domain I purchased was not expired though and I do not know if this makes a difference. What are the pros and cons of option #4? Am I correct to think that option #1 would result in no benefit from the old domain's age value and if so why is it not listed as a con, a MAJOR one. Its hard to believe that a 301 using option 1 would give my existing domain 13 years credit but I'll take it if it does.
Here's a test I have in process.  I bought an old $5 closeout domain from Godaddy TDname expired auction.  I put a quick minisite up and linked to it with a crazy anchor text phrase.  The domain is ranking for that crazy term now.  It's gone through one pagerank update and I'm waiting for a second to come.  Then I'll redirect the domain to another minisite.  I suspect the second site won't rank for the anhor text, but we'll see.  
HostGator often offers promotions, coupons and special offers to customers during their initial term. Please note that special offers are limited-time promotional prices that are available to new customers and are valid for the Initial Term only, and not for successive or renewal periods. Promotional rates apply to GATOR, Shared, Cloud, VPS, Dedicated, WordPress and Reseller hosting plans and will automatically renew after initial term at regular rate found in your control panel. Note: If you register a free domain through us and wish to cancel your account, there is a fee to retain your domain.
There are many risks that would-be domain investors should carefully consider before buying and selling. The three largest risks are liquidity, subjectivity and legality, but there are also many other ranging from misleading appraisals to faulty escrow payments. Would-be buyers should carefully consider these risks before investing in domain names.
Here's an old post on search engine roundtable that claims google's policy is to discount previous backlink juice when a domain changes ownership.  I'm not convinced whether this is actually true or something Google says to discourage excessive domain buying / 301 redirecting for SEO benefit.  The comments above seem to give varying opinions on this matter. Would be great to get to the bottom of that one!
There’s an important distinction to make here between domain flipping and website flipping. The latter mainly refers to buying and selling full websites. By full websites, I mean websites that actually have content and more often than not have traffic and revenue. When buying and selling websites, the domain name matters less as the main value there is the content, traffic, revenue, history/reputation, sustainability and growth opportunities. The same can’t be said for domain names where you’re just selling “the name” and hence it’s all that really matters.
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