Domains are nonmaterial goods. When sold, the only transaction taking place is transfer of domain rights from one user to another. Barring any form of copyright or trademark violation, virtually any domain name can be bought or sold. Generic domain names, such as car.com or computer.com, are not legally protected and can therefore theoretically be reserved by anyone.
When the domain drops, the minute it drops, literally, they will try to get it and if you can get it, it’s yours. So, that’s it for expired domains. You can see it’s a little bit complicated and it takes some leg work, but if you’re interested in building a publisher network or a private blog network, this is a great way to find sites that have a great link profile without you having to actually build any links. So, that’s it for this video. I’ll see you in the next one.
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.
In the past, expired domains were used as part of black hat SEO in order to generate backlink sources quickly and easily, and this practice is still used somewhat today. Getting links in this way is not a recommendable practice. All relevant search engines work nowadays with highly complex ranking algorithms, which can no longer be outsmarted by these link networks.
Yes! Selling domain is an emerging trade and no wonder if it can develop into an exchange. www.DomainX.org has been initiated with this view. There are some good ideas in the comments regarding which names to buy and how to grow their value. However one must not forget that it also involves a recurring cost (annual renewal) and keeping many of them might become difficult if you are not really selling at least a few to cover it. Enjoy free listing at DomainX.org.
A suspiciously high number of backlinks from some related niche websites that aren’t too great in quality. In my opinion, this could be an indicator that the domain name was using a Private Blog Network (PBN) service or their own PBN to boost their authority…this blackhat tactic can work, but it places your domain name at risk and the PBN owner could pull backlinks at any time.
Keyword relevancy is not the only thing that matters when it comes to SEO. However, domain names that were previously used by other businesses usually have a lot of backlinks and a decent ranking on PageRank. Even though such domain names are usually about to expire, they are still worth a lot of money if they have a good number of backlinks and a ranking of five or more.
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!
In theory, you could technically acquire a domain for $10,000 and be able to sell it for $100,000. You could also acquire a domain for $10 and be able to sell it for $100,000, $10,000… or $100, you get the picture. Because of this, it’s hard to recommend a perfect starting budget because your strategy, experience, and the pace at which you learn will hugely affect your buying and selling decisions.