437: Domain Flipping: $70k+/yr Investing in Domain Names Part-Time
Mar 25, 2021
auto_awesome
Mark Levine, an experienced domain investor with a portfolio of 3500-4000 domains, shares insights on buying and selling domains. Topics include evaluating domain value, new extensions leveling the playing field, auction strategies, pricing and selling domain names, and tips for successful domain flipping.
Domain name investing can be a profitable part-time side hustle, with potential annual earnings of $70k+.
New domain extensions like .IO and .GG offer opportunities for new investors to enter the market and cater to niche industries.
Deep dives
Domain name investing: A profitable side hustle
In this podcast episode, Mark Levine, a domain name investor, shares his experience and insights into the world of domain name investing. He manages a portfolio of 3,500 to 4,000 domains and sold 70 last year, earning him $160,000 in gross profit. He provides advice on buying and selling domains, including focusing on niche markets and specific industries. Mark also discusses the potential of new domain extensions like .IO and .GG, highlighting their popularity and value for specific industries such as esports and online gaming. He emphasizes the importance of having a passion for domain investing and recommends listening to podcasts and taking domain investing courses to learn more.
Evaluating domain name value and pricing
Mark discusses the challenges of determining the value and pricing of domain names. He explains that there is no fixed system for valuing domains, and it often depends on various factors such as the extension, potential end users, and industry trends. Mark uses a combination of data points, including GoDaddy's appraisal tool and online research, to help determine the potential resale value of a domain. He also shares his strategy of pricing domains in the range of $2,000 to $5,000, which he considers the sweet spot for sales in the domain market.
Opportunities and risks in domain investing
Mark discusses the opportunities and risks in the domain investing space. He believes that there are still opportunities for new investors to enter the market, especially with the availability of new extensions like .IO and .GG. However, he advises caution and recommends proper research and evaluation before investing in domains. Mark highlights the importance of being disciplined and avoiding impulsive purchases. He also emphasizes the need to have a passion for domain investing and advises potential investors to listen to podcasts and take domain investing courses to gain knowledge and insights.
Tips for starting a domain investing side hustle
Mark provides valuable tips for those looking to start a domain investing side hustle. He recommends starting by listening to podcasts and reading blogs in the domain investing industry to gain insights and knowledge. Mark suggests taking domain investing courses, such as DN Academy, to learn the fundamentals and best practices. He also advises investing only what one can afford to lose and to approach domain investing with passion and discipline. Mark believes that having a genuine interest and love for domain investing is crucial for success in this side hustle.
Last year, Mark Levine flipped 70 domain names, for around $160k in gross profit.
Of that, he spent a little over half on renewal fees for his domain name portfolio and acquiring new domains to add to it, netting $70-80k for the year.
In his spare time, Mark manages a portfolio of 3500-4000 domains. That's not huge by domain investor standards, but still a good-sized collection.
With established investors like Mark, I was curious to find out if there was room for new players to earn a profit. (Several Side Hustle Show listeners requested this topic as well!)
Tune in to hear:
what it takes to buy low and sell high in the world of digital real estate
where to buy and sell domains
how new up-and-coming extensions level the playing field for new investors