Most people think it’s easy to begin flipping domain names and make huge profits in the first instance. A vast majority are driven by the myths that you can make thousands of dollars a month by flipping domain names part time. If you have ventured into space, you might have heard of people buying domain names for $2500 and selling them for more than $30,000.
Nevertheless, the business might be worth your time if you get the right strategy and perhaps have the patience to learn the dynamics. While online information could guide you on setting on the right foot, most blog posts and eBooks tend to give the wrong impression. As a new investor, you may get disappointed with the initial results owing to the level of expectations. Before setting your foot on the venture, you need to know the following:
Domain Flipping Is Not A Gold Mine
Like other business ventures, domain flipping is a real business where one cannot make thousands out of the gate, in a month. It’s true that one can flip hand registered domains, but the experienced lot will tell you the profit ranges from $100-$300. Nonetheless, increased efforts lead to increase the earnings. As for the learning curve, you are likely to buy the names that you cannot flip, which incurs your money without raising any income.
It Cannot Be Done Passively
Despite numerous ways to make money online, people are yet to show full commitment to online ventures. However, they still hope to realize similar earnings as those from full-time participants owing to the convenience of these ventures. To achieve significant sales, one needs to frequent the platforms regularly and make quick sales when time requires. A flip is a fast sale, and if you take months to complete one transaction, then you are in another business.
Its Takes Time to Learn the Process
With a growing perception that one can learn the venture in a few days, many people have tried to pick it up in their free time but failed terribly. They fail to acknowledge the stiff learning curve that is likely to take more than a year when getting hold of the basics. At this stage, be ready to lose money, make mistakes or buy domain names that you cannot flip. It’s the only way to perfect the art and if you are looking for a lottery kind of business, domain flipping does not fall into that category.
For some investors, flipping involves making one mega sale in a month. While that sounds good, it is imperative to understand what it takes to make the first sale, after entrance. For a fact, the business is difficult, and each name behaves differently. Getting the big deal is even harder and is likely to take you several months. With that in mind, you can still climb the ladder by starting out small earning a few hundreds of dollars. If you are consistent, you could be the talk of the town in the business.
Domain Names Are Unique
While the market is likely to lure you into buying the most common names, perhaps one that had an enormous selling price. Before getting a similar name to the market, you need to interrogate the motivation behind the purchase. At times, that could be a one-time event that is not likely to reoccur, and if you have already bought the same name, you may not flip.