Sunday, January 23, 2011

OK, so you’re interested in trying out this new modern form of real estate investing. How much can you expect to earn? Of course your profits will depend very much upon your skill as an investor, and to a certain extent, on your ability to luck out with a great sale here or there. Typically a domain investor will purchase domain names wholesale for around $50 – $500 each, and then resell those same domains for $1,500 to $5,000 each. That works out to a profit of over 1,000% on some sells, but of course each domain investor will only sell a very small number of domain names each year. So if you purchase 100 domains at an average of $100 each, you’ve invested $10,000. If you then sell 10% of those domains at an average of $2500 each, you’ve earned $25,000 on your $10,000 investment. That works out to a more realistic and attainable 250% ROI – not bad by the standards of most investors!

OK, so you’re interested in trying out this new modern form of real estate investing. How much can you expect to earn? Of course your profits will depend very much upon your skill as an investor, and to a certain extent, on your ability to luck out with a great sale here or there. Typically a domain investor will purchase domain names wholesale for around $50 – $500 each, and then resell those same domains for $1,500 to $5,000 each. That works out to a profit of over 1,000% on some sells, but of course each domain investor will only sell a very small number of domain names each year. So if you purchase 100 domains at an average of $100 each, you’ve invested $10,000. If you then sell 10% of those domains at an average of $2500 each, you’ve earned $25,000 on your $10,000 investment. That works out to a more realistic and attainable 250% ROI – not bad by the standards of most investors!

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