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Domain Names

Scott Carde's guide to achieving financial freedom by harnessing the power of domain names


The First Rule of Domain Investing

The first rule of domain investing is to NEVER, EVER go out and hand register hundreds of domain names. This is rookie mistake #1. The price of domains is so low ($6 – $10 per name) that it is very tempting to hand register hundreds of domains. Don’t waste your time.

At this stage in the game, you can safely assume that 99.9% of the good names have already been registered and that you’re not going to become the next Rockefeller by going out and hand registering a bunch of names. I learned this the hard way. Don’t make the same mistake. The renewal fees will kill you.

If you have $1,000 to invest in domain names, it is always better to take your time and buy just one or two really great domain names for $1,000 than to hand register 125 names for $8 each. From then on, you’ll be on the hook for $1,000 per year to renew your 125 names instead of just $8 or $16 per year to renew your one or two great domains.

Since so many domainers are overextended right now, if you have a little bit of cash, you can buy some great domains in the $500 – $1,000 range from domain investors in the aftermarket or at auctions. The only time you should hand register a domain is if you are 100% sure you’ll develop it.

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One Response to “The First Rule of Domain Investing”

  1. May 6th, 2009 at 6:39 pm

    Bad Ass Domainer says:

    great point – Rap.org just sold for $5,700. I can’t believe how cheap that is. So many great deals on domain names right now. definitely buy 1 or 2 great names and develop them or hold on to them as investments – like a Rap.org rather than register hundreds or thousands of mediocre names.

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