To Make Money on the Internet, you need to know where to look for opportunities. You can only make money online, if you stay on top of things. I have always said, opportunities don’t land on your desk… You got go to out and find them.
I thought I would share a story with all of you today. Most of you know that I am a big fan of online real estate – domain names being one of them.
After a few months of break, recently I’ve stumbled upon a domain auction on NamePros.com forum. I am not going to name the domain names here to protect the privacy of the buyer but I thought it was an interesting experience.
So when I saw the auction, I sort of figured out the value of the domain names that are up for auction. These domain were in the LLLL dot com niche. We can touch on this point later but this is a pretty decent niche to be in right now.
I’ve valued the domain names to be about $100 to $125 per name. These are QUAD premium LLLL dot com domain names. Yes they are undervalued at this time and I am sure by the time we come out of this recession, these names will fly upwards of $xxx or even in the $x,xxx range.
I’ve place my initial bid and then waited for others to take a stab at it. Time went by and the domain names reached about $100 each. As always I waited for the clock to run out… I placed my bids at my preferred price. I won the auction. I bought two domain names within my estimated price. I thought it was a good deal…
I went to bed… woke up next morning and saw a few private messages in my account. One of them is from a potential buyer for the very two domain names I’ve won the night before.
He offered me twice the amount of what I’ve paid for them. Keep in mind, I didn’t even complete the transaction with the current owner. Although my guts was telling me the domain names must worth a lot more than what he was asking for, I thought I would sell them if I get a better deal from this individual. Hence I told him that I will only sell them for $500 each. Now that is 500% return on investment for each domain name. Obviously he knew what I’ve paid for the domains the night before, so he came back and offered $300 per. I took it and closed the deal.
Why am I talking about this here?
Like I said before, money making opportunities on the internet does exist. There are plenty of them but sometimes you have to go look for them. I wanted to share this good news story with you to motivate you to keep an eye out for opportunities. Go make money on the internet!
Was this a fluke?
Well no… maybe how I sold it could sound like a fluke but when I invested in the domain names, I knew there is a higher value to them. I have done my homework. I knew if I was lucky enough to win them within my estimates, I can hold on to them and flip them later for a much higher price.
Why did I take the 200% return rather than holding on to the names?
Well this one was an exception. I wasn’t in a working mode. I came back to this niche after a long break. I thought I would just sell and then reinvest the money back in more domains.
What is a LLLL dot com market?
LLLL stands for four character domain name. Fortunately there are only about 455000 dot com domains of this kind available on the internet. Majority of them are registered and are taken by end users. Therefore the speculators only have a limited number of domain names to play around with. End of 2008 all of the LLLL dot coms were registered. At that time the LLLL dot com market was hot. People were just speculating and buying up anything that comes on the market regardless of the quality.
Then the recession hits the world. Many of these speculators didn’t have the resources to renew these domain names during the summer of 2009 and onwards… hence the market fell just like every other financial market in the world. It is picking up momentum again. There are very good sales in this niche lately. Remember, I sold two!
To Make Money on the Internet, you just have to read more of my stories… stay tuned…