Join Jay on today’s Black Entrepreneur Blueprint podcast episode # 371 as he discusses flipping internet real estate for profit and a case study from a BEB Family member who flipped her first domain for a $1,700 profit and how you can do the same. Visit www.BEBConnect.com
BLACK ENTREPRENEUR BLUEPRINT – SHOW NOTES EPISODE # 371
Today I want to talk about
- A case study from a BEB Family member named Asia who flipped her first domain,
- I’m going to discuss how I made 10K flipping a domain and my newest domain for sale
- And give you some tools and actionable steps to do the same.
- Make sure you subscribe to the BEB Lifestyle Newsletter to get the show notes
Domain flipping definition – Domain flipping is the process of purchasing and selling domain names to make a profit. The goal of domain flipping is to buy domains at a low price and then sell them for a significantly higher price
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Letter From Asia:
Jun 10, 2021, 9:10 AM
Good morning Jay,
I am Asia, a long-time listener of your podcast and I hope you are doing well.
I am reaching out to you to say thank you for putting domain investing/flipping onto my radar. I remember you talking about it on several of your past podcasts and kept it in the back of my mind as an option for another stream of income. Well, never in my wildest dreams would I think I would benefit from something like this, but I did surprisingly last week!
I always make up domain names and search them on godaddy.com, and if they are not taken, then I buy them. In the case of the one that sold, that is exactly what happened. I created a basic “how-to” titled domain name, but never attached it to a website. Back in March, I was looking over my domains and decided to list this particular one for sale, then I just forgot about it.
Well, last week, I received an email from Afternic, in which either they own GoDaddy or vice versa, saying we would love to pay you for the purchase of your domain, but we do not have payment information for you in order to send you payment. I was dumbfounded initially because I had forgotten that I had listed the domain for sale. After doing a little research and finding out they were legit, I then logged into their site and gave my payment info. The domain ended up selling for 2200.00 and I received over 1700.00 after the commission fee! I know that’s not a lot of money, but it really showed up right on time as I really needed it within the next couple of days. I got that email informing me of the sale on Tuesday and ended up getting the direct deposit on Thursday. Pretty quick turnaround! I definitely plan to go more in-depth with this and keep it as a permanent stream of income.
I just wanted to say thank you again for all that you do with sharing your knowledge and uplifting us in the community! I am forever grateful and I wish you and your family continued blessings!
With much sincerity,
Asia
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Let’s Talk About The Concept Of Domain Flipping And I’ll Give You My Story Of Flipping A Domain
Years ago I was contacted by an attorney to buy a domain I never used (eventmarketinginc.com) and they asked me what I wanted for it and I said 10K, not knowing what it was worth. Paid my attorney $500 to do the transaction and netted $9,500.
STEPS TO FLIP A DOMAIN
- Identify a valuable domain name (using keywordseverywhere.com and Google search) Search the news and current events for keywords and NEW/HOT terms like (covid, KN95masks, PPP loans, etc)
- Check the appraised value of the domain using https://www.godaddy.com/domain-value-appraisal
- Check the availability of the domain and purchase the domain via Godaddy.com or another service provider
- List the domain for sale on https://www.afternic.com/ (set listing price and floor price)
- Monitor your offers – you may need to adjust your offer price if it is not selling in a reasonable time
HOW TO INCREASE THE VALUE OF YOUR DOMAIN
- Put up a website and drive traffic to the domain (the more eyeballs the more it’s worth)
- Add consistent content to the site to increase organic traffic (now you’re selling a website & domain)
- Bundle domains like (my roundup sites like:
- Atlantasportsroundup, Chicago, Dallas, Detroit, Houston, LA, NY, Philly, Phoenix, San Antonio, San Diego, San Jose, NBAroundup, NBAsportsroundup, NFLsportsroundup, Fightsportsroundup, SECfootballroundup, Sportsroundupnetwork,
- Find good domain names by researching long-tail keywords and buying those domains like “How to __” I just purchased a domain “HowtomakeChristmasdecorations.com
MY DOMAIN FLIPPING PROJECT – (I’ll keep you updated on the results)
www.HowtomakeChristmasdecorations.com
Paid $22.16 for the domain and privacy
The estimated value from Godaddy is $468
Sales price $750 – floor price $500 – if I sell it for $750 my net minus commissions is at $750 net $600 which would be a profit of 270% Return ($600 / $22.16 = 270%)
Keywordseverywhere chrome plugin – avg total search volume people performed in last 12 months was 246,000,000 searches
THIS COULD BE A PROFITABLE INCOME STREAM FOR YOU
- Low barrier to entry, very little work, amazing upside potential
TOOLS
- www.Keywordseverywhere.com – google chrome extension that gives you the google search term volume for a word long-tail keywords. What is a long-tail keyword – A long-tail keyword is a phrase that is generally made from three to five words. Since these keywords are more specific than generic terms, they allow you to target niche demographics. These keywords are also less competitive than generic keywords because they are designed to better reflect how people make queries (how they search).
- https://www.afternic.com/ – a platform owned by Godaddy that helps you buy and sell domains – Fees 20% ($15 minimum) $0 to $5000
$1,000 +15% of amount over $5k
$5,001 to $25,000
$4,000 +10% of amount over $25k
$25,000 and over
- https://www.escrow.com/ – helps you buy and sell domains securely by providing an escrow component to your transaction
- https://www.godaddy.com/domain-value-appraisal – domain value appraisal tool
