Saturday 1 October 2011

Domain Investments - 3 Tips to Earning Real Profits

The stock market is on a roller coaster. Real Estate markets everywhere are still in a massive slide. Where do you turn in this brutal environment to invest your money? Well, a safe bet right now is definitely in domain investments.

Buying and Selling Domain names is becoming just as popular as trading stocks on Wall Street. And the good news for you is that domain investments are hotter than ever right now!

If you are not familiar with domain investments, it simply means that you buy a domain name at a given price on the domain name aftermarket and then sell it at a later date for a higher price. Thus, making a profit in the deal. Now, the domain investments industry has received a unjustified bad-rap over the years due to the dot com burst and other rumors that the industry itself is shady.

I am here to tell you that the industry has undergone significant changes since the boom earlier this decade. Back then, domains were thought to have value on sheer speculation. This means that people merely thought or even just hoped a domain would be of great vale someday.

Well, the days of speculation are long gone, and domain investments are now very similar to traditional investments. They have common metrics and value measuring tools you can look at to determine how much a domain is worth. These include items such as traffic to a domain, revenue, demand, the niche or "market" the domain is in and the replacement value of the domain itself. That is, can you find a suitable domains similar to the one you are selling that would be of equal value.

Overall, domain investments are quickly becoming a viable way to make money in today's bleak economy. With all traditional investment vehicles like stocks, real estate and mutual funds down tremendously, the domain market is thriving with opportunity for extremely high returns / profits.

Plus, there are opportunities in domain investments right now that rival the boom seen in the early part of this decade. Except now, the value in domains is much more realistic and easier to place a dollar amount upon. Literally, there is enormous potential to become wealthy in the domain investments market if you understand 3 basic things:

1) You must learn how to properly identify what makes a domain name valuable and how to spot the premium quality domains from the just average ones.

2) You need to understand how to quickly and effectively research for new domain opportunities and capitalize on them before others.

3) You have to be quick on you toes when it comes to knowing the right time to buy and the right time to sell domains. This will ensure your domain portfolio remains in a positive cash flow position.

There you have it. A solid foundation for understanding why the domain investments market is the hottest place to make money right now. This is truly a wake up call for those that are struggling to get their finances back in order. There are huge opportunities to build serious wealth both quickly, and for the long-term by investing in domain names in the 2010's.

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