Many years ago, someone asked if it was feasible to make a full-time living from selling domain names, without necessarily specializing in sales, parking or development. Though we often hear about big-ticket domain name sales, few sellers manage to sell each domain for $2,000 or less. Assuming a 1% conversion rate for a large portfolio, some suggest you can sell 1% of your domains each year. For those who enjoy trading domains full-time, let's crunch some numbers.

Let's say I reside in Germany and wish to earn $3,000 a month ($36,000 annually) to cover my modest expenses. Domain registration fees are $13.20 each. For the sake of this calculation, I will not consider renewing or transferring sold domains. These figures assume I bought the entire portfolio in a year and only sold 2% of them.

If I have 150 domains in my portfolio, the registration cost is $2,000. To earn $38,420 in total, I must sell one domain for that price after subtracting the registration cost and my desired annual income. As none of my domains are high-value, I need to price them lower, at $1,000 or less.

As a hobby, trading domains is a viable pursuit. Currently, my domains cost around $1,400, but I'm uncertain if anyone would pay that much. I've tried different prices and raised them all above $1,400 but haven't made any sales yet. I'm giving myself a year to see a 2% sales conversion rate.

What are your thoughts, and have you done similar calculations?

Purchasing domains with or without websites is done for various reasons, but generally, there are two main motives: buying for search engine traffic, where a domain with an optimized site is purchased if it aligns with price and quality, while purchasing only domain names may be because it's not needed by the owner but suits a site or because names with popular words might sell later. This practice is known as domaining or cybersquatting.

The market for cybersquatting is growing, and domain resale in 2022 is a current trend. Specialists are earning good money in this field, especially when selling ".com" and ".io" domains. Domain monitoring and analysis require time, and earnings depend on the user. There is evidence of earning $22,000 in just a few hours of work.

Domaining refers to registering domain names that use common words or phrases instead of proper or brand names. Domainers purchase domains with concise and beautiful names like "flower.com" or "animals.com" but do not infringe on trademark names as it would be unfair. Instead, they offer domains for sale to third parties and display them on electronic showcases, providing a convenient platform for businesses to acquire the desired domain name.

Buying domains with or without websites can serve various purposes, but generally, there are two main reasons for purchase: buying for search engine traffic where the domain and site are carefully evaluated to ensure good quality and potential for improvement, and strategic investment.

While not a full-time or even part-time pursuit for some, investing in domains is a strategic choice akin to investing in stocks or real estate. Just as most stock market investors don't consider themselves occasional investors, domain investors see it similarly.

It's important to note that the domain name market can be unpredictable, and success in selling domains depends on various factors such as the demand for specific names and market trends. While some people have managed to make a full-time living from selling domains, it's not guaranteed for everyone.

Based on your calculations, it seems like you have invested a considerable amount of money in your domain portfolio. However, it's essential to remember that domain sales can take time, and it may require patience and persistence to find buyers for your domains.

If you haven't made any sales yet after trying different prices, it might be worth considering other strategies to increase visibility and attract potential buyers. This could include marketing your domains through various channels, networking with industry professionals, or even seeking advice from domain experts.

Ultimately, the domain market can be competitive and challenging to navigate. It's crucial to stay informed about market trends, understand buyer preferences, and adapt your strategies accordingly. It's also advisable to have realistic expectations and consider other potential income sources while pursuing domain trading as a hobby or side venture.

domain trading endeavors:

1. Domain Valuation: It's important to accurately assess the value of your domains. Research comparable sales, industry trends, keyword popularity, and other factors that can influence the value of a domain. This will help you determine appropriate pricing and make your domains more attractive to potential buyers.

2. Domain Marketplace: Consider listing your domains on popular domain marketplaces such as Sedo, Flippa, or Afternic. These platforms have a broad reach and attract potential buyers actively searching for domains.

3. Negotiation Skills: Developing effective negotiation skills can greatly enhance your chances of making successful domain sales. Learn about negotiating tactics, understand buyer motivations, and be open to reasonable offers.

4. Portfolio Diversification: Instead of relying solely on a few high-value domains, consider diversifying your portfolio with a range of names. This approach can increase your chances of finding interested buyers and making consistent sales.

5. Domain Development: If you have the inclination and resources, consider developing some of your domains into functional websites. Developed sites have higher market appeal and may attract buyers who see the potential of an established online presence.

6. Research and Stay Updated: Continuously monitor market trends, popular keywords, emerging industries, and technological advancements that may affect the demand for specific domain names. Staying updated will give you a competitive edge and help you spot potential opportunities.