Some people just trade domain names for a living, some do it on the sidelines.
I didn’t know about all these things before I joined the industry.
But gosh, it can be a lucrative thing. So lucrative they even have brokers to seal the deals. There are also many online auction sites catered for these purposes.
029.com was recently sold for USD$110,000. Underdog.com was sold for about US$62,000. Cured.com was sold for US$25,000.
But these are just small amounts I think.
I’ve heard of bigger price tags on a single domain name, up to US$350,000. If you put it in perspective, that’s like SG$490,000 which is just about the price of a 5-room HDB resale flat in Singapore.
These people who sold the names probably got them at very cheap prices in the early .com days. Registration fees could have been as cheap as US$30-40 a name for a year during the 90s. Keep the name for maybe 10 years and that only puts your total investment at US$400. In return, you could get back more than 50 times your initial investment. The Return on Investment would be more than 100 or 500 times for really sought-after names.
Keeping names for 10 years is just a conservative estimate. With technology these days, the turnaround time is probably much faster at maybe just 2-3 years for some of the popular names. This in turn, would put ROIs at even greater figures.
That much money for something as simple as a domain name.
If this is not lucrative, I don’t know what is. :)
Go figure.
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