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Want to Sell Your Domain? Here’s What You Need to Know

Sofia Peterson by Sofia Peterson
July 4, 2022
Want to Sell Your Domain? Here’s What You Need to Know
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When you were paying the money to renew your domain, did you ever think to yourself, “I’m not using it, I should sell the domain name”?  Even while you may not be resting on a domain name worth a million dollars, it is still possible that you possess one that has some value. There are now over 1,500 top-level domains (TLDs) as I write this. On around 1,000 of them, you’ll be able to register a domain name. Therefore, it is abundantly evident that there is no scarcity of accessible domain space. Despite this, the secondary domain market is doing rather well especially when it comes to domain appraisal.

People often make the worst error possible when they put their domain up for sale without first determining how much it is genuinely worth. They either wind up undervaluing the domain, in which case it does not sell, or they end up overvaluing the domain, in which case it sells very fast for a price that is far too low. 

Here are some factors to take into consideration when selling your domain.

Website Traffic

If there is traffic going to the website, then the value of the domain name has just increased. If the domain already has an established user base, the new buyer may get additional value from the traffic that the audience generates. They have an instant opportunity to capitalize on that traffic and swiftly expand their site.

If you acquire a domain that has no visitors, it will be difficult to get it off the ground, which is why its value would be lower.

Earnings from the Website Domain

This is one of the most important aspects to take into account. The purpose of a website, in the vast majority of instances, is to make money via one means or another.

When you acquire a domain that is already producing some money, you earn instant value for yourself. This is known as “passive income.” Domains that can make their owner’s money are often sold for 20x–40x what they bring in each month. That implies that if your domain generates a profit of $1,000 every single month, its value might range anywhere from $20,000 to $40,000.

SEO Authority

Domains that have built up SEO authority via the use of backlinks are priced much more. A significant financial investment is required to get high-quality backlinks and to develop a domain’s authority. If you use a reputable link-building service, it will cost between $170 and $220 to build a single connection. For this very reason, people actively search for expiring domains that still contain backlinks.

Check the number of high-quality backlinks that point to your domain name, and assign a value to each link based on the amount of money that a link-building firm would charge to create that connection.

Domain Name Popularity

 The top-level domain (TLD) of a domain name contributes significantly to the value of that name. The last portion of a domain, such as the .com extension, is referred to as the top-level domain (also known as a domain extension). The top-level domains .com, .co, .net, .io, and .me are among the most valuable on the internet. If you have a TLD that is more widely used, the value of your domain name will increase.

Since .com is by far the most popular top-level domain extension (TLD), it ought to be valued at a higher amount than any other TLD. But there are always new top-level domains that become popular over time.

Name Branding

It is challenging to provide a definitive answer to the question of how brandable your domain name is. However, it is also extremely crucial that you assess how brandable your domain is for the purchaser that is most suitable. The names of many of the most visited websites in the world all have domains that are simple, straightforward, and easy to recall.

Website Niche

Domain names that are attractive to a certain subgroup of Internet users often sell for much more money. According to Godaddy, CarInsurance.com was bought for $49.7 million after being on the market, Insurance.com was acquired for the price of $35.6 million, and VacationRentals.com was purchased for $35 million.

By looking at them, you can observe that each of these domains caters to a certain market segment. This was precisely what contributed to their value. They are all domain names that are simple to recall, and just by glancing at them, you already know what to anticipate from the website in question. Be sure that the price you seek reflects the fact that your domain is very pertinent to a certain niche.

Sofia Peterson

Sofia Peterson

Sofia is a contributor at The Hack Post who loves to write about Technology. She also enjoys reading books and swims during her free time.

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