Where can you invest your money to get a 100% yearly rate of return? When it comes to making money with domain parking you can register new domains, or alternatively, buy already established domains with revenue.  Contrary to what it might seem at first, it is actually pretty easy with great returns on invested capital.

We can buy domain names for as little as 6x monthly revenues, but it is easier to find revenue domains selling for about 10x to 16x monthly revenue.

In practical terms this means that you can buy a domain name for, say $500, and get an average return of about $50 a month (valued at 10x monthly domaining revenue) . In this case your yearly return will be in the order of about 100% of invested capital.  Where else can you invest your money to get this kind of a return? A bank account pays you 4% or 5%. Real estate isn´t doing any good, not to mention all the work. 

You can usually buy domain names at forums, eBay, certain sites, and domain parking companies, like NameDrive and Sedo, that have their own marketplaces.

NamePros.com is a forum where I have purchased a few domains. The forum members even get feedback ratings for the buys and sales they make on the forum, so as to lend credibility to the members and make the transactions safer. The seller of the domain usually gives out information relating to the domain, including proof of monthly revenue. I have done a few $500 deals there as well as other purchases of smaller amounts.

The domain parking company NameDrive has an area to buy and sell parked domains called Park & Sell. You have access to information about the domains for sale such as the number of visits to the domain in the last 30 days, as well as the monthly revenue generated on NameDrive over the same period of time. You also have the option of making an offer for the domain.

You will usually find domains for sale for just about any budget, some for as little as $10 and then others valued at $5000 or more, there is no limit either way.

You can think of investing in domain names as the real estate of the future (more like the present). Premium domain names already regularly sell in the millions of dollars.

The concepts of I mentioned also apply to mini-sites or fully developed sites and are not limited to parked domains.

With the growth of the internet, and now with cell phone access, the number of visits to web sites will increase, and so should the revenues they generate.

This is a business you can get started in for not more than the price of a movie ticket and than grow from there, using cash-flow generated by your domains.

I have never sold a domain, and if I wanted to I could reinvest my monthly revenues into buying more domains. Like any other investment, investing in revenue domain names is not without risk, and should be viewed as a way of diversifying your investment portfolio.

• What is domain parking?
• Domain Parking Passive income