In 2010, the website domain CarInsurance.com sold for over £38 million. This figure by no means represents your average domain sale but demonstrates just how profitable the market can be. The low investment cost of purchasing domains makes it a great way to make significant extra income.
You can purchase domains from domain registrars such as Godaddy and Squarespace for as little as £0.99 a year. Hold on to them until they increase in value and then sell them on for a healthy profit (make sure to avoid domain squatting). Marketing on the domain itself is a smart way to advertise, as companies will seek out the domain they want for their brand. Alternatively, you can list your domains on a third-party domain listing site such as Afternic, BrandBucket and NameCheap.
The best way to make serious money buying and selling domains is to opt for the most generic names as possible – just like Carinsurance.com. Geographic names tend to bring in high revenue as well as the names of popular professions and industries.