Announcing: Denver.com SOLD for Seven Figures -- What This Means for the Value of Real Estate Domains

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At first glance there’s not a whole lot of juicy news about this domain sale.  Many more have sold for higher prices. But look closer and you might warm up to the idea that this sale could affect future real estate domain prices in a BIG way.

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You see the buyer of Denver.com is the same owner of DenverRealEstate.com & Boulder.com — two market-defining, geographically-targeted, premium domain names around the Mile-High city .  But why? Why is he willing to invest a million dollars or more for another local domain name?

I came up with one big reason:
 Data. He knows exactly how he can make money out of this sizable investment.  And more.

He has the experience to justify the purchase. This is far from rolling the dice — of course, scaling his business is part of it (“denver.com/mortgage“?).  He owns DenverRealEstate.com after all.  But moreover, what this means is he’s seen enough data from his real estate site to make this purchase virtually risk-free.

What does this mean for you? Take advantage of current market opportunities. They may not last very long. Agents and domain investors are getting smarter.  Many of them are seeing the high yield of real estate names.

Real estate domains are presently underpriced — sometimes, obscenely. Start small, gather data, then use profits to get a better name.  I know from experience that if you put effort in talking to different sellers, you will find amazing deals.  I just bought one for $1,000.  At least one zero less than true market value.

Truth be told, I didn’t want to write this article for fear of creating more competition.  But experience has taught me people rarely act before the crowd.  Fortunately, the crowd is still caught up in the latest shiny “in-thing”.

In my experience, you can easily make your initial investment after a year.

Don’t be surprised that 3-5 years from now real estate domains will start at $5,000 — and I’m not even talking about a premium dot com.  I was talking to a broker for LajollaRealEstate.net — you could probably get this for under $5k.  A no-brainer for me, if you’re working that area.

And it’s still available.

Successful online publishers have long understood that building online businesses need not be a guessing game.  Oh no.  In a world where you can track your leads from how they found you all the way to closing. The internet makes it easy for you to follow your marketing money to the dot.  Great marketing men like David Ogilvy could only wish they had this kind of leverage.

And you have this golden opportunity in front of you.