There are several
\nways to make money from domain names. The most well know methods are domain
\nparking, and obviously selling domain names. But if you have a portfolio
\ncontaining generic domain names, you may have a third option, known as ‘domain
\nleasing’ or ‘domain renting’.<\/p>\n
Domain leasing allows you to generate
\nrevenue from your domain, while still holding on to the rights. This can be a
\ngreat option if you suspect that your domain name is going to appreciate in
\nthe next few years and you are not yet ready to sell.<\/p>\n
\nThe
\npros<\/b>
\nRenting a domain means a steady income, paid to you monthly or
\nyearly. Your domain could increase in value, making it easier to sell. The
\nrenter’s website could even increase the pagerank and backlinks of the
\ndomains. But the opposite is also possible.<\/p>\n
The
\ncons
<\/b>
\nThere is a risk the renter could have your domain name
\nblacklisted by search engines, which is very difficult to reverse. If your
\ndomain has a high pagerank, it could lowered or lost due to the renter’s
\nwebsite (but this is likely to happen if you have your domain parked anyway).<\/p>\n
Domain leasing is also much higher maintenance than domain parking.
\nYou have to make sure the renter make their payments every month and you are
\nresponsible for name server changes. Whereas domain parking is easy and can be
\nalmost completely automated.<\/p>\n
What’s in it for
\nRenters?<\/b>
\nLet’s assume that hotels.com is for sale. Obviously, this
\ndomain would be worth several hundred thousand to a few million dollars. I am
\nstarting a hotel search website and think this domain name will help my
\nwebsite. But, as I am just starting out, I do not have that kind of money. The
\ndomain owner has offer to lease it to me for $10,000 per month. He will allow
\nme to change the nameservers to point at my website, but will keep all rights
\nto the domain.<\/p>\n
I might find that, several months later, my business is
\nmaking a huge profit and purchasing hotels.com has become feasible. I am now
\nable to make an offer that the owner is happy with.
\n
How do I get
\nstarted?<\/b>
\nDoing a quick search for “rent domains” will return
\nseveral popular websites where you can advertising your domain for lease and
\nfor sale (or rent a domain).<\/p>\n
One of the great advantages is, that once
\nthe lease term is over, there will be residual traffic to your domain. Your
\ndomain names will also obtain a pagerank and backlinks, from the renter’s
\nwebsite. This will increase your revenue if you choose to go back to domain
\nparking. It could even make the domain worth more and easier to sell. But
\nrevenue solutions like domain parking are usually a much lower
\nrisk.<\/p>\n","protected":false},"excerpt":{"rendered":"
There are several ways to make money from domain names. The most well know methods are domain parking, and obviously selling domain names. But if … <\/p>\n