First things first, as you all know, I am not a full time domain investor, never have been, maybe some day I will be, but today is not that day. That being said, I have a lot of friends who are and I always like hearing their perspective on things, especially at a time like this when the world is changing in a major way.
I had a really good phone call with a close friend last night. He is a full time domain investor, has been for years, and makes north of $500,000/year. I asked him what he thinks about the current state of the domain industry and where the opportunities are and he said,
“As a domain investor, I think it’s a much better time to be buying than to be selling.”
While I think many of us do believe that in the long run domain names will become more important than ever before, in the here and now they are certainly still in demand, but let’s be honest, everyone is cutting budgets and reducing expenses, so their budgets are typically smaller.
This of course doesn’t mean you shouldn’t sell domain names now. In fact, you might sell more now than you normally do if you price-adjust. That being said, if you do have some extra cash, now is not a bad time to be buying in the aftermarket, the reality is, there are less bidders and less competition.
All this being said, as always, remember – domain investing is a risky business, period. Never invest money you’re not prepared to lose, especially at a time like this. Still, if you don’t need more cash now, and have cash on hand, switching from “sell” to “buy” mode could be a smart move in the long run.
As for me, I’m still buying and yes, I am seeing reduced bidding activity on all the aftermarket auctions I’m in. If you are selling domains because you need money now, there are people out there who will buy names from you, at the right price. Just know, if you do decide to sell now, you’ll be taking a major haircut so you have to decide if that’s the right move for you in the long run.
No matter how you slice it, we’re living in uncertain times, and there’s no way you can give advice that works for everyone. Still, what we can all do is pay attention to the market and decide how we want to react. While you might not be able to control what’s happening in the world, you can change how you react to what’s happening.
Now I’d like to hand the mic to you. Are you in “buy mode” or “sell mode” now and why? I want to hear from you, comment and let your voice be heard!