Buying a domain name might seem straightforward—find something you like, add it to cart, checkout. But if you're buying domains for business, SEO, or investment purposes, there's a lot more to consider. After helping thousands of people buy domains over the years, I've learned that the difference between a good domain purchase and a great one comes down to strategy and knowledge.
Understanding Domain Types
Before you start buying, it's important to understand the different types of domains available:
New Domains
Fresh domains that have never been registered. These are:
- Pros: Clean slate, no history, no baggage
- Cons: No SEO value, no backlinks, no trust signals
- Best for: Brand new projects, startups, personal sites
Expired Domains
Domains that were previously registered but expired. These are:
- Pros: May have SEO value, backlinks, domain authority
- Cons: Can have negative history, need thorough vetting
- Best for: SEO projects, established businesses, domain investors
Premium Domains
High-value domains sold by owners or marketplaces. These are:
- Pros: Often memorable, brandable, may have history
- Cons: Expensive, may be overpriced
- Best for: Established businesses, serious investors
Where to Buy Domains
1. Domain Registrars
Best for: New domains, standard registrations
Popular options:
- GoDaddy: Largest registrar, good for beginners
- Namecheap: Competitive pricing, good customer service
- Google Domains: Simple interface, integrated with Google services
- Cloudflare: At-cost pricing, excellent performance
Tip: Compare prices across registrars—they vary significantly for the same domain.
2. Domain Marketplaces
Best for: Premium domains, expired domains, domain investing
Top marketplaces:
- GoDaddy Auctions: Large selection, frequent auctions
- NameJet: Premium expired domains
- Sedo: International marketplace, broker services
- Flippa: Includes websites with domains
- ExpiredDomainsGenie: AI-filtered expired domains with SEO metrics
3. Domain Brokers
Best for: High-value acquisitions, negotiation help
When to use a broker:
- Buying domains worth $10,000+
- Need help with negotiations
- Want to remain anonymous
- Complex transactions
What to Look for When Buying
For New Domains
1. Brandability
- Easy to spell and remember
- Short (ideally under 15 characters)
- No hyphens or numbers
- Pronounceable
2. Extension
- .com is still king (most trusted)
- .net, .org work for some niches
- Country-specific TLDs (.co.uk, .com.au) for local businesses
- New TLDs (.io, .ai) for tech companies
3. Trademark Check
- Search USPTO database
- Check for similar existing brands
- Avoid trademark conflicts
For Expired Domains
1. SEO Metrics
- Domain Authority (DA) 20+
- Quality backlink profile
- Domain age 3+ years
- Clean history (check Wayback Machine)
2. Relevance
- Backlinks from relevant niches
- Previous content in your industry
- Natural link patterns
3. Red Flags to Avoid
- Recent penalty drops
- Spam backlinks
- Adult content history
- Trademark issues
Domain Valuation: How Much Should You Pay?
Valuing domains is more art than science, but here are factors to consider:
Factors That Increase Value
- Length: Shorter = more valuable
- Memorability: Easy to remember = higher value
- Extension: .com commands premium
- Keywords: Exact match keywords can be valuable
- Brandability: Sounds like a brand = premium
- SEO metrics: For expired domains, metrics add value
- Traffic: Existing traffic increases value significantly
Valuation Methods
Comparable Sales: Look at similar domains sold recently
Appraisal Tools: Use EstiBot, GoDaddy Appraisal (take with grain of salt)
ROI Calculation: For business use, calculate potential ROI
Market Demand: Check if similar domains are in demand
Rule of Thumb:
- New domains: $10-15/year registration
- Expired domains with SEO: $50-500+ depending on metrics
- Premium domains: $500-10,000+ depending on factors
- Ultra-premium: $10,000+
The Buying Process
Step 1: Research
- Check domain availability
- Research similar domains
- Check trademark conflicts
- Analyze SEO metrics (for expired domains)
Step 2: Negotiation (for premium domains)
- Start with a reasonable offer
- Research seller's history
- Be prepared to walk away
- Consider using a broker for high-value domains
Step 3: Due Diligence
- Verify domain ownership
- Check for liens or legal issues
- Review transfer process
- Understand renewal costs
Step 4: Purchase
- Use escrow for high-value domains
- Complete transfer process
- Update DNS settings
- Secure the domain (enable 2FA, lock domain)
Common Mistakes to Avoid
1. Not Checking History
Mistake: Buying expired domains without checking previous content.
Solution: Always check Wayback Machine and backlink profiles.
2. Overpaying
Mistake: Getting emotional and overpaying for domains.
Solution: Set a budget and stick to it. There are always other domains.
3. Ignoring Renewal Costs
Mistake: Only considering purchase price, not ongoing costs.
Solution: Factor in renewal fees, which can be $10-50+/year.
4. Not Securing the Domain
Mistake: Buying a domain but not securing it properly.
Solution: Enable 2FA, lock the domain, use strong passwords.
5. Trademark Issues
Mistake: Buying domains that infringe on trademarks.
Solution: Always do trademark research before buying.
After You Buy: Next Steps
1. Secure Your Domain
- Enable two-factor authentication
- Lock the domain (prevent unauthorized transfers)
- Use strong, unique passwords
- Enable domain privacy (if desired)
2. Set Up DNS
- Point to your hosting
- Set up email (if needed)
- Configure subdomains
- Set up SSL certificate
3. For Expired Domains: Clean Up
- Check for existing backlinks
- Remove toxic links if possible
- Set up 301 redirects (if using for SEO)
- Monitor for any issues
Legal Considerations
Trademarks
- Don't buy domains that infringe on trademarks
- Be careful with brand names + generic terms
- Research before buying to avoid legal issues
Cybersquatting
- Don't buy domains to extort trademark owners
- UDRP (Uniform Domain-Name Dispute-Resolution Policy) can take domains away
- Use domains legitimately
Privacy
- Consider domain privacy to protect your information
- Be aware of WHOIS data exposure
- Some registrars offer free privacy protection
Pro Tips
- Buy multiple extensions: If you're serious about a brand, buy .com, .net, .org
- Set up auto-renewal: Don't lose domains due to expired registration
- Keep records: Document all domain purchases and expenses
- Monitor your domains: Set up alerts for expiration dates
- Consider domain parking: If not using immediately, park it to prevent issues
The Bottom Line
Buying domains is part strategy, part research, and part intuition. Whether you're buying a new domain for a startup or an expired domain for SEO, the principles remain the same: do your research, understand what you're buying, and don't overpay.
For new domains, focus on brandability and memorability. For expired domains, prioritize SEO metrics and clean history. And always, always check for trademark conflicts before buying.
Ready to find your perfect domain? ExpiredDomainsGenie makes it easy to discover expired domains with the exact SEO metrics and backlink profiles you need. Our AI-powered platform filters through thousands of domains daily, presenting only the best opportunities.