Buying is easy; selling requires a buyer
A short, attractive name does not guarantee a sale. Before paying, describe who might need the domain and why they would choose it instead of registering a new name. Look for evidence of real businesses in that category; do not treat an automated appraisal as proof of demand.
Costs compound
Suppose you buy ten domains at $15 each and each renewal costs another $15 a year. You spend $150 up front and $150 for each full year you hold all ten, before commissions or taxes. Selling one for $300 after two years does not necessarily leave you with a profit. Replace these illustrative numbers with your actual costs.
Check rights and transfer rules
Avoid names likely to conflict with trademarks. Review the registrar’s transfer rules before listing the name. If you use Cloudflare Registrar, its domains must keep Cloudflare nameservers while active there; that can affect marketplace workflows that ask you to change nameservers.
Plan your exit before buying
Set a maximum budget, a reasoned asking price, and a date to decide whether to renew or let the domain expire. For a private sale, use a trusted process that protects both parties and verify the transfer steps. The discipline lies in deciding what not to buy and when to stop paying renewals.