Real estate is something we associate with physical property, and for decades we have known that the pathway to wealth is through real estate. But with the intensity at which times are changing, new opportunities are emerging daily, replacing old opportunities. Keeping this in mind, in the era of internet and digital revolution, is physical real estate still the way to go?
With the ridiculous land prices due to the ever-increasing demand, does the dream of gaining passive income from land and real estate still hold? Or is there another way that is more lucrative with a high return on investment (ROI) and which you don’t need a huge starting capital?
Yes. There is always an alternative, and in this case, investing in digital real estate assets such as websites has proved to be the best investment. Online casinos are a perfect example of websites with immense value, and the cost does not come any close to the starting capital you would need to set up a land-based casino.
Online casino websites even have higher returns, and from onlinecasinoskenya.co.ke we have come to understand how the value of an online casino is evaluated. It is clear that these websites’ value could even be more than physical casinos.
Websites, a New Era of Real Estate
So how do websites function as a piece of digital real estate? There are billions of users surfing the internet from across the globe 24 hours a day, 7 days a week, 365 days a year. Websites receive millions of visitors to their sites which they then monetize.
As long as you are generating enough traffic to your website, there are various ways through which you can monetize that traffic including:
- Affiliate marketing
- Sponsored content
- Pay per click advertising
- Coupons with affiliate links
- Setting up online courses
- Selling your own products or services
These are incredible ways of making money from your website, but just like in real estate, the faster path is where you invest both money and time in acquiring a promising online business, improving them, and selling them for a higher price (similar to flipping real estate).
Let’s take a scenario where you buy a website of an online business for $6,000 and work on it through SEO, branding, and creating more engaging content and increased the number of visitors, and it’s ranking on Google. Then later, after a year, you decide to sell it at $550,000, and because the website has increased in value, there will be a buyer willing to pay that much.
Ideally, just like physical houses, digital real estate has a monetary value which is determined by several factors, including its Google ranking, popularity, income generated, and how long the website has been running. And just like digital assets, the value can increase or decrease over time depending on the conditions of the website.
Why is Investing in Websites So Profitable?
Since there are fewer studies about websites than there are about real estate, websites may initially look a lot riskier than real estate, and many people still don’t realize the opportunities it offers.
Here are some reasons why you should consider investing in websites.
Exponentially Growing Market
As more and more businesses go online, the number of websites is expected to grow exponentially over the coming years. From the consumer side, global internet penetration was around 57% in 2019, which means that 43% of the world’s population is yet to come online. And since most people already rely on websites to get answers to most of their needs and questions, this dependency is expected to increase as the number of internet users grows.
As an investor, this means that websites that serve high-quality information and solve customers’ specific problems will become valuable by the day. Hence, if you can purchase a website that is already getting traffic and generating some revenue, but is not fully optimized, this can be a great investment opportunity.
More so, purchasing an already established site not only allows you to generate a reasonable monthly income, but it also gives you a headstart and allows you to use the existing traffic and audience to move forward. Plus, it is easier and faster than starting a site from scratch.
Low Initial Investment
Although you still need capital to start flipping websites, the entry amount is not as high as buying a physical house or land. You can find a well-managed website from as low as $10,000. Starting a website and publishing content is easy, but SEO and UX are among the technical aspects that not many website owners can manage. This is the reason why there are many profitable website acquisition opportunities.