Leasing Websites - Expected Revenue?

Logically, it makes sense (at least for the traffic you're saying it has). This model works well for most niches where a high-value transaction is involved (Roofers, Mass Tort Attorneys, Yacht Brokers...etc). However, at the end of the day it's only worth what someone is willing to pay for it.

My guess is that you're going to have to put A LOT of work in up front to rank that website. Then you're going to have to put some more work into finding someone to rent/lease it at a nice chunk 'o change. Of course, all this depends on the real estate market in the particular geographic region you are targeting.

I would probably go into it not expecting any quick ROI and with an end goal to target the TOP realtor or realty group in that region. In the meantime, you should set up a call tracking number (while you're trying to rank the site) and see how many calls you can generate. That way you'll have some verifiable history when you approach someone to rent it and can justify a higher price.

The other models might be to eventually sell leads (calls) or not to do any of that and use it simply for advertisers.

Lots of ways to go, but either way, until you get that sucker ranked or get calls (aka RESULTS), it's a roll of the dice.

Yes the overall model of leasing websites and/or selling leads can be very lucrative. The thing is, it is not any easy business and it is not a passive business in the sense that you can set and forget.

There is ALOT of work that goes into setting up a proper web property that will be leases out, ALOT of administration work to keep track of everything, and a REAL LOT of sales work to get paying clients for your properties.

Not that the payout in the end is not worth the work, just do not want you thinking it is an easy passive income with very little work. I could go into detail about all the work but that would be an extremely long post.

Also, in order to get to a 6 figure business. You are going to need around 50+ sites that are actively leased at $200+ a month. Which means you are probably going to have to have around 2-3 times that running at any one time due to a wide variety of things going on. So if you can run a stable of 100-150 sites plus do all the sales/marketing to lease them, then you can easily make a 6 figure business.

As for a VSilo plugin, I would not recommend anything like that for this business model. You need to make the sites with good content and a well tested layout for conversions. Automatic plugins will not get any of that for you. There is no easy button to creating these sites and no easy button to ranking them.

In reality, despite what people might say on this forum, you want to be able to rent a site for $500-750/mo. Sometimes you can rent it out for $1,000/mo but I'd rather have someone at $500/mo year after year instead of 1K/mo for 3 months before they stop paying. It also depends on the industry and location.

I have found the average range to be $300-750. Lets just assume you're able to get $500 per site... That is $6,000/year per site you rent out. You need 17 sites to make your 100k+/yr. That's extremely doable, but I wouldn't call it passive.

Yes, I lease sites and do lead generation.

Iamnameless is right when he says you can get a lot more than most people charge but it is better to get a "Good" amount from a long term client than alot from a short term one.

Also, for my leasing side of things. I only go after businesses that either have high priced services(but with a low grasp of technology and the Internet) or low-medium priced services that have a better understanding of the internet but small marketing budgets. The reason for this is because I can make a hell of a lot more money from a business with a high priced service and a high grasp of the internet/technology by providing other services than a leased website. So high priced/low tech usually means low budget but you can still sell these businesses on the concept of a lead generating property for a monthly cost. Also the low-medium priced services with good tech knowledge usually do not have a large budget but are more than willing to spend a few hundred a month on a leased site than a few thousand to get a site created, ranked, maintained.

As for taking a specific niche to a pile of cities or several niches in less cities. If you are going to be doing this as a full time business, then the best option is both methods. The reason for this is because you will learn so much more from doing a single niche across multiple cities AND multiple niches in single cities. You will find many more sweet spots in different niches and different cities, plus it allow more diversification within your business model to adjust to unknown events. An example would be, if you did all your niches in New Orleans before the disaster there...OR if you did only Roofing across multiple cities and missed out on OTHER construction niches in New Orleans after the disaster....

But what if the company would lets say pay $25.000 to advertise in adwords for a keyword and you have your site ranked in top 3 for the same keyword. Then it looks very cheap to offer the site for only $1000/mo when he would pay $25.000 for the adword campaign. Does what I say make sense or?

I'm trying to get into the lease business model, so I'm trolling every thread I can find about the subject

loginname, your concept does not make any sense. So if there are 10 organic listings for a keyword and 10 paid listing. We will say you are ranked #3 for your organic listing and as such, you get traffic to your site and you want to lease it out.

Lets say the top paid advertiser has a budget specifically for this keyword in Google Search of $25000 a month. So you want to charge them specifically $5000 a month to lease your site. So how about the #2 paid advertiser, who has a budget of $5000 a month for the same keyword. Are you going to offer the same leased site to the #2 business for $5000 or for $1000? And #3 advertiser has a budget of $500, and so on...This is how your model falls apart....

I am greedy to a point but still want to fair to businesses as that is how to retain them as clientele. So in order to do that I have a few simple formulas that revolve around Google Adwords CPC so to keep the pricing inline with other paid advertising methods.

A simple formula would be Monthly Search volume X a percentage modifier to simulate traffic X average CPC of keyword X 10. So something like 120 (search volume) X 15% X $1.20 X 10 = $216 a month. With this formula, you can easily charge more or less by changing the % modifier to suite your idea of the average traffic you are anticipating for that keyword. So if you anticipate a #1 ranking, you can always make the modifier 35-40%.

Also, you can do this with multiple keywords. So if you plan to target 10 keyword, you can easily do that too. Either run the formula for each keyword OR what I do is add up the search volume and take an average of all the CPC. I find this way more even and fair since it essentially takes out the top and bottom CPC, so you can target higher volume with lower CPC along side some low volume with high cpc.

The bottom line, get as much as you can get What is your efforts & expertise worth? I'd guestimate $200-$300 but guys like Nameless say that you can get more. Maybe you can? But you won't know until you try!