Inquiry about domain name reselling

[chem3]

Hi,

I am a beginner at this, and I want to become a domain name reseller on the internet, but first there are some issues I don't understand and I hope that I'll find the answers here;

1- I don't currently have any domain registered, but I want to register new domains and resell them, so if the domain name I register is in demand, and as a newly registered in-demand domain, what maximum price should I set for it?

2- When domain resellers set their prices for the domains they sell, on what basis do they set their prices? What determines the price of a domain?

Just as an example of that see the following related websites:
http://www.afternic.com/
https://www.godaddy.com/gdshop/dna/landing.asp?se=+&ci=1546

I saw some resellers asking $200,000 and $500,000 for a domain!!! Why would anyone pay such a great amount of money for a domain?! Is it just the name of the domain?!

Thank you

 

[flame1117]

If its a name like yahho.com becuase people type that trying to type yahoo.com prabally a few hundred times a day easy so becuase get allot of buisness easy like that.

Also one determination would be how much you paid for it.

I'll sell you one of my domains..It expires in Mayi think, its streetgamerzclan.net seems like a good name for a clan to me...So anyone starting a new one might take it

For how much to sell it for...Are you going to make a website? If you do them get a host that has some scripts in the cpanal(I know a great one with my scripts and VERY CHEAP lets you host UNLIMITED DOMAINS too which would be great in your situation) and make a auction for them, just set0-up one of the auction type scripts, I remember seeing at least one or two while looking though them in mine.