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DSAD Saturday: Do people really rent domains? Or only LTO?

DSAD Saturday: Do people really rent domains? Or only LTO?

Expiry auctions are 7 days a week

Shane Cultra
June 07, 2025

I'm a huge fan of cash flow from my assets.
Rentals are better than LTO.
Unfortunately, the only service that provides domain rentals is Epik. (Other than handling custom as I do now)
It's pretty easy to do, tech wise, with Dynadot's sub-accounts… but payments are separate.
— Drew Wash (@drewwash) June 6, 2025

Drew Wash who I respect as a seasoned investor surprised me with the Rentals are better than LTO statement. I don’t agree. Why? The answer is simple: control, alignment, and a better outcome for both sides. I’ve seen people lease out names before, and while it can be a decent short-term play, it’s always felt like a half-measure. You’re handing someone the keys to your asset, watching them build a brand on it, and hoping they don’t bail. Because the second they stop paying, it’s back in your hands—and now you have a domain that was tied to a brand that no longer exists, and maybe some baggage that comes with it. That’s not great for either party.

Lease-to-own changes the dynamic completely. Now you’ve got someone who’s not just renting—they’re committing. Each payment brings them closer to ownership, and that creates real incentive for them to treat the domain like it’s theirs. They’re more likely to build something meaningful, invest in marketing, and see it through. And from my side, I’m not just collecting rent—I’m making a sale. Maybe it takes a year, maybe two or three, but there’s a clear end point. It also opens the door to more buyers. Not everyone has $25K, $50K, or more to spend upfront, but monthly payments with a path to ownership? That’s doable. I’d rather get paid over time than have a great name sit idle or constantly flip tenants. It’s a smarter play for names with real value.

Domains are not Internet Real Estate in reality. I know we like to make that comparison. I can remodel my real estate. Improve my land. People can live on it and it doesn’t really effect the value. Actually it goes up in value if it does have a good rental history. Domains are a different product and comparing the too doesn’t make sense from a rental and occupancy standpoint

A Few Links

No links today. Had a busy day getting ready for a busy weekend so I’ll leave you a litle preview of the weekend

@brilliantlydumb
The sun ways wins
♬ original sound – Brilliantlydumb

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