Domain Name Cost: Pricing Breakdown & Guide (2025)

A domain is your online address. It’s where your brand and virtual store live and one of the main places where your audience can find you. 

So, how much should you pay for this valuable digital real estate?

Some domain names cost thousands of dollars, while others are free. Learn which factors influence domain name pricing and what to consider when registering your domain name.

How much does a domain name cost?

On average, you can expect to pay between $10 and $20 per year to register and own a domain name. However, some domain registrars offer introductory pricing, and you may need to pay more to renew your domain registration.

Just as real estate prices vary based on desirability, popularity can increase the cost of a domain name, ranging from a few dollars to a few thousand.

Domain registrars ensure your domain remains online and associated with the correct IP address—that’s what you’re paying for when you register with one.

What about free domains?

Some platforms, such as Shopify, offer free subdomains—web addresses that act like branches of their primary domain. For example, Shopify stores automatically receive the subdomain “www.[storename].myshopify.com.”

Free subdomains let you start your website on a budget. They’re great for building and testing ideas in the early stages of business.

Once you’ve established your site, consider a domain that clearly identifies your business name or brand. That’s why most Shopify merchants eventually choose their own domain names.

How much should you pay for a domain?

The answer to the question “How much is a domain?” is relative. A free subdomain is great for new businesses and personal sites, while a basic, competitively priced domain costing less than $50 will suit the needs of most brands and website owners.

If most of your website traffic comes from search engines or visitors typing in your address, spending more on a desirable name may be prudent.

A domain name that indicates your website’s focus (like “www.plumbingadvice.com” for a plumbing tips site) can improve your site’s search engine ranking for related keywords (such as “how to unclog a kitchen sink”).

For businesses with strong brand reputations, paying for a domain name that matches their brand name is a smart investment. An exact-match domain makes a website easier to find and enhances brand trust. For example, American Blue Jeans could decide to buy “www.americanbluejeans.com”—even at a high price, it confers brand visibility and credibility.

Domain name price comparison table

When choosing your domain name, remember to account for both the first-year domain registration cost and the renewal price. Some top-level domains (TLDs) are more affordable upfront but come with higher renewal costs, while others may be more expensive to register initially but have lower renewal rates. 

Prices can also vary significantly between domain registrars. Always check for special offers or discounts for the first year or long-term registration plans.

Note: The data in this table is based on general industry trends and common pricing across popular domain registrars like GoDaddy, Namecheap, and Google Domains. These values are estimated ranges from typical prices for the first year and renewal costs. However, they can vary depending on promotions, specific registrars, and any special offers.

Examples of domain name cost from popular registrars

The domain name market is on the rise. At the end of 2024, there were 364.3 million domain names registered across all TLDs, an increase of 2 million from the third quarter of the same year. This industry is projected to reach almost $10 billion by the end of 2025, driven by the growing need for businesses to move online. 

Find out below what the most popular domain sellers charge to register the example domain name “bakehacks.com” for a fictional baking business. These are sample prices as of spring 2025. The price of your desired domain is influenced by its length, TLD, popularity, and add-ons such as domain privacy protection.

Note: This example uses .com because it is the most common and trusted TLD. Prices for alternate domain extensions—TLDs like .ca, .co.uk, or .recipes—vary significantly. 

Shopify

Buying the domain name “bakehacks.com” directly in Shopify would cost around $16 annually.

Hover

It costs $18.99 to register “bakehacks.com” with the popular domain registrar Hover, or you could get introductory savings on alternate TLDs. For example, “bakehacks.store” is just $2.99—but increases significantly to $64.99 after the first year. 

GoDaddy

Registering “bakehacks.com” costs $18.99 a year at GoDaddy, one of the largest domain registrars in the world. You could get a significant first-year discount at only 1¢.

Namecheap

For around $11.28 per year, including a small first-year discount, you can register “bakehacks.com” at Namecheap, a registrar known for its affordable prices.

Bluehost

Registering “bakehacks.com” starts around $8.99 annually at Bluehost, a web hosting company that also offers domain registration.

Tip: When you’re buying a domain, make sure the registrar is accredited by the Internet Corporation for Assigned Names and Numbers (ICANN). ICANN is the global authority that oversees the domain name system, so everything runs smoothly and securely on the internet. 

What affects domain pricing?

Here’s a closer look at factors influencing domain name costs:

Top-level domain extension (TLD)

The letters appended to your domain name are called the top-level domain (TLD), and they affect pricing. A .com or .org TLD typically costs more than a niche extension like .tv or .io.

While .com is the go-to for most businesses, country code TLDs such as .ca or .co.uk can be desirable in certain circumstances. Online stores with international customers often purchase a variety of regional TLDs to serve clients in multiple locations.

Domain length and popularity

Popular and memorable domain names have higher price tags. For example, the domain name cars.com is likely more expensive than bestusedcars.com, which probably costs more than bestusedtoyotas.com.

Availability

If the domain you want is already owned by someone else, you may still be able to buy it—but you’ll probably have to pay more. Desirable names with multiple potential buyers may sell via auctions where the highest bidder wins.

It’s also possible to pick up an expired domain name if its previous owner doesn’t renew. Expired domains typically have a history you’ll need to investigate before buying. 

Where you purchase the domain

“Every domain registrar has its own pricing system, though they all try to remain competitive. It’s worth looking at various registrars and price-shopping,” says independent UX/UI designer Dave Smyth. 

The simplest way to reduce your domain setup expenses is to choose a registrar with an introductory offer for new customers. If you already have an account with that registrar, you may not be eligible for the discount. 

That said, consider ongoing costs before jumping at the first introductory offer. You could pay more for the domain in the long run if its renewal prices are higher than other registrars. Get rough long-term estimates from different registrars before committing. 

Privacy protection

When you register a domain, your personal information—like your name, address, email, and phone number—is typically added to the WHOIS database. This is a publicly accessible record that anyone can look up to find out who owns a domain. 

Many domain registrars offer privacy protection services (also known as WHOIS protection) to hide your personal information so your details are safe from scammers and potential identity theft. 

Most registrars charge an additional fee for this service, typically ranging from $5 to $15 per year. Some may even include WHOIS protection for free for the first year when you register your domain, but it’s always worth checking the specifics when you sign up.

Domain lifecycle and redemption costs

Every domain goes through several stages during its “lifetime,” from registration to expiration. Here’s a simplified timeline:

• Active registration. This is when your domain is live and fully operational. You’re paying the domain name cost per year for this stage, which is typically between $8 to $15 annually, depending on the TLD you’ve chosen. 
• Expiration. If you forget to renew your domain, it enters an expired state. However, many registrars offer a grace period, usually between 30 to 45 days, where you can still renew without facing any additional fees. During this period, your domain is inactive, but it hasn’t been released to other buyers yet.
• Redemption period. After the grace period ends, your domain enters the redemption period, which usually lasts 30 days. This is your last chance to recover the domain, but it comes with a higher price tag. Instead of paying the typical domain cost per year for a renewal, you’ll need to pay a redemption fee. This fee can range anywhere from $50 to $150, depending on your registrar. 
• Pending deletion. If you don’t redeem the domain during the redemption period, it will eventually be deleted and released back into the pool of available domains. 

Hidden domain costs to watch for

The upfront cost to register your domain name is just one of the fees you’ll pay. Most registrars add administrative charges to cover connecting your domain with an IP address and listing it in the domain name system (DNS). 

There are other hidden costs to consider:

• Premium domains. A premium domain is one whose owner lists it for a high resale fee. They cost significantly more than standard domains because they tend to be shorter, more specific, and more memorable. For example, the most expensive domain in history, cars.com, sold for $872 million in 2014.
• Domain extensions. Some registrars charge additional fees to register a subdomain. For example, you might have to pay a separate domain registration fee to use the “help” subdomain. 
• Contract length: You don’t technically own a domain—you lease it from the registrar. The longer you lock in and commit to the contract, the more money you can shave off the domain’s price. 
• Transfer fees. There may be transfer fees involved if you decide to move your domain to a different registrar. These fees typically range from $5 to $15, and while they’re usually not prohibitively expensive, they can add up if you’re switching providers frequently. Some registrars ask you to extend your domain registration by a year when transferring, which could add to the overall cost.
• Additional services. Email addresses, web hosting plans, SSL certificates—these are services offered by domain registrars that they upsell at checkout. Get clear on what you do (and don’t) need before adding extra services to your cart and inflating the cost of your domain. 

How to get a premium domain for a good price

Getting a good deal on a domain name is reasonably straightforward. The key is to research domain name providers.

Shop around

Prices for the same domain name can vary across providers, so compare prices to secure the best deal. Look closely at sales and promotional offers. Some registrars offer deep discounts for new customers.

Avoid unnecessarily expensive domains

There’s no need to purchase an expensive domain if you don’t need one. As long as your domain address represents your brand, is memorable, and is easy to spell, you’re good to go. 

If you believe a premium domain name is necessary for branding or marketing purposes, allocate funds for it in your marketing budget. Remember, you can probably deduct a portion of the cost as a business expense.

Think beyond .com

Exploring less popular domain extensions can help you secure a popular domain name at a lower price. For instance, an .io domain could be a good fit for a tech company, while .green makes sense for an environmentally focused business. Less common top-level domains like these are often cheaper than a .com domain.

Many new TLDs have emerged recently, offering variety and more opportunities to land a short and simple address. For example:

• .shop or .store are great for ecommerce websites.
• .app domains may appeal to developers.
• .blog is perfect for writers.
• .nyc or .london go beyond country code TLDs to make your business hyper-local.

Consider the renewal price

When you register a domain name, you rent it for a certain period. When that time is up, you’ll need to renew your registration to keep your domain.

Many domain registration services offer discounts for registering a domain for multiple years. If you’re confident in your choice, this can save you money while securing your domain name for longer. Just remember to turn on auto renewal so the domain stays under your control.

Consider domain auctions

Domain auctions are platforms for buying and selling currently owned domain names. They can be a great place to find unique and valuable domains.

However, bidding in a domain auction is often competitive, and prices can quickly escalate. If you’re considering buying a domain from an auction, set a budget and stick to it. If you don’t win the auction for your first choice domain, you can fall back on a different TLD or slight variation in your domain name.

You can also negotiate privately for an owned domain. Domain broker services, available through many registrars, can handle negotiations for you. They’ll help uncover the domain owner, suggest a reasonable offer, and assist you during domain migration.

Bulk purchases

Many domain registrars offer discounts if you buy multiple domain names at the same time. 

This can be particularly useful if you want different TLD options, like both a .com and a .co.uk, to protect your brand across different markets. 

By purchasing several domains in one go, you might be able to negotiate a better overall price, often saving 10% to 20% compared to buying them individually. Some registrars may also offer bundled deals that include extra services like WHOIS protection or hosting, which can give you even more bang for your buck. 

Domain negotiation tactics

If you’re eyeing a premium or aftermarket domain (one that’s already owned by someone else), you might find yourself negotiating with the current owner. Premium domains can be a bit pricey, and the process can feel intimidating, so here are some key tactics to keep in mind when negotiating for a domain:

• Do your research. Check the domain’s history. Has it been used for a reputable brand or is it just a random collection of words? Tools like WHOIS can tell you the current owner and whether the domain has been on the market for a while. If the domain has been listed for sale for a long time, the seller might be more willing to lower the price. 
• Start low but be reasonable. Don’t offer your best price right away. Don’t go too low (you want to be respectful), but offering a bit under market value gives you room to negotiate upward. 
• Be ready to walk away. If the price is too high or the seller isn’t willing to budge, don’t be afraid to politely exit the conversation. Often, the seller may come back to you with a better offer after they see you’re not desperate. 
• Consider payment plans or installments. Some domain owners are open to payment plans, letting you spread the cost over several months or even years. 
• Use a broker (if necessary). Brokers are experienced negotiators who can help you secure a domain for a fair price and handle the legal and technical aspects of the transaction. They typically charge a fee, which can range from a flat rate to a commission on the final sale price.