I find this method one of the easiest and thought I'd share it here. I have made at least $15-20 profit with each proxy website I sold. This is what I do...

Purchase a .info domain name from godaddy (costs less than $2)
Purchase hosting for a month ($5 with 3-4 sub domains)
Download the PHProxy script and put in my google adsense pub ids.
Upload the proxy.
Promote it using free methods - directory submissions, yahoo/google groups, link exchanges, topsite submissions.
Sell it at the end of the month for 5x the revenue made from adsense. (For example if I made $10 from google adsense in a month I would expect a decent $50 for the proxy).
Sell it at forums like sitepoint/ digitalpoint.

The total investment is about $7 which can be earned back by adsense. So the entire sale price is your profit. I have done this for so many proxies and not one has ever been sold for less than $20. Not a lot of money but for 15 mins of work a day and $50 a month from just 1 proxy seems good. Now imagine you have 5-10 or 15 proxies. ;-)

I would be happy to help or answer any questions on flipping proxy websites.

It's a solid idea but hosting proxy websites off of $5 plans, assuming "shared" plans, is usually against the terms and conditions of most hosting companies.

This is interesting. But you are investing 15 minutes a day for a month to make $50 I don't see the ROI. that is about $8 an hour.

I also want to know which hosting support proxy websites.

Actually this won't work for very long.

1st google needs to get you adsense account
2nd showing/clicking at adsense is forbidden by te TOS of google
3rd even with clicking you can and you WILL get banned
4th google has limit for the download, so you'l be banned by 2 or more/less months UNTIL you can get check or any other ways to pay.

trust me google knows, what they're doing. you will loose money and time

oh and I almost forgot. nor all proxyes are good. only if you buy them from trusted company. Most proxyes shows your real IP, so google will figure this out in days

spot on! Like the way you think

$8 an hour is riches if you live in places like Dominican Republic or Vietnam.

I follow the domain investing community. These are the only things you need to think about doing when looking to buy an established website. I've looked at other options and they're not worth your time.

*Sedo.com (search for websites, not domains)
*Contacting owners directly