It’s not easy buying a great domain name these days. Because it’s so cheap to buy a domain name, and the also because domain names can make great investments, many domain names have already been registered.
When you shop through the various expiring domain name markets, you can sometimes find great deals that would otherwise be impossible to register freely. Perhaps the owner of a domain name gave up on a project that they registered a domain name for. Perhaps the credit card they used for their registrar expired, and their renewal reminder emails all went into their spam email folder. There can be lots of reasons why someone let a domain name registration lapse.
This guide will explain some of the different markets that exist for buying expired domain names, and give a quick analysis of the quality of the domain names available there.
PreRelease Domain Names
A few days after the expiration date of a domain name, it will end up being listed as a PreRelease domain name. The domain name comes back into the control of the original registrar of the domain. The name servers for the domain are updated and the domain name will usually redirect to a page full of advertisements, with a message that the domain name has expired.
PreRelease domain names end up getting listed a couple of auction services. The biggest and most important of these auction services are NameJet and SnapNames. SnapNames and NameJet have partnerships with different registrars, for the right to auction off their expired domain names.
Generic Domain Finder has a free list of PreRelease Domain Names, to help you find the best names to backorder.
The auction process for these PreRelease domain names works like this. Buyers can scan through lists of domain names that have expired. If they find a name they are interested in, they can place a backorder request for the domain name. At the end of the listing period (usually 3 to 4 weeks), a few different things might happen:
- If there is only 1 backorder for the domain, the person who backordered the domain will automatically win the auction. They will pay the backorder service charge, usually $69, and after some time, will own the domain.
- If there is more than 1 backorder for the domain, an auction will be held between everyone who placed a backorder request. At the end of the auction, the highest bidder will win the auction. They will pay whatever the final price is to the auction house, and after some time,will own the domain.
- If there were no backorders for the domain, it will enter the redemption period. In the redemption period, which is about 30 to 40 days, the original owner of the domain can still get it back by paying a high service fee – usually about $250 or so. However, most domain name owners usually don’t renew domain names during the redemption period. If they’ve gone this long without noticing the domain name expired (at least 30 days), it probably wasn’t very important to them. After the redemption period, the next opportunity for expired domain buyers comes along, which is called Pending Delete.
Pending Delete Names
Pending Delete is the name of the 5 days period, right before the record of the domain name is deleted. From the moment that the domain is deleted from the registry, it’s free for anyone else to register for the price of a regular domain name registration. There are a few different opportunities for a domain buyer here, and it’s important to understand your options in order to get the best deal.
Generic Domain Finder has a free list of Pending Delete Domain Names, to help you find the best names to drop catch.
First of all, SnapNames and NameJet have a service of drop catching domain names. For $69, they will try to catch a name as soon as it expires and assign it to you. For the good names that have made it this far, you can expect that it’s going to be quite competitive, with many buyers trying to register the same name at the same time.
Since NameJet and SnapNames have quite a bit of technology and experience for catching dropping domain names they usually win the names that they go after on behalf of their customers. So, if there’s a name on the pending delete list that you really like, your best bet is to place an order with NameJet and let them drop catch it for you.
If there are other bids for the same name, then once they catch the name, they will send it to an auction. The highest bidder will win the domain.
If you don’t want to pay $69 for the service of having one of the professionals catch the name for you, you could try to catch it yourself. There are a few drop catching scripts you can buy that can help you increase your chances. Every day, you add the list of names you want to catch into the software, and they continuously check to see if the domain you want has dropped. If it did drop, and it wasn’t registered yet by another drop catcher, it will attempt to register it for you.
One such drop catching script is called Snatcher. Currently it works with Dynadot. You prepay credits into your Dynadot account so that it can automatically register names for you as they become available.
Dropped Domains
Finally, you can just pick through the list of names that dropped that were not registered. Obviously the best names are long gone by this point, but you can still find some good names worth registering at this point. As a rough estimate, somewhere between 80 to 90% of the names that expire every day will be available to register uncompetitively. By keeping an eye on the list of recently dropped domains, you can pick up some great domains for just the cost of a registration fee.
Generic Domain Finder has a free list of Dropped Domain Names, to help you find the best unregistered names that have recently dropped.