Premium Domain names are domains that are already registered, but are available for sale at a higher price. Sometimes it will be an individual selling the domain, or it could be the domain registry (Like Donuts Inc. or Radix) selling their top quality inventory at a higher price point. These domains can be priced anywhere from a couple extra bucks to millions, depending on the domain name, the level of interest, or the amount of traffic it organically receives.
The biggest advantage of using expired domain names to earn cash online is that they belonged to a website that had already establish, registered with several search engines companies and has existing backlinks and traffic. In general, by making use of expired domain names you tap into the resources that were created by someone else to get rich within a short time unlike when you do all the dirty work to get your website recognized immediately.

Here's a test I have in process.  I bought an old $5 closeout domain from Godaddy TDname expired auction.  I put a quick minisite up and linked to it with a crazy anchor text phrase.  The domain is ranking for that crazy term now.  It's gone through one pagerank update and I'm waiting for a second to come.  Then I'll redirect the domain to another minisite.  I suspect the second site won't rank for the anhor text, but we'll see.  
No, no, no. ToysRUs made a perfectly logical decison that most any business would do and Google tanked them for it. ToysRUs wanted the url toys.com to direct to their site.  They're all about toys and they simply bought a url that described their business and told the url where to take people.  Google tanked them in the rankings because Toys.com came with link juice. Google assumed that Toys.com was doing this to manipulate the search engines but there is just, to my knowledge, ZERO evidence of this.  This is another case of Google caring more about the possible spam threat than the actual rankings for searchers.
Also, I currently have two other domains that are registered with Squarespace, and I have their annual payments set up automatically so I never have to manually pay (and so nobody else gets that window of opportunity to take the domain away from me). Would it be possible that the owner of this domain might just have a similar system in place and that I might be wasting my time?

I had two domains, a .com and .net with godaddy. I’m beyond their redemption period ($80 fee), but they said it should be released back to the public domain soon and I may be able to get it back. Before I knew this, I paid $12.99 plus ican fees for the .com thinking it was available as the rep told me she was able to add it their cart, and I paid a $24.95 fee for back ordering my .net domain. Shortly thereafter, I received an email from godaddy saying:

Finally, just because you have an idea doesn’t mean that you have more rights to a domain name. That’s not the way the system works. For example, Microsoft owns more than 75,000 domain names. Surely they’re not using them all — but they were acquired through purchasing businesses, hand registering them for business ideas, defensively registering them, etc. And they have the right to do so, just like you do for any idea that they have yet to come up with…just like a real estate investor does for a plot of land they have no intention of building upon for the next decade…just like an art collector does who wraps a Picasso and puts it in their basement.
Now the numbers of errors, for we give up crawling a web site in case you know, they've got some kind of anti scraping technology or the web sites just completely knackered or something thirty is generally fine. Limit number of pages crawled per website most the time you want that ticked. I have it about a hundred thousand less you are going to be crawling some particularly big websites. I like that there, because, if you have an endless, crawl and there's some kind of weird URL structure on a website like an old-school date picker or something you don't want to be endlessly stuck on that website. Show your URLs being crawled. Now, if you just want to see what it's doing, you can have it on for debugging sometimes, but I generally leave it off because it makes it slightly faster and writes results into a text file so as it goes along and it finds expired domains as well as showing you and the GUI here, you can write them into a text file just in case there's a crash or your PC shuts down or something like that.

Warehousing: I have no clue to a percentage of warehoused domains but I know it happens. Tucows even admitted it on my blog “I know you don’t like that we’re allowed to select expiring names for the Tucows Portfolio rather than letting them all go to auction or drop but that seems to be something we have to agree to disagree about.” ~ Ken Schafer (1st comment) http://www.dotweekly.com/could-you-explain-tucows
Everybody going to start using old domains should also know how to get them, I'm going to post soon article about it on seomoz as there are several ways starting from online rankings and lists up to dedicated seo tools that you can run on your computer and get precise and actual data on demand for any domains lists. Anybody intersting in such tools please visit our website: http://en.exdomain.eu/

This is not the case at GoDaddy Auctions, however. There, GoDaddy starts the auction before the domain names has fully expired and the registrant does have the ability to pay a one-time restoration fee to restore ownership. This is particularly frustrating to those bidding in the auction, as you may be the winning bidder and pay your winning bid price only to find out a few days later that it was restored. You then have to wait for a refund from GoDaddy.
There is no easy way to explain “all” things about expired domain names. As you stated Michael, Network Solutions domain names go to the partnered domain auction service NameJet.com BUT, not “all” do… NSI customers have the option to opt-out of having expired domains go to auction. If a customer picks this option, the domain name would go through the drop process and go PendingDelete around the 71st day after the expire date. When it is released from the registry, the domain name is fair game to the major dropcatching services and the private ones. This still doesn’t mean anybody would grab it, and the domain may become available to hand register.

If your domain name was in fact stolen from you, please go file a police report as soon as possible. If, instead, you allowed your domain name to expire through carelessness or ignorance, then you’ve learned a valuable lesson: domains have value. I’m not saying this to be a jerk, I’m saying this because words matter and saying something was “stolen” when in fact it was allowed to expire is not truth. I’m happy to share my knowledge as clearly as possible for others to benefit from, and all I ask is that others do the same.

From a most basic perspective, any website or platform on the internet that allows people to post a link which goes to an outside site is a potential source of traffic. However, traffic sources are not created equal. Some traffic sources are very problematic. For example, if you were to go to social media sites and just share content and links, chances are, somebody at some time will object to that practice. They would say you’re spamming. It's very easy to get your affiliate account shut down because people complain. Similarly, you could be blogging for what seems like forever and fail to get much love from search engines.
I had two domains, a .com and .net with godaddy. I’m beyond their redemption period ($80 fee), but they said it should be released back to the public domain soon and I may be able to get it back. Before I knew this, I paid $12.99 plus ican fees for the .com thinking it was available as the rep told me she was able to add it their cart, and I paid a $24.95 fee for back ordering my .net domain. Shortly thereafter, I received an email from godaddy saying:
Trust flow refers to the number of quality backlinks that a website has. If backlinks from websites that have a high domain and authority ranking point to your site; your website’s trust flow will increase. Trust flow is also measured on a scale of 1 to 100. If your website has a large number of backlinks, but they are not from trustworthy and reliable domains, your websites trust flow will be low. On the other hand, if you even have just a handful of backlinks to sites that search engines rank highly; your trust flow will increase.

Referring domains for anchor phrases usually reveals similar information. What you really want to look out for is whether or not the site has been picked up by a spammer in the past. A lot of times these expired domains were dropped, picked up by a website owner who then tried to rank it for keywords like Viagra, Cialis and whatever. You obviously don’t want that kind of domain.
The advanced search feature lets you limit by domain extension What URL Domain Extensions Stand For and Why They Are Needed What URL Domain Extensions Stand For and Why They Are Needed There's a lot more to the internet that just .com, .org, and .net sites. The world of top-level domains exploded a few years ago. But what is a TLD? Let's find out. Read More , age, number of characters, and type. Types include expiring, auction, buy now, and more.

Answer: Yes. For a vast majority of domain names that expire (greater than 99%+), the rules and processes listed above are valid. However, there appear to be exceptions to these rules. For example, registrars “warehouse” or take for their own domain name portfolios some domain names, and other domain names a renewed even past their expired or redemption periods. In addition, there is at least one registrar that does not have an auction partner, allowing expired domain names to simply drop and be available for hand register.
I am trying to find the auction house partnered with “Registration Technologies, Inc.” (http://registrationtek.com/). They appear ancient, but still active. I have attempted to contact them and received no response to my queries. How would I go about finding the auction house they are partnered with? Are you certain that all auctioning partnerships are exclusive?
The advanced search feature lets you limit by domain extension What URL Domain Extensions Stand For and Why They Are Needed What URL Domain Extensions Stand For and Why They Are Needed There's a lot more to the internet that just .com, .org, and .net sites. The world of top-level domains exploded a few years ago. But what is a TLD? Let's find out. Read More , age, number of characters, and type. Types include expiring, auction, buy now, and more.

"Expired Domains" will help you grab and search through all those domains that are expiring in a organized matter. You will be amazed how many good domains are expiring every day. With Expired Domains you should be able to find a domain you are looking for. It may take some time, and you should not expect to grab something like credit.com. Sometimes you will also need to use a backorder service to assure (as much as possible) that someone who aimed at the same domain as you doesn't grab it before you does.
From a most basic perspective, any website or platform on the internet that allows people to post a link which goes to an outside site is a potential source of traffic. However, traffic sources are not created equal. Some traffic sources are very problematic. For example, if you were to go to social media sites and just share content and links, chances are, somebody at some time will object to that practice. They would say you’re spamming. It's very easy to get your affiliate account shut down because people complain. Similarly, you could be blogging for what seems like forever and fail to get much love from search engines.
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