1. Some domain names don’t go to auction and are instead held by the registrar in their own portfolios (you called this “warehousing” by the registrar). This is probably less than 0.001% of the domain names….actually, probably even less. I suspect it would only be premium domain names with massive exact match local search quantities. Not surprisingly, I cannot find any information from registrars about their procedure, quantities of domains their keep, or ICANN’s rules (if any) about this.
Here's an old post on search engine roundtable that claims google's policy is to discount previous backlink juice when a domain changes ownership.  I'm not convinced whether this is actually true or something Google says to discourage excessive domain buying / 301 redirecting for SEO benefit.  The comments above seem to give varying opinions on this matter. Would be great to get to the bottom of that one!

If you buy keyword specific domains, you're really buying the type in traffic.  I use the URL builder and redirect through that URL so you can see how much traffic your getting from the keyword domain.  There seems to be no rythme or reason to what keyword domains deliver traffic and what don't.  By tracking traffic with the Google URL builder you get a feel for what names are giving you traffic and which are not. ie. the plural, the singular, two words, three words, the possessive, etc.
2) prerelease auctions.  These are domains where the auction venue has contracted with the registrar, like Fabulous or Moniker, to auction off non-renewed domains.  Just before a domain enters the pending delete process, it goes to a private auction to any person who has backordered the name.  Some people feel that back links on these type of auctions still provide a SEO benifit. My testing indicates that there is zero SEO benifit when these domains are redirected into another site.  So if you get a domain with "pink squirels" in a lot of achor text to a domain and then point it at your domain, you don't rank for "pink squirels"
Let's face it, if you want to make money off the internet, you have to wrap your mind around one central rule: no traffic means no money. Making money online is all about being able to generate traffic from social media sites, search engines, and all other sources of online traffic. It's impossible to make money as an affiliate if you don't have traffic to convert into cold hard dollars. There are, of course, many ways to generate traffic. You can write content and organically attract search engine traffic. You can post a unique blog post on willing third party blogs and enjoy direct traffic along with SEO benefits. You can also promote affiliate links on social media platforms and get traffic that way. In fact, if you really think about it hard enough, generating traffic is really not that difficult.
The bottom line is, drop domains deliver traffic. How come? When people register a drop domain and build a website on that domain, they often attract backlinks. They also can update their website and generate a community or a brand. Whatever the case is, there are four things that happen that results in traffic for those websites. They create a backlink footprint, which drives direct traffic. This backlink footprint also produces SEO benefits. The more these website owners promote their website, the more goodwill they build up in their target niches and online communities. Finally, the more they manage their online blog, website or information site, they gain some sort of presence on social media.
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.
When searching from keyword DHG will take your list of keywords and search each one, the pages will then be crawled to find unique domains to check availability of. The process is relatively simple but very time consuming when done manually or semi automated as was necessary in the past. Luckily now the job can be set and left to work while you do something else.
At the end of the day, this article is geared to startups, business entrepreneurs, webmasters and marketing professionals who need to understand the process, and I guestimate that the process listed in the article above accounts for 99%+ of all expired domain names. All of your points are valid and appreciated, but if someone is interested in buying a good, brandable domain name for their business, they should follow the instructions above to have the best chance of grabbing it.

Domain names expire when someone decides to stop renewing it. They may not be available to register immediately. We update the search index every night, so some names may already be renewed or re-registered. Some may become available in a few days. Some registrars, like GoDaddy, will let you buy a name that one of their own customers expire immediately. When you find a name you like, just click on it to try backordering the name!
Finally, if you were to manually check for drop domains, you have to jump through many hoops. It's a very labor intensive and often confusing process. When you see that a domain name is available, you shouldn’t just stop there. You should also pay attention to how many backlinks it had, how niche-specific the domain is, what kind of websites link to it, did it get signals from social media, and other indicators of quality. If you were to try to look for drop domains manually, it can be a very, very intimidating process. Thankfully, there is an easier solution.
Hi, I purchased a .org domain in a Godaddy auction, actually the closeout auction so it had been renewable and then available as a closeout after 36 days. I purchased the closeout domain because I was thinking of using it as a catchy anagram. I instead offered it to the Trademarked company to purchase for a nice sum of money, and now they are threatening to file legal action against me for “Domain Squatting” saying that I purchased it in bad faith. etc… The way I see it, is it was available for them to renew for 26 days, and if it was not owned by them they had a window of 10 days to purchase the name before I did in the regular auction. What’s your thoughts on this?
To get the most from GoDaddy Auctions, you should first decide on the way you want to evaluate the domains. Domainers tend to look at the words in the domain name, while SEOs care about the backlink equity. If you are a domainer, you should look at Estibot, Domain Index or Valuate scores. If you are an SEO, you should look at the Ahrefs, Moz and Majestic metrics to gauge the value of the backlinks. Once you have figured this out, you should look at these numbers for every domain you find on GoDaddy Auctions. Do not be afraid of bidding on the Closeout auctions, as you can get good domains for cheap.

Next, some of these expired domain names have ranked in high authority sites that are ranked or had ranked themselves. Besides, some of these domain names are worth a fortune. For example, domain names sell for about ten to twenty dollars each. However, those that are the most sought after can go for over $ 2500 a month because they have lots of traffic back links or rankings.The last advantage is that you don’t have to spend much to find expired domains.
Lets look at some settiings, so you could enter a list of websites to crawl for expired domains on, or you can enter a search query say you're looking to form a pbn to boost your money site, that's about horse riding or something you could put horse riding down there and then it'll search, Google for horse riding and then crawl all the domains that Google brings back to you. Then we've got endless crawl and you basically you put in a few seed websites and then it will just crawl endlessly from those websites. So it will take all the domains off those websites. First they'll check whether they're expired or not. If they're not expired, then it'll start crawling them and then it will crawl the ones it finds from them and so on so on and so on. It will just keep going ok.
Quite a lot of the time majestic trust flow will be great but ref domains below 10 but when I check ahrefs its considerably higher for ref domains. Without ahrefs I would of passed over these domains and missed out. Worthwhile addition if your building a lot of pbns. I also use linkultra backlink for my final spam check as it checks language,site type and if backlinks are comment, profile spammed etc enabling me to check if the backlinks of the domain are solid very quick.
For example: If the domain name DomainSherpa.com is registered with Moniker (the registrar) and the domain name reaches expired status, within a few days of expiring the domain name will be listed at SnapNames.com (auction house partner to Moniker). Domain names are exclusive to one auction service, as an auction cannot take place at two locations.

Sometimes people purchase domains that they plan to build a website on or sell in the future, but it just doesn’t end up happening. If an individual decides that it is no longer worth the yearly investment of keeping the domain in their account, they may choose to let it expire. Or, someone might just forget to renew the domain before the expiration date. If this happens, it’s a great chance for other domain investors to score rare domain names that are pending delete. Spending time perusing the list of recently dropped domains can be a worthwhile way to find high quality domains.
Let's face it, if you want to make money off the internet, you have to wrap your mind around one central rule: no traffic means no money. Making money online is all about being able to generate traffic from social media sites, search engines, and all other sources of online traffic. It's impossible to make money as an affiliate if you don't have traffic to convert into cold hard dollars. There are, of course, many ways to generate traffic. You can write content and organically attract search engine traffic. You can post a unique blog post on willing third party blogs and enjoy direct traffic along with SEO benefits. You can also promote affiliate links on social media platforms and get traffic that way. In fact, if you really think about it hard enough, generating traffic is really not that difficult.
×