How to Backorder a Domain With GoDaddy Auction
Finding out that a desired domain name is already registered is frustrating. Even if the domain is currently taken, if the current owner lets the registration expire the domain name can be purchased. The GoDaddy website offers tools to back order a registered domain and monitor the domain registration status for you. Once the domain expires it goes up for public auction. Go Daddy's service makes sure that your bid is the first and provides updates on the bidding process.
Instructions
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Sign up for GoDaddy's "Domain Alert Pro Backordering" product. As of this writing, the product costs a one-time fee of $21. The product monitors the domain name, pays for the cost of a one year's membership to GoDaddy Auctions, pays for initial registering of the selected domain and emails periodic updates about the watched domain.
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Watch for emails regarding the domain from GoDaddy. The emails sent will update the domain's status, such as if the domain has not been renewed by the current owner. When the domain expires it will go to auction. If the domain was registered through GoDaddy, it will be made public to everyone to bid. If the domain was registered elsewhere, GoDaddy will only make bids for those who have back ordered the domain.
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Bid on the domain at auction. Go Daddy uses the annual fee as the initial bid at auction. If there is only one back order then you will win the domain. If there were more than one back order then GoDaddy will send an emails to let you know if you have been outbid on the domain.
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Tips & Warnings
If you do not win the domain name at auction, you are not out the $21. Those funds can be transferred to another domain name or can be used to continue monitoring that domain or changed to monitor another domain name.
The back-order funds will not expire until they have been used to purchase a domain name.