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Domain timetable:
1) Domain expires.
2) Expiry till 30 days later, you can renew it at regular rates.
3) 30 days after expiry till 60 days, enters Redemption Period. Registrars charge money to restore it as it costs Them money. $200 you quoted is very high though.
4) 60 days after expiry, domain enters Pending Delete. No one can get it back, 5 days from now it'll be released back to the open market.
(Days quoted above sometimes vary registrar-registrar)
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