diff --git a/src/app/Domain.php b/src/app/Domain.php
--- a/src/app/Domain.php
+++ b/src/app/Domain.php
@@ -250,6 +250,27 @@
             throw new \Exception("Invalid domain status: {$status}");
         }
 
+        if (!$this->isPublic()) {
+            if ($new_status & self::STATUS_CONFIRMED) {
+                if ($new_status & self::STATUS_VERIFIED) {
+                    $new_status |= self::STATUS_ACTIVE;
+                    $new_status ^= self::STATUS_NEW;
+                } else {
+                    // if we have confirmed ownership of or management access to the domain, then
+                    // we have also confirmed the domain exists in DNS.
+                    $new_status |= self::STATUS_VERIFIED;
+                }
+            }
+
+            if ($new_status & self::STATUS_DELETED) {
+                $new_status ^= self::STATUS_ACTIVE;
+            }
+
+            if ($new_status & self::STATUS_SUSPENDED) {
+                $new_status ^= self::STATUS_ACTIVE;
+            }
+        }
+
         $this->attributes['status'] = $new_status;
     }
 
diff --git a/src/app/Observers/DomainObserver.php b/src/app/Observers/DomainObserver.php
--- a/src/app/Observers/DomainObserver.php
+++ b/src/app/Observers/DomainObserver.php
@@ -26,7 +26,7 @@
 
         $domain->namespace = \strtolower($domain->namespace);
 
-        $domain->status |= Domain::STATUS_NEW | Domain::STATUS_ACTIVE;
+        $domain->status |= Domain::STATUS_NEW;
     }
 
     /**