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Regarding domain names expiration. There is no option to wait for the domain name to get expired and then register it again. In most cases domain “investors” will pick up these domain names or domain regisrars will keep them for the auction since they have to pay only ICANN fee which is 0.18$ for the domain name. Never assume that you will be the first one waiting for a domain name to expired. In the best case scenario you will just pay premium for in in an auction.
In housing terms, VPS hosting is like renting your own apartment in a larger building. You're much more isolated than in the roommate situation mentioned above; it's still possible that a neighboring apartment could causes annoyance for you, but far less likely. In web hosting terms, Site A's traffic surge won't have nearly as much impact on Site B or Site C. As you'd expect, VPS hosting costs more than shared hosting. You'll pay roughly $20 to $60 per month.