NXDOMAIN results and other errors have their own TTL value though, so if someone queries too early in the process you could be waiting a little while for their cache to check again. The value for this is set in the SOA record for your DNS zone.

For example, example.org/example.com seems to have TTLs set at 300s (5 minutes) for A records, but the negative caching value is 1800s (30 minutes). If your VM domain is set the same way, you could see a premature lookup causing issues for 30 minutes instead of just 5. Even the 5 minutes could be a pain if your VM spin-up process expects to be able to lookup via the name very early and will fall over if it can't.