godaddy.com

I have two domains I would like hosted off one install of drupal, domain1.com, domain2.com hosted on godaddy.com
I have installed drupal and have the first site up, however when trying to install the second site, domain2.com, I get a browser error saying "this page has a redirect loop, "The webpage at http://site.com/install.php has resulted in too many redirects".
I seem to get this error each timeI try to add a second domain.
Here are the steps I took
1.create new directory in 'sites' called 'domain2.com'
2.moved 'default.settings.php' into the folder and renamed it appropriately.