There are many ways to sell a property and one of the methods is to sell “off-market”.
Selling off-market is when an owner decides to sell their property and appoints an agent to do so without the use of traditional advertising.
So what are the benefits of selling off-market?
The benefits of selling-off market including not needing to outlay any monies to advertise, no sticky-beak neighbours popping in and having only genuine buyers inspect the property. Where time is of the essence, say in the case of financial distress, an owner may want a quick result and not be willing to wait for photos and advertising/marketing material to be prepared. In the case of high end property, there are only a limited number of buyers that can afford to purchase such properties and they are usually known within the network of the estate agent, therefore in some circumstances there is little need to advertise.
What are the negatives of selling off-market?
Whilst you may have an idea of who your typical purchaser will be, you never know who will actually end up buying it. By not advertising to the open market, you restrict the number of potential purchasers and this can limit the end sale result. There is also limited urgency on behalf of the buyer as there is less competition therefore not giving the buyer incentive to put forward their best offer.
If a property is ready for sale, good agents will already have a list of buyers looking to purchase and will show these buyers through before advertising. This is not a true off-market opportunity but rather a pre-market opportunity where if you pay the owners price they will sell. Some owners apply the tactic of “if I get my price, I sell”, these properties usually don’t sell and end up being “conditioning properties” used to show buyers “expensive” properties in the area, agents will then offer these buyers other properties which are “better value” driving up the price of the property that the agent thinks they can sell.
Some agents don’t have the ability to manage an off-market sale without compromising the sale price and as a buyer these are the agents you want to follow, as a seller follow the agent that has the skill to navigate the challenges that an off-market sale can bring and who can get you a great result.
If you are thinking about selling please give us a call to discuss the best selling method for you.