An off-market property is a property that is transacted without hitting the general market. As a result, off-market properties aren’t advertised through usual channels, including real estate websites, and the buyers are carefully screened by the real estate agents or homeowners. This option is becoming increasingly popular and can prove extremely efficient in specific situations. Are you intrigued?
In this post, we’ve listed for you the benefits of selling or buying off-market before detailing how to buy an off-market property.
Off-Market Sales Benefits for Sellers
Sell Quickly
Some sellers are eager to sell their home quickly for various reasons, including relocating for work, having a new child and needing more space, or dealing with financial issues. If you’re in a hurry, selling your property off-market can be a great option as you won’t have to wait for professional photography to be taken, staging to be done, or listing to be ready. Your agent will also be able to tap into their network of buyers, meaning you won’t have to wait for momentum to build before hosting open house inspections.
Avoid Marketing Costs
Advertising your home on real estate websites can be costly (between $2,500 and $12,500 depending on the price of your property). Off-market buyers often focus on specific criteria such as location, number of bedrooms, etc., meaning they don’t expect the room to be staged or 100% pristine. This can save you thousands as sourcing new furniture and hiring the services of a home stager can prove expensive.
Organise Private Inspections
One of the main advantages of selling your property off-market is that you don’t have to host as many showings. Home inspections usually happen every Saturday, and some agents might even plan home inspections during the week to accommodate buyers’ schedules. This means you’ll have to clean and prepare the house for showings every time. Not to mention the fact that you’ll also have to clean up after the prospective buyers have gone. If agents organise viewings frequently, this might become a real hassle, especially if you have kids or are a busy professional.
Off-Market Sales Benefits for Buyers
Less Competition
Because the essence of an off-market sale is to be private, fewer people will know about it, potentially giving you the edge and perhaps room to negotiate terms without having to feel pressured by tens of potential other buyers. Off-market sales are more level-headed affairs and can therefore prove less stressful for buyers.
More Time to Make a Decision
When purchasing a property at auction, things can move very quickly, and if you really liked the property, you might find yourself caught in the middle of a bidding war, knowing that if you win, you’ll have to pay. This doesn’t give you much time to think, which can prove stressful when making such an important financial commitment.
How to buy an off-market property?
Get onto real estate agents’ email lists
If you’ve narrowed down your search to a few areas and know exactly what you want, you should get in touch with real estate agents in these areas and ask them to add you to their email list. This will allow you to get notified before a property that fits your criteria hits the open market. You should also ring them regularly to stay at the front of mind and check their social media pages, as many mention their upcoming listings before advertising them.
Use a buyer’s agent
Buyers’ agents’ job is to be on the field, networking with real estate agents, and talking to homeowners. By connecting with them, you’ll be able to tap into their network and get them to source the perfect property for you.
Off-market property sales can represent a huge opportunity for buyers and sellers alike. Yet, there are also cons to selling or buying off-market. Therefore, you should always do your due diligence and make sure this is the best solution for you before considering this option.