If you’re thinking of selling your property but are worried about getting a buyer due to the current economy, then you’re not alone.
There is an option called “off-market” which could eases your fears and allow you to test if your property will achieve the price you desire.
Off-market properties are listed with your agent but not advertised.
Instead, your agent passes on details of your home only when they believe it fits the criteria of a potential buyer.
There are several different reasons why you may wish to sell your home in this way.
In some cases, they are used as a pre-market listing, which serves to measure market interest in the home. On occasion, those who need an urgent sale but are unable to spend money on a marketing campaign will often ask their real estate agent to sell the property off-market.
If you’re nervous of the auction process – and the possibility of spending several thousand dollars only to see your home pass in – then the off-market approach may work for you, too.
It is a sound strategy when buyer sentiment is weaker and auction clearance rates slide. Usually, however, we see auctions as the best way to sell a property as a good percentage of those homes that pass-in end up being bought by one of the bidders.
A popular reason to adopt an off-market strategy is when the property has a tenant, and you don’t want to flag that you want to sell. We have seen renters express alarm and even quit tenancies in such circumstances, which inconveniences everyone.
The success of an off-market strategy depends on the diligence of your agent to ensure they take every opportunity to highlight your property to suitable buyers.
The agent must take a proactive approach to your sale, and it is always a good idea to maintain regular contact with them to gauge the type of buyers who are coming through their agency.
An off-market strategy is also popular with buyers for the following reasons:
- The transaction is less stressful because the buyer doesn’t need to attend multiple viewing at set times.
- The buyer doesn’t battle for the property at auction.
- This lack of competition can convince buyers they’re in a position to negotiate – that’s not necessarily the case but it gets them into the buying conversation.
- The absence of a hard-date to sell, such as an auction, means the buyer can take a little more time conduct their due diligence.
- It can provide an opportunity for buyer and seller to agree on a flexible timing for the exchange and possession.
We’d be happy to discuss selling your property off-market and what it might mean for reaching your desired price and the length of time it will likely be on the market.
