Off-market sales have been gaining appeal in recent months, particularly in the inner-city area.
While some sellers still prefer the nail-biting drama of an auction, others increasingly lean towards the privacy and swift resolution of an off-market sale.
What is an off-market sale?
An off-market sale happens when a property is sold without a marketing campaign or publicly advertised inspection period.
Sometimes, a property owner is not ready to put their home on the market, but might be open to considering offers from serious buyers; at others, the property has just come onto the agents’ books, but a public campaign has not yet commenced.
An off-market sale is not the same as a pre-auction sale, where an inspection period and campaign have often taken place and the owner receives an appealing offer before the auction.
Who would want to sell their home off-market?
Off-market sales often occur at the higher end of the market, as they appeal to vendors who wish to keep the sale of their home private and keep the sale price under wraps.
The reduced number of potential buyers means a reduced number of inspections, which can take the hassle out of selling and limit attention from non-serious buyers.
Who are the off-market buyers?
Buyers of off-market properties have usually approached an agent and registered to be notified of homes with their requirements and budget. They may have missed out at an auction for a similar property and approached the agent to discuss their requirements for a property.
Because of this, an off-market sale can only occur with a knowledgeable agent who is able to match buyers to potential properties, and who has intimate knowledge of their local market.
What are the benefits?
One of the major benefits of an off-market sale is that the cost of advertising is significantly reduced.
When a home is sold without the use of internet and newspaper listings, and often without signage, the costs to a vendor can be very low indeed.
Off-market sales can also be an excellent way for a vendor to test the market and gauge the likelihood of a sale without committing to a formal sales campaign.
They also allow a seller the opportunity to sell quickly, which can be appealing to those vendors who have already purchased their next home and are ready to move.
What should sellers ask their agent?
Without a full marketing strategy to attract buyers, it is essential to find an agent with a broad database of potential purchasers.
Vendors who are interested in an off-market sale should also ensure that their agent knows the local market very well and can, therefore, advise on a price which is appealing to both buyer and seller.
If you’re interested in buying or selling off-market in Alexandria and Sydney’s inner city contact our team today.