A common situation I run into with home owners thinking about selling is whether they should go the whole 9 yards with staging, home opens, advertising (etc.) vs selling off market.
The idea behind selling off-market is that you don’t do all the expensive marketing & advertising that’s normally involved in selling a home and just rely on the agent’s existing database of hot buyers.
In theory, if an agent can draw from an existing database of buyers, they can find someone keen to buy that they don’t have to spend lots of time and money attracting.
In other words, it saves the home owner marketing costs (no need to pay for marketing if the enquiries are all coming from the agent’s database) AND they also might not have to do a full home prep & staging (saves time & money).
So, the question I discuss (and answer) in this video is whether selling off-market is going to bring in the best price.
This video segment was pulled from a long interview I did back in Feb 2022, where I answered a heap of frequently asked questions (FAQ) about real estate.
Once you’ve watched the video, let me know your thoughts in the comments below.
Note: The video was filmed in portrait mode rather than landscape, which is why it is narrow rather than wide. For the best viewing experience, I recommend you click the Full Screen mode button.
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So the question on this one is around limited coverage. So for me, limited coverage means that the property’s not going to market.
It means that it’s not being properly marketed to all of the buyers available out there.
So yeah, damn straight, that is, that is dangerous. And that is a risk.
So sometimes what people find is that it seems very attractive and a really easy, convenient solution to not have to have open for inspections, not have to polish the floorboards, not have to dust, not have to do all of that.
And to have a convenient database of buyers come through and offer you what they’re going to offer you.
But if you want to know that you have got the best price for the property with the best terms and the best conditions, the only way, the only way you are going to know that that has happened is if you go onto the open market and have all the buyers competing for the property.
So to give you a little bit of an idea, the statistics around from realestate.com.au for instance, the statistics of the number of people who are searching property at any given time compared to the number of inquiries that the agents are receiving on the properties, their gap is monstrous.
So buyers are only coming into our databases as agents when we have a property that tweaks their interest and that they want to inquire on.
Until, until the buyers see something that they like, they’re not showing their hand.
The portals know who they are, they are on the portals. They have their searches saved and they have all of that but they’re not in an agent’s database unless they have inquired on another property.
So yeah, damn straight. You need as much coverage as you can get through good solid marketing all around on your property to know that you have got the absolute best price, terms and conditions available in today’s market.