Although a competitive marketing and sales process is normally the best way to achieve the highest price for your property. Sometimes, there are good reasons to sell your home by low key sale without opening it up to the market.
However, Do NOT Sell Your Home Off-Market…
Q. WHY Shouldn’t I Sell My Home or Investment Off-Market?
A. Because an Off-Market Sale is the ‘Poor Cousin’ Variation of a Low-Key Sale
As the name itself implies, it’s OFF-Market! It’s not ON-market, so very few true-blue buyers get to know about it
What’s the Danger:
There’s very little in the way of marketing
Only the buyers that have contacted the agent, get to know about it
So, There’s very little buyer competition
The buyers are looking to save money and get your place for a bargain
Do you really want your property sold to a friend of an agent?
How do you know you’ve gotten absolute top dollar with so few purchasers seeing it?
The Better Way:
A True Low-Key Sale has Inspections and viewings scheduled by appointment only, virtually or in small groups depending on your circumstances and preference with a broader group of willing buyers.
Alternatives to a Low Key Sale
Besides the Off-market tag, they are also called by various names depending on the company wishing to brand itself.
We’ve seen them called Off-Market Sales, Pre-Market Listings, Registered Buyers Only, Quiet Listing, Discrete Sale, The Vault, By-Appointment Only, Targeted Marketing, Pocket Listings, Buyers Advantage, Whisper Listings, Silent Listing, Test the Market, Stealth Marketing and Secret Sale.
None of these other names really inspire confidence. Do they?
No doubt there are other terminologies, however, they do NOT all mean the same thing… A Low Key Sale.
Some agents employ their version, to score an easy sale to an investor or developer buddy, a buyer on their list, a mate of theirs or the first purchaser that comes along.
Other agents claim to “match buyers and their property requirements with all suitable Off-Market Listing properties on their books. ‘Off-Market Listing’ properties are those not publicly advertised or not advertised at all. “
The problem with Off Market Property Sales is that it is designed for and works beautifully for the Buyers, as they have very little competition to purchase the property and will save tens of thousands of dollars in the offer price, and much more, especially in a hot market.
So as a Seller though you may sell reasonably quickly and you WILL NOT get the best price.
- A number of new agencies and business models purport to introduce buyers without any or minimal marketing
- A few claim they’ll find a buyer who has already registered for one of their other properties
What happens if none of these buyers are interested? What then? Pray for a buyer?
Sounds simple and easy but does it really benefit you?
If It’s a Secret and Only a Select Few Know… How Can This Help You?
It cannot… It only benefits the easy-sale, lazy or unscrupulous agent and their friends.
We’ve seen and heard too many stories of people taken advantage of, in what was meant to be an Off-Market Sale.
Example 1 – An elderly persons’ home was listed by another agent. There was almost no marketing and a buyer was introduced where it was snapped up, sold at $430,000, and settled in a few weeks. The agent went on to brag about how quick the sale went and how happy the seller was. Seems like a good thing, right? NOPE! Why? Because the home was seriously Under-Sold. Serious buyers, actively searching in the suburb did not see it advertised and later discovered it had sold. They would have paid at least $500,000 for it.
Example 2 – A deceased gentleman who had relatives interstate with no understanding of the market here, employed an agent. He sold the 975 Square Metre site Off-Market, without ANY marketing at all to a builder-developer.
The builder paid about 70% of what other buyers would have been prepared to pay on the open market.
He had Zero-Competition and bought it cheap.
Who did this benefit?
No way on earth, were these agents, acting in the best interests, of the seller.
We Don’t Do That!
Many of our past clients have used a Low Key sale in situations where they had a need to be private and discreet.
For example. They did not wish to alert the neighbours or There’s been a separation or divorce involved, It’s a forced sale, The owners have been threatened, The owners are moving and do not want certain other people to be aware they are leaving. At other times someone in the property has been unwell or There’s been a distressing family situation. The sale has involved a deceased estate, It’s been tenanted for a long-term with little access for improvements, There may be undesirable or difficult tenants. There have also been times where the older owners were awaiting a place in a retirement village or rooms in a hostel. Or it’s simply that they were not in a hurry… and Wanted to skip any fuss…
So the Low-Key Sale Option was Perfect.
However, it means that overall there are Fewer Buyers and Therefore Less Competition for the property.
All of our past and future clients are made aware of the benefits as well as any downside to the Low Key sale Option.
There is essentially nothing wrong with this low key sale strategy…
a) If it suits your personal circumstances and
b) That you are fully informed in advance.
It can also mean a longer time on the market.
A Low Key sale includes bringing in purchasers from a buyer database, also those who missed out on other premium property and are prepared to pay more for the opportunity to secure a home quickly. Additional marketing adds competition from more buyers so no-one thinks they can have an easy run.
Planned occasional or regular open inspections, can also be added if this suits your circumstances.
This can be extended to include enhanced online and offline marketing, with or without a signboard.
This means active marketing of your property so lots of genuine buyers are able to compete with each other to be able to buy your property.
The option to jump to a premium marketing campaign is only a step away.
You can discover more about Marketing here.
What Are Other Methods of Sale?
The most common method of sale is by Private Treaty which accounts for around 70-90% of real estate transactions. Others are Auction, Set Date Sale, Tender, Expressions of Interest, Price on Application as well as Low-Key Sale.
Let me know if you’d like to know more. Or if your circumstances are such, that a hassle-free, Low Key Sale may be the most suitable option for you. Call 08 83961100.
As Your Agent, Because, We Are On Your Side – You Can Rely On Us To Be
- Your Trusted Consultants
- Your Skilled Negotiators and…
- The People Who Oversee ALL of Your Transaction Details
Would You Like an Appraisal?
Call 08 83061100 for a Face-to-Face Appraisal or Check Out a Virtual Appraisal
Got questions? Email [email protected]
To find out more, you’re welcome to call 08 83961100 to arrange a chat with people that care.
Alternatively, Book a Free Consultation or Get Your Home Value Here. We’ll Guide You Home!
Feel free to browse the rest of our Blog for more tips tricks and helpful info you can use.
Not sure of some of the terms & meanings used? Check our comprehensive Glossary, Abbreviations and FAQ’s!
P.S. If you are part of a Club, Group, School or Organisation and need someone to ‘Speak about Real Estate & Property’, You’re Welcome to ask or Click Here. For Sponsorship, Click Here. Want to read in Another Language? Go to our Home page & Scroll to the bottom and choose Translation.
Want Proof of our ability? Check Client References.
Your Home SOLD in 90 Days or Less or We SELL it for FREE! Our FEES are Less than Your First Price Reduction with the Wrong Agent.
Thanks for reading… What else would YOU like to know about? What would make a great story?Do you have any specific questions or advice on buying, selling, renting or investing? Real Estate trends? Local, interstate international? Info on the buying or selling process? How to sell or buy? What NOT to do? What can you TELL us about?Your neighbourhood – What do you love? Shops, Parks for families, pets, to relax? Restaurants, pubs, hotels, places to go, things to do? Anything else at all? Share Your Own Real Estate, Property, Wisdom & Experiences… The Good, The Bad or The Ugly? What have you learned that other people should know? Know someone who needs help?You canREFER them here. Whatever Topic or Suggestion you have… email us at[email protected]or call 08 83961100. We’d love to hear about your ideas.Like most things in life, these are recommendations only. It is not legal advice, it may or may not suit your own circumstances and you may need to make your own additional enquiries. Regards Eriks & Team Plaza Real Estate