Here’s what you should know before selling your home off-market.
If you’re thinking of selling your home and mention this fact to a neighbor, coworker, friend, family member, etc, there’s a good chance one of them knows someone looking to buy a home who’s having a bad time with current market conditions. The question for you then becomes: Should I sell my home off-market?
The most honest answer I can give you is that it depends. There’s no ‘yes’ or ‘no’ answer to that question because it depends on your situation and goals. That said, there are two costs to keep in mind when selling your home.
The first is the agent’s commission. This is usually the biggest cost of selling a home, and if you sell off-market, you don’t have to pay it, which can lead to huge savings. However, since the buyer is buying directly from you, they’re probably expecting to pay less for your home, so the monetary difference could end up being a wash—and you’re still stuck handling the transaction and doing all of the work.
The second cost comes in the form of not allowing the market to dictate the price. Even if you look at all of your neighbors’ comparable sales, there’s no way to test what buyers are willing to pay for a home in this market without putting that home on the market. Right now we’re seeing buyers paying well over asking price for homes with little to no contingencies in their offers. One of the biggest benefits of the free market is being able to determine the most someone is willing to pay for your property. You could be leaving thousands of dollars on the table by not testing the free market.
As a potential off-market seller, I recommend talking to an unbiased agent so they can provide specific information about your market and offer some insight as to what your home might sell for on the open market. They’ll also explain your options if you’d still rather sell off-market. Ultimately, you want to reach out to someone who’ll make sure you’re doing what’s in your best interest and will help you accomplish your real estate goals.
As always, if you have questions about this or any real estate topic, don’t hesitate to reach out to us. We’re happy to help.