If you’ve set your mind on selling your home after a month’s worth of doubt-driven monologues about having other options than to sell, here’s another thing to think about — “How am I going to sell the house?”
The home selling process can be overwhelming, especially for first time sellers. That’s why most home sellers (newbie or not) prefer to hire a real estate agent (REA). This is true when you want to sell both on-the-market or off-the-market. But what exactly do on-the-market and off-the-market selling mean?
To put it simply, on-the-market selling means that you advertise your sale on a multiple listing service such as the Georgia Multiple Listing Service (GMLS). In 2020, the National Association of Realtors implemented the Clear Cooperation Policy, which requires all realtors to disclose their listings to the public via the MLS within 24 hours of accepting the job.
Off-the-market selling, on the other hand, involves selling without listing your property on an MLS. Now you might be wondering how is this possible with the Clear Cooperation Policy in place. For one, the policy only applies to realtors — licensed real estate agents accredited by the National Association of Realtors. Yes, not all real estate agents are realtors, but all realtors are real estate agents. To learn more about off-the-market selling, below are the major pros and cons that you’d want to brush up on.
Pros of Selling Off-The-Market
Another exemption to the Clear Cooperation Policy is when the seller already has a buyer and only needs an REA to oversee closing. The bottom line is, listing your home off-the-market isn’t something to be afraid about, especially when the benefits are something to look forward to.
Opportunity to Save Money
Let’s recap. If you’re going to sell your house on the market or list it on sites like Zillow, Trulia, and Redfin, there will be expenses for marketing, site subscription, and open houses. Additionally, if you come across an REA that convinces you to do home staging, you will also be charged for that.
Imagine not going through this conventional way of selling a home. If your real estate agent has a great network of buyers, you don’t have to spend a lot on marketing, and you can have the option to preselect your potential buyers.
If you are in a hot buyer’s market, your pocket listing will serve as additional inventory to buyers. Basically, it absorbs some of the demand for housing. The advantage of not having competition is that there is a lower chance of you having to reduce your price just to attract buyers.
Exclusivity Makes Your Home Seem Premium
Luxury homes initially popularized off-market selling — not everyone was invited to view and buy a particular house unless they met a couple of economic standards. Eventually, the off-market listing of low and mid-priced homes also expanded, primarily as the number of real estate investors increased.
To cut the story short, if you’re going to list your home off the market, people will most likely wonder what’s so special about your home that you don’t want a lot of people to see. This thought alone is already quite compelling to attract buyers.
Since this is an “invite-only” sale, you won’t have to deal with so many strangers at once. In most cases, your real estate agent already knows your buyer personally before introducing them to you. This allows you to have more control over your sale, especially when your reason for selling is a very personal and private matter.
Cons of Selling Off-The-Market
Like many other choices, selling off the market also has its disadvantages. These include:
An advantage of listing on the MLS is that you’ll have a greater reach. Unfortunately, listing off the market will reduce this. There are many subtypes of off-market selling, though. For example, an “office exclusive” listing involves sharing your listing with other agents within the same office while still promoting privacy. We cannot stress enough that one of the keys to successfully selling off the market is to get yourself the right real estate agent.
Reduced Chance of Selling More Than Market Price
Since off-market listings are only made known to a few buyers, the possibility of a bidding war is low to none at all. This means that you won’t get the chance to sell your house higher than your listing price.
House Might Not Sell Right Away
FSBO is also a form of off-market selling. Back in 2015, homes sold via FSBO took longer to sell than agent-assisted homes. Although the numbers have improved today, the difference is still there.
If you wish to sell your house this way, you need to get a real estate agent who has sold properties off the market in your locality or county. Navigating this requires skill and experience. You would want an REA who knows exactly what to do given the circumstances.
At HomeSoldGA, we can connect you to the right buyers and help you sell your house fast according to your terms. We have years of industry experience, and we know exactly how to navigate off-the-market selling without burning your pocket too much. To learn more about our services, contact 770-668-4888 or leave us with your contact information below, and we will reach out to you shortly.