Typically when people decide to sell their home, they either hire a professional to do the job for them or decide to sell it themselves, which can be a dangerous decision. Of course, the choice is up to you. There is another choice people face these days: whether to expose their home to the market and sell it on the market, or to sell it confidentially off the market. The most important thing to decide is whether you want to have your own Realtor represent you besides the agent bringing the buyer, or you just want to have an attorney look over the paperwork for an off-market sale. You might just decide to have the same Realtor who is representing the buyer represent you. That is called dual agency. Be sure you are aware of the implications of dual agency and are well-informed of the pros and cons.
You also need to consider the pros and cons of off market versus on market. Often when you sell off market, you are able to negotiate a lower commission. You can, of course, ask the Realtor to negotiate. The other pro of selling off market is that it is done without anyone knowing; there is no for-sale sign, and there are no open houses. This is great for people who want to have the sale done discretely and confidentially.
If you are the type of person who does not look back and think of what could've or should've happened, you are the perfect client to sell off market. Don't look back, and don't worry about what another buyer would've paid. As long as this buyer pays your price, you will be a happy camper. On the other hand, if you're the type of person who might worry about leaving money on the table, selling off market is not the way to go. The only way to know you are selling your property for top dollar is to expose it to the open market.
There are always buyers out there who are more motivated than others. One buyer might be highly motivated because his current home is in escrow or his landlord has given him notice. These are highly motivated buyers. If you are only being mildly exposed to the market, how would you know the buyer who has come to you is a motivated one? You might receive an attractive offer on the surface or an offer that matches the price shown on Zillow, but there is no way to know that the price being offered is correct. If the property were on the open market, a buyer would perhaps be willing to pay more than the appraised value. Who cares what the appraisal is? The most important thing to many people might be getting the highest and best price.
It really comes down to what kind of person you are. Will you have sleepless nights thinking you left money on the table? If so, then I would not risk leaving money on the table. If you are the kind of person who would be happy to move forward after receiving a price you think is fair, selling off market might be the right way to go. Think about it, and consult your local Realtor to discuss the pros and cons of each method further.
For more information, please call Ron Wynn at 310-963-9944, or email him at [email protected] To find out more about Ron and read his past columns, please visit the Creators Syndicate webpage at www.creators.com.
Photo credit: savannasherstad at Pixabay