Lost And Found.

With the property market now having to ‘endure’ increased volatility and global uncertainty we have noticed a rise in ‘attempted’ off market activity.

I note the use of the words ‘endure’ and ‘attempted.’ Firstly, ‘endure’ as it would seem that despite media hype, quality property in good areas is still performing very well. Perhaps it’s a supply issue, perhaps left over demand from a boiling market…whatever the reasons the numbers don’t lie.

I say ‘attempted’ off market activity as there are many properties being shown at the moment with relatively few of them selling.

Now why is this?

In most cases I have a problem with off market, ironic as I sold my last home in this fashion but in my professional view this approach can lead to headaches for sellers (or worse…underselling).

The concept of selling your home with no fuss, no sign, no advertising and limited viewings sounds great. As a local ‘C grade’ celebrity it certainly appealed to me as I opted for expediency over exposure.

But…the real issue with off market is the number of blind spots that this process brings, some you may never know about.

The key elements to a successful property sale are excellent presentation, quality marketing, competition and establishing context.

By establishing context I mean gathering, downloading and analysing the interest and making an informed decision. After 20 years I still love my job because it’s unpredictable…you just never really know what will happen until you go live.

Since COVID we have seen a significant change in buyer behaviour, combined with lower stock, buyers have become more transient. It’s common place to hear people say they are now looking in Mosman, Freshwater and Balmain.

This less predictable behaviour creates a real headache for database reliant sales because your best buyer may not be in the net at that time = you risk missing them.

Despite lofty claims from large real estate groups about database strength not one of them can out compete Domain and REA. It’s simple, buyers that pay the highest prices are actively scanning online.

Honestly folks, if someone comes into your living room and says things like ‘we have exclusive Chinese buyers’ then I suggest investing in a big tent, a lion tamer and a unicycle and asking them if you can take them on tour.

My point is, if you want to sell for the highest price do it properly. The difference between a half-hearted sale and a well-run process can be life changing.

The other thing I’ve noticed is a lot of these off market opportunities are way overpriced, this just frustrates buyers and makes them even more wary in a time where wariness is on trend.

To combat wariness and uncertainty it's now on sellers to act with conviction and confidence to increase the chances of success.

Until next week,

David