Fierce competition in the property market – particularly in in-demand areas like the Gold Coast – has led prospective buyers to seek alternatives to traditional real estate channels. Unlike listed properties you might see posted by an agent, as the name suggests, off-market properties aren’t available on the market and are typically only shared with suitable buyers. However, many properties that are being sold off-market fall short.
We will be exploring what pre-market property is, how it differs from off-market properties, a recent example of a pre-market property purchase we facilitated, and why you should partner with Rose & Jones to find your next home.
Off-Market Listings
When good property stock is limited, buyers looking for the perfect property look to alternative means. Lured in by the exclusivity of an off-market listing, many buyers think that they will be able to get a great deal, however, most properties that are listed as such typically aren’t truly off-market.
A true off-market sale transacts between a buyer and seller, often with an agent representing one or both sides and typically isn’t available publicly to maintain anonymity and protect the privacy of the seller. Off-market opportunities that prompt a quick sale are often driven by one of the ‘three d’s’ – death, divorce, or debt – or if the seller has found another property that they need to quickly liquidate funds to secure. Unfortunately in many recent cases, off-market properties are being sent out to every buyer’s agent in an area or blasted out to an agent’s database or their social media page, which is not a true off-market opportunity.
High-quality properties in prime locations are hard to come by, however, when true off-market properties are available, sellers are typically motivated to trade, and this can sometimes lead to a very well-priced outcome.
Pre-Market Advantage
Buyers who are looking to benefit from an off-market property sale can find similar – if not better – results by purchasing a pre-market property. Unlike off-market properties, pre-market properties are actively being prepared for the market, but the prospective seller is open to a sale before the property hits the open market if a specific price or set of terms – such as a flexible or lengthy settlement – are offered. As part of a pre-market property settlement, often new buyers will rent the property back to the vendor for a pre-determined to give the time and flexibility to move on to their next property, and this can often lead to a more favourable price.
Real-Life Example Of A Pre-Market Settlement
We were recently contacted by a young family that were first-home buyers and looking to purchase a property interstate. As they were unfamiliar with suburbs on the Gold Coast and weren’t able to inspect properties themselves, they needed someone who knew the process and could offer in-depth insights into local areas.
After discussing the buyer requirements, we found a suitable property in Burleigh Waters, however, the selling agent advised that the property was due to be auctioned in the weeks following. The vendors had been there a long time and were nervous about the process, so they didn’t want to be pressured into a short settlement, as they needed to buy after their sale. As our clients were very flexible around the settlement terms, the sellers were more open to settling pre-market, and we negotiated a mutually beneficial deal for both parties. The property would likely have fetched $50-100,000 more if the sales campaign went well and the property was sold at auction, but as the seller valued time and flexibility over price to a certain degree, we managed to coordinate an outcome that was best for everyone.
Client Testimonial
“Highly recommend Oliver at Rose and Jones. Being interstaters we did not know areas, nor were we able to visit properties. We were also first-time home buyers who were very skittish, indecisive and generally scared by the whole process. Oliver guided us through everything with ease. He provided great photos, commentary and advice even with our ever-changing budget and requirements. The property we purchased he was able to get in quickly and secure off-market at a very reasonable price. Easily saved the fee and more. Oliver’s communication was excellent he was never unavailable and even after we have now completed our property is still on hand to provide information. Have recommended to family and friends and won’t hesitate to use for our next purchase!”
When purchasing a home or investment property, finding the right buyer’s agent is a must. Unlike traditional real estate agents, buyer’s agents can explore all avenues to secure a property, whether that is a pre-market property, off-market property, or a property at auction to ensure that you get the right property at the right price. To learn how we can help you find a pre-market property in Queensland, get in touch with our team now.
About Rose & Jones
Rose & Jones has been helping clients find and purchase properties in Sydney, Brisbane, and the Northern Rivers since 1998. A renowned property buyers agency across residential, commercial and industrial sectors, every one of our property experts meets our high standards, so you won’t have to compromise yours. With access to a wide network of off-market properties, our team can help you find the perfect property. Also offering property management services and investment advice, make Rose & Jones your go-to when it comes to real estate in New South Wales and Queensland.
