Do Off-Market Properties Sell for Less Than On-Market?

What's the real advantage of off-market properties?

The advantage isn't automatic discounts. Instead, off-market properties offer:

• No bidding competition: You're not competing against 5-10 other buyers at auction or through multiple offers
• First access: You see properties before the general public, giving you choice rather than fighting over limited options
• Negotiation leverage: Without competition, professional negotiation is more effective
• Saved marketing costs: Sellers save $15,000-$20,000 in marketing, which can sometimes be reflected in pricing flexibility
• Less emotional pressure: No auction-day emotion or fear of missing out driving irrational decisions

Off-market is about securing the right property before anyone else knows it's available, rather than getting a discount. The value comes from choice, timing, and expert negotiation.

How do you save clients $65,000 on average?

Our average $65,000 savings come from negotiation expertise applied to both off-market and on-market properties:

• Market knowledge: We know what properties are really worth based on comparable sales data
• Professional negotiation: Hundreds of property purchases annually give us negotiation skills most buyers lack
• Emotional distance: We remove emotion from negotiations, preventing overpaying in competitive situations
• Agent relationships: Selling agents respect professional buyers agents and negotiate more transparently
• Due diligence findings: Issues discovered during inspections become negotiation leverage for price reductions

For off-market properties specifically, the lack of competition often gives us greater negotiation flexibility to secure these savings.

Why would sellers accept less for off-market sales?

It's not that sellers accept less. They accept fair market value without the premium that bidding competition creates. Consider:

• Auction premiums: Competitive auctions often drive prices 5-10% above fair market value through emotional bidding
• Off-market fair pricing: Off-market sales typically achieve fair market value without the competition-driven premium
• Seller benefits: They save $15,000-$20,000 marketing costs, avoid 4-6 weeks of open homes, and get certainty of settlement
• Speed vs premium: Many sellers prefer quick, certain sales over potentially higher prices through risky public campaigns

So off-market properties sell at fair value, while public auctions often create artificial premiums through competition.

Can off-market properties sometimes be more expensive?

Yes. In some cases, off-market properties may be priced at or above market value because:

• Seller testing the market: They may be asking premium prices to "test" if someone will pay it before committing to public marketing
• Prestige properties: High-end properties often sell off-market at premium prices to high-net-worth buyers who value privacy
• Unique properties: One-of-a-kind properties with no comparables may be priced optimistically
• No price pressure: Without marketing costs already spent, sellers have less pressure to accept lower offers

This is where our expertise becomes crucial. We evaluate whether off-market properties represent fair value, good value, or are overpriced. We only recommend proceeding when the pricing makes sense for you.

How do you determine if an off-market property is good value?

We conduct comprehensive analysis for every off-market opportunity:

1. Comparable sales analysis: What have similar properties sold for in the same suburb recently?
2. Market conditions assessment: Is the market favouring buyers or sellers currently?
3. Property condition evaluation: What's the true condition versus how it's presented?
4. Due diligence findings: Building, pest, council checks revealing issues that impact value?
5. Future growth potential: Infrastructure projects, zoning changes, suburb trends affecting long-term value?

We provide you with an independent market valuation and clear recommendation: proceed, negotiate harder, or walk away. Our $4,000 booking fee and 2-3% success fee depend on you purchasing the right property, so we're motivated to only recommend good opportunities.

Should I focus on off-market or on-market properties?

The best approach is both. Our service provides access to:

• Off-market opportunities: First access before public competition (60% of our purchases)
• On-market properties: Publicly listed properties where we negotiate on your behalf and represent you at auctions
• Pre-market listings: Properties about to be listed that we can secure before official marketing begins

We don't limit you to one category. We present all suitable properties that meet your criteria, regardless of how they're marketed. Our goal is finding you the right property at the best price, whether that's off-market, on-market, or pre-market.