When most people think of investing in real estate, they imagine browsing through listings on popular real estate websites and contacting an agent to schedule a viewing. However, this is only one way to invest in property. Another avenue that is often overlooked is off-market property investment deals.
What are off-market property investment deals?
Off-market property investment deals refer to transactions that occur outside the traditional market. This means that the property is not listed publicly and is not being actively marketed by a real estate agent. Instead, the seller may be looking for a more discreet way to sell their property, or they may be interested in selling to a particular buyer without going through the traditional channels.
Why invest in off-market properties?
One of the main benefits of off-market property investment deals is the potential to find a great deal. Since the property is not being actively marketed, there is often less competition among buyers. Additionally, because the seller may be looking for a quick and easy transaction, they may be willing to negotiate on the price.
Another benefit is the opportunity to find unique properties that are not available on the traditional market. Some sellers may be hesitant to list their property publicly due to its unique features or because they do not want to attract too much attention. By seeking out off-market deals, investors can gain access to a wider range of properties and potentially find a hidden gem.
How to find off-market properties?
Finding off-market properties requires a bit of effort and networking. Here are some strategies that investors can use to locate off-market investment opportunities:
Contact property sourcing agents
A property sourcing agent is a professional who helps individuals or businesses find suitable properties to buy or rent. They specialize in identifying and sourcing properties that meet the specific needs and requirements of their clients.
Property sourcing agents typically have an in-depth knowledge of the property market and are skilled in negotiating deals on behalf of their clients. They work closely with real estate agents, property developers, and other industry professionals to identify potential properties that match their clients’ needs.
Property sourcing agents can provide a range of services, including:
- Property search: They conduct a thorough search for suitable properties based on the client’s specific requirements.
- Property inspection: They visit potential properties to assess their condition and suitability for the client’s needs.
- Negotiation: They negotiate the best possible deal for the client, including price, terms, and conditions.
- Due diligence: They conduct thorough due diligence on the property, including legal checks and surveys, to ensure that there are no hidden issues.
- Purchase management: They manage the purchase process, including liaising with solicitors and other professionals, to ensure a smooth transaction.
Contact real estate agents
While off-market properties are not typically listed on public websites, some real estate agents may have knowledge of properties that are available for sale but not being marketed publicly. In the UK, you can easily find a the list of local real estate agents online or by visiting popular property portals – RightMove, Zoopla or OnTheMarket.
Attend local real estate events
Attending local real estate events, such as networking events or seminars, can be a great way to connect with other investors and real estate professionals who may have knowledge of off-market properties. You will be able to find your local property networking events by visiting the popular event distribution website EventBrite.
Reach out to property owners directly
If there is a specific property that an investor is interested in, they can try reaching out to the owner directly to see if they are interested in selling. This sounds tricky and you may feel hesitant approaching someone on the cold, but this often gives tremendous result.
Use online resources
There are a variety of online resources that investors can use to find off-market properties, such as social media groups, online forums, and real estate websites that specialize in off-market deals.
Investing in off-market properties can be a great way to find unique investment opportunities and potentially get a great deal. While it may require a bit more effort to locate these properties, the potential benefits make it worth exploring for any savvy investor. By using the strategies outlined above and building a strong network of real estate professionals, investors can gain access to a wider range of properties and potentially find their next great investment opportunity.