Are you in the market for a new house? Are you tired of seeing duplicate listings show up on online markets time and time again? It may be time to consider what’s known as a pocket listing. Pocket listings are gaining popularity as more home buyers look for alternatives when finding their dream home. But what exactly are they, how can they help you find the right place to buy, and most importantly – why should you care about them? This article will dive into these questions and explain all you need to know about pocket listings when purchasing your next property.
In general, pocket listings are homes for sale that change hands quickly and quietly without public advertising.
In the past, “pocket listings” were usually the avenue for the famous and wealthy who wanted their privacy and would work with an agent who could find a buyer among word-of-mouth networks of agents representing high-end buyers. Often this happened only in urban areas or in the luxury segment. Still, pocket listings are becoming more mainstream in markets where inventory is tight and bidding wars are not uncommon.
During the technology age of marketing homes via the web and social media, why not advertise a home in a market where multiple offers are the norm? It can depend. In some cases, the seller may want a quick and painless sale and would prefer to avoid going through the traditional cleaning, curb appeal sprucing, and open houses. When the seller’s agent knows the buyers directly, a simple walk-through with prospective buyers is often enough to secure one acceptable offer.
Sellers should understand that it’s possible for a pocket listing to generate a slightly lower price. While it’s not always the case, the trade-off for a quick, quiet sale may be worth it. If you’re considering a pocket listing, you will likely be required to sign something which indicates your consent to avoid a wide-scale advertising effort. An agent is responsible for trying to secure a seller the best possible price and will want to ensure there’s a clear understanding.
Pros and Cons of a Pocket Listing
There are many items to consider when selling a home, especially if you will do a Pocket Listing. Below is a recap of the pros and cons of a pocket listing from an article by Moving.com.
- Pros for the seller are that they maintain their privacy and that a pocket listing can prevent the unfortunate experience of having a home’shome’s value decrease because it remained on the market too long.
- Pros for the buyer are that the competition won’t be as fierce, the buying process will be more flexible, and they may be able to purchase the home below market value.
- Cons for the sellers are that fewer buyers will be solicited, and it may take longer for the house to sell.
- Cons for the buyers are that there will be less wiggle room on the price, and there will be a lack of information and photos on the home.
On the whole, casting the widest possible net for a buyer is the best strategy for securing the highest closing price. Still, if you’re more comfortable with a quick and quiet approach, you should talk to an agent about the prospect of a pocket listing.
Selling is a tough decision, with numerous factors to consider. Give me a call, and I can answer your questions and put your mind at ease.