Imagine this: someone knocks on your door and offers to buy your home. The next day, they return with a written offer in hand. Should you accept it, or would you be better off listing your property with a real estate agent? This is a common scenario that many homeowners face, and in this post, we’ll break down when it makes sense to take an off-market offer versus when you should put your home on the open market.
Before making any decisions, you need to evaluate the current real estate market. Ask yourself:
If the market favors sellers, accepting an off-market offer might mean leaving money on the table. On the other hand, in a market saturated with listings, a direct offer could be worth considering—but not without exploring all options first.
If an investor is offering to buy your home off-market, ask yourself: Why?
Investors look for properties where they can maximize profit, meaning they typically buy at a discount—often around 65% of the after-repair value (ARV). This means they are not paying top dollar for your home, but rather seeking a deal that allows them to flip or rent it out profitably.
However, a traditional buyer purchasing a home to live in does not have the same profit-driven motives. They are often willing to pay closer to fair market value, meaning you could make significantly more money by selling to a primary homebuyer instead of an investor.
There are some advantages to accepting a direct offer from an investor, including:
While the simplicity of selling to an investor is appealing, there are significant downsides:
Exposure is everything in real estate. When you list your home on the MLS and market it properly, it reaches a much larger pool of buyers—including both traditional buyers and investors. More competition leads to higher offers, often resulting in a better overall deal even after accounting for agent commissions and closing costs.
Additionally, a real estate agent can help:
For a detailed breakdown of when to accept an investor’s offer versus listing on the market, watch the full video below:
Deciding whether to accept an off-market offer or list your home is a major financial decision. If you’re in urgent need of cash or your home is in severe disrepair, an investor might be a viable option. However, in most cases, putting your home on the market leads to more competition and a higher sale price.
If you're in Orange County and need expert advice on selling your home, I’d love to help. And if you’re located elsewhere, I can connect you with a trusted real estate professional in your area.
Still in the early stages of selling and wondering how to maximize your home’s value? Check out this video for more tips.
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