A recent survey of 50 real estate investors published by OfferMarket found that off-market transactions are more common that one might expect.
20 respondents, 40%, confirmed their most recent deal was sourced off-market than on the MLS. The real estate marketplace provided the following reasoning for the higher than expected percentage of off-market transactions:
- real estate investors are more likely to purchase fixer uppers and take on complete gut renovation projects which are more commonly found off-market.
- the surge in retail home buying brought on by record low housing inventory and mortgage rates has forced real estate investors and savvy home buyers to look off-market where competition is lower and prices are more attractive.
- increasingly, sellers want to avoid the hassle, expensive fees, and health concerns of listing on the MLS.
While the number of real estate investors surveyed is low, it would be interesting to survey a larger group of investors and glean additional insights from the survey respondents.
What are your thoughts?
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