When you’re trying to sell a unique or luxury item, mass marketing isn’t the way to go.
Think about an item of fine art being auctioned at Christie’s. The exclusive environment of Christie’s naturally gives a painting a sense of prestige and exclusivity, while attracting a niche kind of customer with the intent to buy.
Now if that same painting were auctioned on eBay, things would be very different. The number of potential buyers would be far higher, but the perceived value of the painting much lower.
That’s the nature of mass marketing. When a valuable product is viewed as mainstream, it inherently feels less special by being available to anyone and everyone.
The same holds true for property sales.
When a unique and luxurious house is listed on the open market, its sense of exclusivity is instantly diminished, and the price it fetches may be considerably lower than if it’d been marketed off-MLS.
While pocket listings clearly don’t serve the best interests of sellers, doing a pre-MLS or off-MLS listing can be an effective way to sell your home, and it’s often the best solution for many sellers.
It offers the opportunity for greater privacy, reduces the hassle of dealing with less serious buyers, and provides a solution to marketing a house that might require refurbishment.
For those wanting to generate marketing buzz or test a price before going on the open market, a pre-MLS listing should definitely be considered.
In the end, both options come with the distinct advantage of promoting your property to the top 10% of agents in the area, which means deals can often be closed more quickly and effectively.