Advertising is essential for any property to reach a wide audience of potential buyers. With off-market properties, the approach is different. They are kept out of the spotlight and typically attract serious, pre-qualified buyers.
According to Hamptons’ research, one in three homes that were £1m or above were sold off-market in 2023, which is a record high similar to 2017 levels.
However, it also reveals the possible plummet of the share of properties sold off-market, along with recent findings from Property Investor Today.
This raises an important question—is it safe and profitable to buy off-market properties in 2024?
In this blog, we’ll discuss how you can find off-market properties with ease, their benefits, and the potential risks you might encounter.
Table of Contents
What is Off-Market Property?
An off-market property refers to a property for sale that isn’t publicly listed or advertised through known channels like property websites or estate agencies. Instead, such properties are sold privately through word-of-mouth, networking, or exclusive real estate agents. Off-market properties include:
- Luxury Properties
- High-value homes
- Investment Properties
- Unique estates
- Commercial properties or real-estates
Since off-market properties are private, they have a higher value and appeal to high net-worth buyers or investors. Those who are drawn to these listings enjoy reduced competition and unique investment opportunities.
Off-market sales are common during times of high demand or when sellers prefer to test the market without affecting the property’s value. Such sales are less common in slower markets as sellers choose public listings to reach more buyers.
Here’s where you can get started with property investment:
What does it mean when the property is off the market?
When we say a property is off the market or off-market, it means the property is for sale but isn’t listed through traditional channels, such as online websites or agency listings.
Only a select group of people, such as serious buyers and clients within exclusive real-estate networks will have knowledge of it. This does make off-market properties more difficult to find, as they aren’t visible on known channels.
You may need to rely on connections with specific agents or investment properties, such as Pluxa Properties, to gain access.
How to find off-market properties in the UK?
While off-market listings do provide exclusive opportunities with less competition, this advantage comes with an extra effort to identify and access these opportunities.
We’ve listed down top strategies you can implement right away to find off-market properties in the UK:
1. Direct outreach to potential sellers
You contact homeowners directly to show your interest in purchasing their property in the future, even if it’s not listed for sale. You can use local records or the HM Land Registry to gain contact information.
Write a friendly letter expressing your interest in their property and the benefits of selling off-market.
Avoid approaching owners who just purchased their property or those engaged in selling with another agent.
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2. Network with estate agents
Build relationships with local real estate agents to find your way into off-market listings. Attend local real estate events, visit their offices, and follow up with them regularly. Focus on building trust and rapport rather than pressuring them for your immediate needs.
Keep an eye on Eventbrite for any local networking opportunities in your area.
You can also explore these resources:
- Property Tribes, the most popular forum for private landlords
Membership platforms like Property Sector or NAEA. They offer exclusive content and updates
3. Utilise local knowledge
Your understanding of the local market helps you spot any off-market opportunities. For example, you might identify undervalued or distressed properties that may be sold off-market. Look for signs of neglect or properties that appear vacant, but you must verify information through research.
If you want to master identifying profitable properties and negotiating with off-market sellers, these top-notch property investment books can guide you.
You can also check out Price Paid Data to check property trends in an area:
4. Word of mouth
One way to find properties off-market is to tell people in your network that you are looking for off-market properties, so they can reach out to you.
Share this with friends, family, colleagues, and professional contacts as well. You can consider posting a message on your socials or neighbourhood apps like Nextdoor.
5. Leverage online platforms
While off-market properties are not listed publicly, there are some discreet online platforms to find such properties.
You can get started by searching Facebook Marketplace or Gumtree to look for properties that are being sold directly by owners.
Some online companies or platforms, Like Pluxa Properties, connect you to off-market properties.
6. Target specific seller groups
Research demographics in your target area before creating a plan for sending letters or making calls. This approach will help you find sellers who may be more open to discussions about selling off-market, especially if they see a profitable reason to do so.
Look for these seller groups:
- Retiring landlords
- Owners with financial problems
- Inherited property owners
7. Consider a deal packager
A deal packager means hiring a professional who specialises in finding and negotiating off-market properties deals on your behalf. Ensure these deal packagers have previous experience of successful off-market transactions.
Learn more about how deal packaging works and what to expect when working with these professionals.
8. Create targeted advertising
This is a simple method where you can use advertisements in local newspapers and social media to show that you’re looking to buy off-market properties. Be clear about why you’re searching and the benefits for the seller. This is an incredible way to attract sellers who may not have considered selling their property.
9. Engage with property developers
Property developers are individuals or companies that buy properties and improve them to sell/lease them for profit. They have off-market units available for sale, be it newly constructed properties or units that have been completed but not listed publicly.
You can find property developers by attending property development exhibitions or through local groups or forums.
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10. Consider auction houses
Auction houses have listings that sometimes include off-market properties, particularly those that might need some renovation. This channel gives access to exclusive deals with ease. Also, you can network with auctioneers there who might have knowledge of properties that are not marketed but available for sale.
Ensure to conduct research on properties up for action, as bidding can lead to competitive situations, but it still remains a valuable channel.
Benefits of buying off-market property in the UK
The same report by Hamptons reveals that there’s a growing preference to sell with discretion and privacy, which is resulting in a surge in off-market opportunities. With 51% of homes valued at £2 million and above changing hands-off market, you can consider this method to provide you with impressive investment opportunities as well.
As such, these are the top three benefits of buying off-market properties in the UK:
Access to exclusive listing
Buying off-market properties will provide you with access to listings that are not available to the general public. This means less competition, and you can enjoy more favourable terms without the pressure of multiple bids.
Greater negotiation power
Since off-market sales involve fewer buyers and a more personal transaction scenario, you can negotiate better prices. Sellers may also be more flexible with their terms when dealing with serious buyers who were specifically targeted.
Privacy and discretion
For both buyers and sellers, off-market transactions offer privacy that is valued in the high-end property sector. You can explore properties without drawing attention to your financial situation or investment intentions, while sellers can maintain confidentiality about their selling process.
Better deals
Considering how off-market transactions allow you to negotiate directly, you meet sellers who are motivated to sell quickly or accept lower offers without the competition. This potential for better deals can be very advantageous if you are looking to maximise your returns.
Less market saturation
When you buy a property off-market, you enter a less saturated market. This is beneficial in highly sought-after areas where traditional listings attract more offers, creating a stressful buying environment for you. With off-market options, you can focus on the best choices without heavy competition.
Opportunities for value-add potential
Many off-market properties are in need of renovation, which presents to you an opportunity to invest in upgrades. By purchasing such properties off-market, you can find an advantage where you negotiate a lower price and then add value to the property through renovations and improvements.
This value-added benefit leads to higher returns on investment, especially in neighbourhoods or areas that are undergoing development.
Less pressure and stress
Without multiple offer wars, you can take your time to evaluate your options and make a decision. This reduced pressure offers a more satisfying experience for you, allowing you to completely assess the property’s value without feeling rushed or stressed.
What are the risks of buying off-market properties?
As with any purchase of properties, buying off-market properties also has its own share of risks. Since these properties are not publicly listed, buyers sometimes have limited comparable sales data or insights into market trends.
This transparency can lead to overpaying for a property, especially if the buyer is unaware of any property issues or inflated asking prices based on seller expectations rather than market realities.
Some risks associated with buying off-market properties:
- Limited access to pricing data leads to over-evaluation
- Hidden defects or legal complications may not be disclosed
- The absence of standard protocols, thorough inspections, and assessments may be overlooked
- Lack of public listings leads to uncertainty in market trends, which can affect property values
- Possible zoning or title issues that may not be obvious in off-market sales
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What percentage of properties are sold off-market?
In 2024, TwentyEA research revealed that vendors are now 18.3% less likely to sell their property off-market when compared to last year.
The reduction was in Scotland at 13.5%, Northern Ireland, with a 28% slump. In England, the highest reduction was in the North East, standing at 27.5%. This data shows that sellers may be increasingly opting for more market visibility as the housing market stabilises.
| Region (UK) | Change in percentage |
| Northern Ireland | -28% |
| North East | -27.5% |
| East of England | -22.6% |
| Yorkshire and the Humber | -21.4% |
| East Midlands | -19.3% |
| South East | -18.9% |
| Outer London | -17.4% |
| Wales | -16.3% |
| North West | -16.2% |
| South West | -16.1% |
| Inner London | -15.3% |
| West Midlands | -14.5% |
| Scotland | -13.5% |
| Overall | -18.3% |
While the percentage of properties sold off-market has reduced, the UK’s economic indicators also reflect a downturn. This has resulted in property prices facing pressure.
However, Zoopla predicts a 2.5% rise in UK house prices by the end of 2024, with an overall steady increase.
How Pluxa property helps you find the best property deals in the UK
Finding your way in the real estate field is complex, but Pluxa finds the best real estate deals for you! We connect you with a wide range of properties that are personalised, suiting your needs and financial goals.
Be it off-market property opportunities or leveraging public listings, we streamline your search and provide insights to help you make informed decisions. Our team of dedicated experts are always on hand to assist you every step of the way.
Start your search for the best property deal with us today! Contact us now.
Peter Juhasz is the founder of Pluxa Property, the biggest property investment company in UK and Group CEO of AIP Capital Group and a property investment expert with over a decade of experience in the UK market.
He built a successful property company using innovative cashflow strategies like Serviced Accommodation and HMOs, scaling to 200 units in four years.
Peter leads a team specializing in property and business acquisitions across various sectors. A former co-host of “Cashflow With Property,” he shares his expertise in real estate investing and business scaling.
He is committed to continuous learning and helping SME owners and investors maximize their returns, driven by his passion for empowering others to achieve their financial goals.
To learn how Pluxa Property can help you in UK property investment, contact our experts.
