How Off-Market Real Estate Sales Work

1. What is Off-Market Real Estate?

Off-market real estate refers to properties sold without being publicly listed on the Multiple Listing Service (MLS). These transactions are conducted privately between buyers and sellers.

2. How Off-Market Real Estate Works

• Seller Contacts or is Contacted by a Buyer Directly – Homeowners may reach out to a buyer or be contacted by a buyer rather than listing the property publicly.

• Property is Evaluated – Buyers assess the home’s condition, market value, and potential for resale or investment.

• Purchase Agreement – Since the process is private, buyers and sellers have more flexibility on price, terms, and closing timeline.

• Closing Through a Title Company – The transaction is handled securely, just like a traditional sale, with all legal processes followed.

3. Benefits of Off-Market Sales vs. On-Market Sales

✅ Faster Sales Process – Since there are no open houses, showings, or waiting for buyers, deals close weeks or months faster than MLS listings.

✅ Less Hassle & Fewer Fees – Sellers can avoid realtor commissions (5-6%), repairs, and staging costs that come with listing on the market.

✅ More Privacy – Off-market sales keep a home’s financial and personal situation discreet, unlike MLS listings that publicly display sale history and price reductions.

✅ Flexible Terms – Investors often buy as-is, pay cash, and offer custom closing dates, which is ideal for sellers who need quick solutions (e.g., foreclosure, inherited property, divorce, or distress situations).

4. How Common is Off-Market Real Estate? (Nationwide & in Texas)

Off-market real estate transactions—sales conducted without public listings on the Multiple Listing Service (MLS)—constitute a significant portion of the U.S. housing market. In 2023, approximately 1.2 million homes were sold off-market nationwide. 

In Texas, off-market transactions are notably prevalent. In 2023, 175,363 homes were sold off-market in the state.  Given that Texas recorded nearly 328,000 total home sales in 2023, off-market deals accounted for over 53% of all residential property sales in the state. 

These figures highlight the substantial role off-market transactions play in both the national and Texas real estate markets, offering sellers benefits such as privacy, reduced inconveniences, and potentially faster sales processes.

Conclusion

Off-market real estate is a well-established, common practice that benefits sellers by offering speed, flexibility, privacy, and cost savings over traditional listings. In Texas and nationwide, thousands of properties are sold off-market annually, making it a valuable option for sellers looking for a quick and hassle-free sale.