Archive for the ‘Marketing’ category

Real Estate Leads For Realtors

January 9th, 2012

Because real estate prices have dropped quite a bit, the potential commissions that real estate agents and brokers could earn have also dropped. But the drop in commissions can be more than offset by the amount of properties that can be sold. And getting quality real estate leads is one of the keys to making this a reality for real estate professionals. This is because there are so many more properties on the market now than there were before the bubble burst.

The rise in the number of homeowners who are underwater on their mortgages has increased so much that a very large number of them have decided that they cannot afford to stay in their homes. They would rather sell their home and buy a comparable home for a much lower price, and take the loss so that they can improve their cash flow situation by having a lower mortgage payment each month. And since there is no shortage of properties to buy, these people had no problem finding a suitable home for a good price.

And another result of the rise in available properties is that more and more people are becoming first-time homeowners. Since prices on homes are falling, more and more people are able to afford a home for the same amount they are currently paying in rent. So the logical choice for these people is to buy a house rather than continuing to rent.

These factors all lead to one thing – a higher need for real estate agents to help the buying and selling of all of these properties. Therefore, even though prices have fallen, the quantity of available properties, buyers, and sellers has raised which more than makes up for the lower prices in terms of how much a given real estate agent could make in the current real estate market. And as we all know, the more clients a real estate agent has, the more properties they’ll sell and the more money they’ll make.

The problem comes in when a real estate agent has already gone through their current client list. The best way for them to get more clients is to somehow obtain more real estate leads. Not only do they need more leads, they need high quality leads if they are going to be successful in converting a high number of them into clients who actually follow through on buying and/or selling one or more properties.

So how can you get more real estate leads? There are of course many different ways. These include buying them from an agency that offers them, advertising, subscribing to lead generation websites, developing and keeping current your own real estate website that draws potential

clients to it, and best of all by getting them through your own network. There are undoubtedly other ways of generating real estate leads as well, but these are the most common methods – all of which have proven to work to a certain degree.

One of the easiest ways to get real estate leads is by purchasing them. There are companies whose sole purpose is to find people who want to buy or sell a property. They then sell this information to people who are willing to pay for it. So if you are a real estate agent looking for real estate leads and either don’t have the time to find your own, or simply don’t want to, then this may be a good option for you.

There are two different major ways to do this. You can purchase the real estate leads from a company as a set of data that you will get in the form of a list or spreadsheet. Then you will need to start sifting through them and using the data available to qualify and categorize them yourself. And after that, it’s time to start making calls to find out they are valid leads or not.

The other way of purchasing real estate leads is by subscribing to a real estate lead generator website that will send you much smaller lists of leads on a regular basis. This can be nice because the information is likely to be much more current than buying a single very large list of leads. But this also means that there are fewer to work with so it doesn’t give you as much freedom in terms of choosing who to contact first.

Purchasing real estate leads or subscribing to a lead generation website can also be expensive. This can be a very bad thing since the whole intent of buying leads is to find clients, sell properties, and make commissions, if the leads that you buy don’t turn into commissions. In that case, not only did you not sell any properties (or many properties), but you wasted money on worthless information, and you wasted time contacting worthless leads when you could have been working on finding good real estate leads instead. » Read more: Real Estate Leads For Realtors

$50 Million Worth Of Real Estate Sold In Hours

January 9th, 2012

Selling $50 million worth of real estate — before it’s actually been built — in one day isn’t unusual for some developers. In fact, one Winter Park property recently sold $26 million worth of townhouses in just a few hours.

It might sound too good to be true, but it’s part of a sales process referred to by some as “Reservation Selling” or “Launching Real Estate” that is helping to bring tremendous profits to developers before construction actually begins, and giving consumers added benefits as well. The key to the process is a very targeted marketing plan, coupled with a single day sales event that is the result of months of planning, communication and anticipation, all shared by the developer, his team, and most important – the potential buyer.

The keys to success include:

The “Right” Vision
In order for a development to be ultimately successful, it must be unique. It must have some attribute that sets it apart from the competition. It can be as simple as the location, or involve special amenities or a unique design. If it can be clearly defined what makes the development special, it will stand-out. It also gives potential buyers a clearer understanding of the things that will make the project so desirable. This clarity makes the vision for the project much easier to share and communicate to others, getting potential buyers emotionally involved in something they want to eventually own.

Wish Lists
As potential buyers (“Reservation Holders”) begin to involve themselves in the vision, they can contribute their own ideas and share their desires with the developer. This adds tremendous value, as it provides the developer with important information regarding what his customers want, and also helps to define the overall target market for the property. It’s with this direction that the developer can begin to solidify plans, confident that his blueprints are in-line with what buyers want. In return, potential buyers will appreciate the fact that the developer will address what they want to see in the development.

Informed Pricing
As the vision takes shape, the marketing and sales team is able to analyze the number of reservations to help the developer begin to lock-in pricing with potential buyers. This guarantees a fixed-price, sometimes 18 to 24 months in advance of the development’s completion, providing incentive pricing to early buyers and a better opportunity for the property to appreciate in value. This early pricing also provides buyers with a chance to lock-in and even float down their interest rate.

Reservations
A reservation system is a critical step in this unique sales process, as it provides everyone involved with important guarantees and incentives. For potential buyers, the reservation system gives them the chance to: lock-in their purchase before the general public becomes aware of the project; receive incentive pricing; have time to think about their decision before they sign final contracts and gauge the project’s appreciation before it enters the public market. For developers, the benefits are equally significant: construction financing is easier to obtain based on a lengthy list of qualified potential buyers; the number of qualified potential buyers is more clearly defined; it maximizes pricing based on demand and the reservation system serves as an insurance policy of sorts, helping the developer to realize if they have the right product at the right time.

A Day of Sales
Over the course of several months, the excitement and anticipation among potential buyers builds. This occurs as the developer shares information about how the vision for the development is being realized and what will make the property so special. Everyone becomes part of the story of the development as they watch its vision become reality. Based on this anticipation and excitement, a one day sales event is scheduled for all of the “reservation holders” to finalize their contracts.

During the preceding couple of months, buyers have had the chance to decide on important details, look at designs, learn more about the location and immerse themselves in the features and amenities of their new home. When the sales event takes place, potential buyers are ready to finalize their decision and move quickly to get the home they’ve helped plan in the development they’ve helped to envision. It becomes a natural sales event, and is the reason properties have been known to sell-out in as little as an hour. » Read more: $50 Million Worth Of Real Estate Sold In Hours