Exorbitant interest rates and a still very tight inventory of homes for sale have locked a huge swath of starter home buyers out of the market.
So, it probably came as no surprise to you when the media noticed that the luxury home market was rolling along just fine.
It makes sense when you think about it. There is a whole pool of buyers out there who can pay cash for a home and, thus, refuse to play the mortgage game.
Luxury homes in Silicon Valley, Seattle, and Nashville, TN, for instance, are on a tear. In fact, they’re the top three fastest-moving markets in the country.
No, we haven’t forgotten that all real estate is local. Naturally, this run on luxury homes by those flush with cash isn’t a nationwide trend.
“In the Stamford, Connecticut, metro area, for example, homes in the tiny towns of Greenwich and Darien, as well as Torrington, lingered on the market for 114 days before they were sold,” according to Abby Montanez with the Robb Report.
Bone up on your local luxury market
Luxury homes are a bit more challenging to price, in case this is your first foray into the lux market. Unlike tract homes, no two are identical.
It also takes more money to market a luxury home than a starter or mid-range home. Marketing materials need to be sophisticated and stylish. Photos should be shot by a luxury real estate professional.
You need to enter the niche with solid knowledge of how to price luxury property, insight as to how to market unique properties, and a robust marketing budget.
That said, if you lack any of the three, consider becoming a luxury buyers’ agent.
Get to know the local high-end inventory and, if possible, tour as many as possible. Determine the lifestyle each home represents and how you would relay that to potential buyers.
This is a nutty real estate market that demands creative thinking on the part of agents. But getting experience in the luxury home niche may just turn out to be the best thing you can do right now for your real estate business.
PLUS: When you have time…below are some marketing tools to help support your success.
1. Put Your Real Estate Business a Step Above with Your Own Branded Magazine
Homes & Life Magazine is a customizable magazine with rich, full-color content and a sharp, professional aesthetic. It includes compelling, direct, response-driven articles written by real estate industry experts and engaging lifestyle content. Send out Homes & Life Magazine in Just Minutes – No Minimums Required. Or we’ll ship it to you. Homes & Life Magazine is the ultimate “Coffee Table Lingerer”! …and it costs less than sending a greeting card! – Click Here
2. The Free 6-Month Done-For-You Strategic Marketing Plan
The Real Estate Marketing Planner is a powerful 6-Month Guide that strategically defines what marketing to do and when. Four key market segments include niche Markets, geographic farming, sphere of influence, and past clients. – Click Here
3. The Free Interactive 6-Month Real Estate Business Review
The Free Interactive 6-Month Real Estate Business Review allows you to enter your business goals for the remainder of the year and get a breakdown of how many prospects, listings, closings, and so on are needed to reach your goals. – Click Here
4. The Become a Listing Legend Free eBook
Ready to take a vertical leap in your real estate career? If you’re looking for inspiration…and the tools and methods to dominate a market and go to the top in real estate…you’ll find them in this free book. – Click Here