Marketing products are probably the most important stage in making a sale. Nowadays, business people from all industries understand the value of marketing and spend a lot of money on it.
As for real estate, marketing has been there from day one. Agents and brokers work on marketing listings and openings as their core tasks.
There are different things we should consider when marketing a property, but when it comes to marketing luxury real estate, it gets a bit more complicated.
To break things down, let’s first focus on what makes a real estate a luxury one:
What is Luxury Real Estate:
The definition of a luxury property will depend on the area you are working in. In some parts of the country, any property higher than $1 million may be called extravagant while in some areas in LA, a single-family residential may cost twice that.
So maybe we cannot judge a property by its price, but we can definitely do it based on what it looks like. This is why we let the images do the talking. Here is an example of what we can refer to as a luxury house:
Why Are They Important
As an agent, the most defining success element is GCI. In other words, the average commission an agent makes and has to file in the tax records per annum.
Now despite the fact that luxury estate is not as common as residential and other property types, the amount of commission for the agents involved is a lot higher. So some realtors believe that a few luxury deals are worth hours working on hundreds of lower value properties.
Marketing Luxury Real Estate: Things You Need to Know
To market this type of real estate, you should consider the following steps:
- Research agents who already work with high-end clients. These agents can give you a good image of where to focus on and what approach you need to take towards luxury estate clients.
- Learn about the community. Find out what makes a property a high-end one in your coverage area. Find out about where you can find high-end clients and build a strong network.
- Suit up! You should be seen and respected. Like it or not, high-end clients often have etiquette and stereotypes. Always dress appropriately and try to merge. Invest in high-quality ads and business cards, too.
- Building a network of professional referrals. You don’t need to build a strong connection with clients themselves all the time. Most luxurious clients trust their attorneys and CPAs, so you should network with them.
- Keep improving. High-end deals work with a lot of money and there is a lot of risk to it. The faster you can deliver, the higher you can be trusted. Make sure you are resourceful enough when it comes to selling or buying.
- Be confident. High-end clients look for someone who is confident in their business and promises to deliver at the highest quality possible. If you do jobs well, you can count on more referrals and higher CGI.
If you have decided to focus on luxury real estate, there is no need to worry about the frequency of deals and the number of clients. It’s going to be worth it down the road when it comes to commissions.
What you should focus on is that dealing with this unique market requires marketing strategies and professional mannerisms.
Dress appropriately and make sure you present yourself suited for the environment of the high-end social class. That being said, don’t miss out on luxury looking business cards and other marketing strategies.
One way you can improve your business towards high-end customers is spicing things up around the office. For more on this, please read the following article: