Tag Archives: realtor

Understanding the Mind of a Luxury Buyer

shutterstock_114018187For generations, we have seen people climb slowly to the top of the success ladder with sweat and tears, sometimes lining their pockets with cash as they go. Today, we see a shift of the high-income earners, who increasingly span a wider range of countries and ages. These individuals are self-starters and want lovely luxury items as the cherry on their success. The Luxury Portfolio, a summation of studies done by Dr. Jim Taylor and Chandler Mount of YouGov, states that affluent buyers have increased their spending from 2013 to 2014 by 12% on their primary residence, meaning this is a growing niche market to learn about. Let’s take a deeper look into the mind of the luxury buyer.

Sought-after home features

According to real estate news site inman.com, the features wanted in a luxury home are often seen as similar, despite the widespread origins of wealthy buyers. Location is important, with buyers seeking out high-end areas with retail and restaurants to match their luxurious style. The details of the home are also important, with buyers searching for things like custom walk-in closets, saunas, infinity pools, home theaters, and updated chef kitchens. These buyers know what they want and they intend to get it in their purchase. The same Luxury Portfolio also states that these buyers cut out the “flowery language” in their search and stay focused on their desired amenities.

A new generation

Interestingly enough, we are now seeing luxury real estate buyers at a younger age. These are the people who grew up with smart technology at their fingertips. They are well versed in the internet and higher end technologies, not only because they can afford it, but also because it’s what they’ve always known. As you find yourself interacting with the luxury buyer, be prepared to use mobile apps, interactive websites, videos, professional photography, and social media as your main tools.

Having the right Realtor is important

These high-end buyers are looking for a real estate agent to accompany them on the journey of their home purchase. Reputation and respect within the community go a long way for the real estate agent wanting to win over the luxury buyer. The Luxury Portfolio goes on to say that 87% of these buyers expect a real estate agent to protect them from risk during their transaction. When asked what makes an agent the most valuable, these affluent buyers had various answers, such as assisting to make the buying process enjoyable, showing interest in understanding the luxurious lifestyle, and being well equipped with knowledge and wise counsel throughout the process.

Understanding this growing group of prosperous buyers is valuable knowledge in today’s market. With some insight into lifestyle, technology, and locations, a rewarding transaction could be well within reach.

 

Sources: inman.com, Luxury Portfolio on media.mcguire.com, myfirstclasslife.com

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‘The single most revealing sales question’

Understand the “why” behind what your buyer wants if you want to go beyond being a real estate order-taker and become a trusted adviser, says Jeff Shore, founder of Shore Consulting, in an article for REALTOR Mag:

“There’s a vitally important question I encourage you to start asking your clients. It will make a tremendous difference in what you learn about them: ‘Tell me one thing you would bring with you from your current home and one thing you’ll be happy to leave behind.’ ”

Read more from Jeff

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A strategy for success

“We like to advertise consistently in the same market. I need to get that repetitive marketing out there, because when you continually advertise, you get better results,” says Bill Roe, owner/broker-associate of Ocean Properties & Management in New Smyrna Beach, Fla.

Bill should know. This very successful business owner has been a Homes & Land client for more than 20 years. Home prices often top $1 million in his coastal town, and he finds many buyers by advertising regularly in the Orlando metropolitan area magazine. Bill also advertises with Homes & Land magazines in New Smyrna and Daytona.

“You’ve got to find a medium that is affordable and effective, and that’s what I’ve found with Homes & Land. I’m in there every issue.”

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120 seconds to a better day

RealEstate Coach’s RealClues newsletter passes on this tip from Tami Bonnell, CEO of EXIT Realty, who has a “120-second rule” for helping herself stay sane and motivated.

Every morning take a minute to ask yourself:

• What will my day look like?
• What positive things will happen?

Every evening, take another minute to ask:

• What went right today?
• What am I proud of?
• What am I grateful for?

To sign up for RealClues, go to www.realestatecoach.com

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The Millennials Are Here, and They Need Realtors

The newly released National Association of Realtors’ "Home Buyer and Seller Generational Trends Report 2015" finds that Millennials, also called Generation Y, made up the largest group of recent homebuyers for the second year in a row. Thirty-two percent of recent buyers were from that crew, born 1980 to 1995 and now age 35 to 20. They made up 68 percent of first-time buyers.

Of all those Millennials, 90 percent bought their home through a real estate professional. HousingWire notes that Millennials "used an agent to purchase their home at a higher share than all other generations."

After Millennials, the NAR report lists the next largest group of recent homebuyers as Younger and Older Boomers, age 51-68; followed by Generation X, 36-50; and then the Silent Generation, 69 and older.

Read more from the NAR report


THE MILLENNIAL MUST-HAVE: What do home-buying Millennials want? A place to wash their clothes. According to a recent survey by the National Association of Home Builders, 55 percent said they wouldn’t buy a new home that didn’t have a separate laundry room. Also on Millennials’ most-wanted list: storage, such as linen closets, walk-in pantries and garage space.

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