How to Break into the Luxury Real Estate Market – Tips on Selling Luxury Real Estate

Profile of Luxury Clients

Selling luxury homes is not an easy task and will take time and research. Working with luxury clients can pose some challenges you need to be aware of. They can be more demanding and will expect you to be on top of your game. Chances are luxury buyers and sellers may have some real estate experience themselves. Are your clients moving up or perhaps downsizing?
Make sure you have the proper training to service these clients along with top marketing promotions.

Your Competition

There are some downfalls in working in this high-end niche market. You will have serious competition from others in the field and it will demand a lot of your time. You will need to stand out above the rest and show that you have all the special skills needed to work with your buyers and sellers. What do you have to offer that the others don’t?

Be prepared for a grilling interview and be versed on the types of interview questions that may arise along with a stellar marketing plan ready to share. Being “up to date” on technology will be a huge plus in winning over global clients. Be prepared to let them know your background, negotiation skills and know how to answer the question that will surely arise: “How many luxury properties have you sold and when?”

Challenges

Will your core business suffer by branching out into the luxury market? The sales cycle for luxury homes is longer and will use up much of your time. You will be expected to attend all showings. Your marketing will be diverse and ongoing. Your clients will expect updates and feedback on showings in a timely manner, which can be demanding. Your book of business may suffer because your other clients may feel a bit neglected. Being organized will help. Make sure you have attended the luxury market training courses available so you can speak intelligently.

Do Your Research! Know your Community

Knowing your market and community is of utmost importance. Clients will want to know about golf courses, fine dining, airports, public as well as private schools, shopping, lakes, places of worship, vacation spots, beaches, country clubs and other things to do in the town as well and things to do in the state.
Be aware of new developments in the town and environmental issues if any. Are there any new developments or roads being built?

How to Market Features and Benefits of a Luxury Home or Condo

Your writing about the property should be AMAZING! You must highlight all the luxury features such as pools, stables, security features, professional landscaping and gardens, home theaters, bowling alleys, solar, she-sheds 😉, electronic controls for thermostats and other smart home features.

How to sell Luxury Homes using Social Media Marketing

You need to have connections both local and global and a large sphere of influence on social media for marketing purposes. You should have a large number of connections on LinkedIn, Facebook, Instagram, Twitter, YouTube and other social networks to expose the property globally.

Create a unique, mobile friendly website for the property and share it all over social media. As a realtor specializing in luxury properties you should be a top online marketing specialist with your own website and blog.

Marketing Brochures should be professional and glossy. Put advertisements in magazines as well.

Open Houses and Showings for Luxury Homes

Step one is to visit the properties before showings and be confident that you know the property.

Stumbling around looking for lock boxes doesn’t sit well with buyers. If it is a gated community it can be tricky to find the condo. Visit ahead of time if possible and check out all the facilities and parking. Go to the club house, pool, community gardens, golf courses, and restaurants. Know the HOA fees, restrictions and pending and future assessments.

If you think open houses are a good idea for a luxury property you are sadly mistaken. You are setting up your seller for possible criminal activity. You can’t possibly follow buyers around a large home to make sure nothing is stolen.

Open houses do not sell homes. Unqualified people will be stopping in to check out the décor. Everyone wants to see how the rich live.

Networking is Key When Selling Luxury Properties

Berkshire Hathaway is known for its affluent clients and as their agent, you should always prioritize the clients needs.
Having memberships to yacht clubs, country clubs etc. will help spread the word and sell the home.

How to Hire the Right Real Estate Agent to Sell your Luxury Home

Does your agent have a wide sphere of influence to market your property to? How are the communication skills of your REALTOR®?
Global marketing to affluent buyers takes some skill to be certain that what you will get is maximum internet exposure GLOBALLY.
How well does your agent know the local market and all the things to do in the area that would attract buyers?

As a REALTOR® you must have a strong knowledge of internet marketing that will ensure that the property is exposed to the masses. Very few real estate agents use these tools effectively or have the contacts to make a difference.

There are several critical questions you should be asking when hiring a real estate agent.

Photography

Critical Steps to Prepare for a Real Estate Photoshoot

You must advise your client to prepare the photoshoot ahead of time and make sure the property is at its best to highlight its best features and benefits. Staging is of the utmost importance. Reduce the number of personal items and make sure there is not too much furniture. Walls should be painted neutral colors. Highlight the high end appliances, feature the kitchen and baths, and all the special features.
Do not neglect the landscaping and garage areas. There is nothing worse than seeing a beautiful home with a dirty neglected garage. De-clutter and paint your garage.

Hire a professional photographer with high end equipment such as wide-angle lens, high end flashes, camera filters for color, tripod and drone to produce the best results. The photographer should be versed in software for retouching photos to showcase the home in its best light.

Pricing Luxury Homes Can be a Challenge

As far as pricing a luxury property goes, look at other luxury homes in the same area that have recently sold. Since luxury homes tend to take longer to sell since fewer people can afford them, you may have to look at homes that sold in the last year or more. Don’t make the common mistakes made when pricing a home to sell.
Consider all the special features and compare to homes with similar square footage. Location is always top on your list as well. Don’t sabotage the sale of your home by not staging it properly.

If you price it right from the beginning, you will sell faster. Overpricing the home in hopes that an uneducated buyer comes along to overpay for the property is one the 7 Myths of home pricing.

Experienced REALTORS® know how to appeal to the right demographic, be top notch negotiators and know how to stage a home to sell fast. They know how to create a buzz,  bring in multiple offers and stay on top of all the parties involved to make sure closings happen quickly without any snags.

 

Your Image, Self Confidence, and Trustworthiness

Believing in yourself, having self-confidence and self-discipline are key to your selling success. If you do your homework on the market you will lose any self-doubt and be on your way to becoming  a local expert.

One of the first characteristics that others notice is your physical appearance, so dress the part. Don’t neglect your car and office. They must be clean, organized and uncluttered.

Selling is all about building relationships. Clients crave trusted advisors. Realtors® earn relationships through helping clients think differently, exposing new ideas and finding creative ways of thinking. This can help them through the sales process by coming up with creative solutions to the bumps in the road along the way.

It starts with connection, creating the psychological safety necessary for clients to be able to make decisions.  Real estate agents need to set the proper expectations for our clients which will build trust in them and the real estate industry.

Having integrity not only continues to build trust with our clients it also sets the expectation that we are reliable. This in turn builds confidence in ourselves.

Lastly, real estate sales is about creating win – wins. All sales is about listening to clients needs and motivation. When they feel heard this deepens the relationship and proves that they have a trusted advisor in their agent.

In Closing

The REALTOR® that a buyer or seller chooses to work with should utilize  their sphere of influence and to bring together buyers and sellers of luxury properties. They should be experienced, service-oriented professionals with local expertise who can  deliver top notch results. In short, all clients, no matter how many zero’s are in the sales contract should be treated the same. Real Estate agents should be authentic, ethical and trustworthy. They should work hard for all their clients.

Additional Resources:

Tips on Selling a Luxury Home via Bill Gassett

Expert Tips on Buying a Luxury Home via Paul Sian

Luxury Home Financing via Eric Jeanette

8 Tips that must be Considered when Selling a Luxury Home via Kyle Hiscock

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Real estate, photography and garden information was provided by Eileen Anderson, recognized leader in her field. If you are looking to hire a top realtor or Real Estate Photographer, Eileen can be reached via email at Eileen@eileenandersonrealtor.com or by phone at 860-966-2112.

Eileen is licensed for residential real estate sales in the state of Connecticut including but not limited to the following CT towns: Avon, Bloomfield, Burlington, Barkhamsted, Canton, Colebrook, Granby, East Granby, Hartland, Hartford, Suffield, Windsor, New Hartford, North Granby, Farmington, Litchfield, Simsbury, Suffield and West Hartford, CT.