What will you be focusing on in 2015? Here are our top three predictions of what we think real estate professionals will be focusing on in the new year and tips on how to be successful with them.
Millennials are taking over the Baby Boomer population. According to the census bureau, the largest group of Americans is made up of 23 year-olds. This group can make for a challenging sale as they’re looking to live in more expensive and trendier areas, yet have less to spend. According to a study conducted by the American Housing Survey, homes purchased by millennials tend to be older, smaller and less expensive. Half of all homes purchased by millennials average less than 1,650 square feet of living space and cost less than $148,500.
Jonathan Smoke, chief economist at Realtor.com, argues that this generation will “drive two-thirds of household formations over the next five years.”
Tips for working with this generation:
- Meet with them on their terms. Instead of meeting for the first time at a property, make it a more casual experience.
- Ask them to meet at a local coffee shop where you can sit down and get to know their wants, needs and expectations.
- Communicate with them on their terms. If they text you, resist the urge to call back and text instead.
It’s no surprise that more and more home buyers are looking to the internet to begin their home buying process. This past year, 74 percent of buyers said that they used the internet frequently during their search process. While buyers are still relying on their real estate agent for information, they are using the internet as their first step in the process.
Help buyers find YOU online:
- Ensure that your website is mobile friendly.
- Create an online agent profile on a top listing network such as Zillow.
- Post positive customer testimonials on your website.
Source: 2014 Profile of Home Buyers and Sellers from National Association of REALTORS®
According to Freddie Mac, home building is expected to increase by 20 percent from 2014 to 2015. For real estate professionals who don’t currently sell new construction, this could be a valuable opportunity to increase your client base and add some additional income. Learn more about selling new construction for real estate professionals.
Not convinced on selling new construction? Read this article on why using a real estate professional is important in a new construction transaction.
Source: Freddie Mac