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The real estate market is one of the most competitive and challenging industries in the United States. There are a lot of moving pieces when it comes to breaking into this industry, but if you’re determined enough- someone will be willing to give you an opportunity. Here’s what they should know before they make their first move.,
The “real estate news” is a guide to breaking into the luxury real estate market. The guide includes 21 tips from the pros that can help you get started.
According to Payscale.com, the typical real estate agent makes $45,737 per year.
You may earn that in a single transaction in luxury real estate. Who doesn’t desire more commissions, more exposure, and more business opportunities?
Here are 21 recommendations for breaking into the luxury real estate market from top performing Realtors.
1. You must be willing to spend money in order to make money.
Gold Coast Realty’s Ryan Hardy is a Chicago broker.
“You have to spend money to earn money when it comes to marketing.” Selling a $2 million property might get you a $50-$60,000 fee, but you’ll need to pay $10,000 to receive the lead and sell the place. There is no assurance that your marketing spending will provide the desired outcomes. Nothing was risked, and nothing was gained. Nobody else will sell you if you don’t. I invested a lot of time and effort on my own website in order to promote myself as a high-end broker in my hometown of Chicago.”
2. Create a memorable experience
Joyce Rey is a Beverly Hills broker who runs the website JoyceRey.com.
“Each property will have its own marketing strategy,” says Joyce Rey of Coldwell Banker Previews International, “but the experience should be outstanding.” “You need panache so that everything you do makes people feel like everything about the house is extraordinary… it’s like trying to sell a $4,000 suit at Kmart,” Arthur Sharif says. Because people will criticize the presentation as much as the goods, everything must be flawless.” Inviting customers to pre-market showings or adding gifts with each viewing are common examples. But, in the end, you have to do what works for you, according to Jade Mills, a Coldwell Banker Previews International realtor.
3. Join a Brokerage With Experience in Marketing & Selling Luxury Listings
Kristin Harris, LIV Sotheby’s International Realty, Denver
“Associate with a broker or agency that specializes in promoting and selling luxury properties. Attend your listing meeting with the more experienced agent. You may have to share the fee on one or two transactions, but it provides you with the necessary luxury experience to propel your company forward.”
4. Collaborate with other high-end real estate agents.
Sutton West Coast Realty Broker Radner Reyes (BC, Canada)
“Build relationships with other high-end realtors in your area and attempt to co-buy, co-list, or co-promote a high-end home with them before bringing in your own high-end buyer.” High-end sellers would want to know that you can be trusted and that you have expertise in the high-end market, so do this while networking in areas that cater to the sorts of clients you want to attract.”
5. Make sure you have enough money to live on while you’re on the hunt for your first high-end clients.
Sarah Richardson, Phoenix Principal & Broker, Tru Realty
“Make sure you have some cash on hand!” Luxury marketing is costly, and broker open and print ads will quickly add up. If you don’t have the financial means to properly sell a luxury home, I recommend directing the business to someone who does.”
6. Make certain you’re targeting the right farm or demographic.
Kristin Harris, LIV Sotheby’s International Realty, Denver
“Aim for a highly narrow demographic or geographic region. If you want to take a more geographical approach, look for a neighborhood with 500 houses and an average price range of $800,000 to $1,000,000. If you’re going for the demographic approach, join a group of physicians or attorneys, or start bringing other parents to coffee if your kids are in a private school.”
7. Buy Luxury Buyer & Seller Leads From Sites Like Zillow
Brandywine Fine Properties, Delaware/Philadelphia Realtor Michael Kelczewski
“As an agent who has studied how to break into the luxury real estate market in a variety of states, I recommend buying leads.” New agents may get a lot of exposure on sites like Realtor.com and Zillow Trulia. It is, however, up to the agent’s skill to market themselves. Many owners, on the other hand, may be hesitant to entrust the responsibility of trading a high-end property to a beginner. Cracking the premium market involves tremendous effort unless a person has unique marketing skills and/or networked relationships. All potential house buyers have similar psychologies, and the needs are constant, although more so with the upper end of the market. First and foremost, establish rapport, since many agents adopt the role of trusted advisor.”
8. Always dress and act professionally; you never know when you’ll run into a client.
Emile L’Eplattenier, Fit Small Business Real Estate Analyst
Emile worked with a number of high-net-worth customers throughout his time as a real estate agent in New York City. “It’s critical to be ready to meet high-end clientele at any moment,” Emile says. That implies you should dress and behave professionally everywhere and whenever you encounter customers. At the coffee shop, it means no sweatpants! You never know when your next high-end lead may appear.”
9. Research the Top Luxury Agents
Tom Ferry International’s Marianne Curran is a real estate coach.
“Take a look at what these operatives are doing right now. Look at how they advertise themselves and how they display their brand. Examine their websites, business cards, and the way they present themselves at events. Even better if you can shadow them!”
10. Amass a large amount of experience
The Altman Brothers’ Josh Altman is a West LA real estate agent.
The number one barrier for most agents who want to tap into the luxury market is fear. This lack of confidence is often due to inexperience. Josh Altman once sold an 11-bedroom, 16-bathroom mansion in Beverly Park for $16.5 million. His secret? “Experience is my best asset,” he said. Before he joined the prestigious Hilton & Hyland firm, he flipped homes for about 10 years and invested in properties. He credits this experience for helping him transition into luxury real estate.
11. Use Zillow to advertise in Luxury Zip Codes
Zillow Premier Agent is Zillow’s real estate agent advertising platform. It enables you to market your listings and interact with potential buyers and sellers. To discover specifics regarding pricing and competitiveness, you may search across all zip codes. You may then use that information to locate premium zip codes and have your name listed in high-value listings. You’ll have the extra advantage of being the only agent highlighted on your own listings as a Zillow Premier Agent.
12. Become an expert in your local market
Coldwell Banker Homes’ Jill Hertzberg is a Miami broker.
Luxury real estate buyers and sellers, like buyers and sellers in any other real estate market, seek for specialists that are knowledgeable about the local market.
Jill Hertzberg once sold a seven-bedroom, eight-bathroom home for $19.8 million on Miami Beach. What is her recommendation? “You have to know your market inside and out,” she remarked.
13. Don’t Ignore The “Creative Types” When Prospecting For Leads
Emily Beare, CORE, is a real estate agent in New York City.
Emily Beare once sold a $13 million cupola penthouse property in New York City. “The luxury market is evolving,” Emily says. High-end real estate is being snapped up by a growing number of creative people.”
14. Host Open Houses in Your Office for High-End Agents
Massada Home Sales’ Sam Harris is a New York real estate associate.
“Open Houses may be a valuable resource. If you have someone with many listings in your office, persuade them to trust you with a high-end open house that they won’t be able to attend. You are one step through the door once you arrive at the open house and demonstrate the value you can provide to the purchasers. It’s now up to you to shut them.”
15. Use ad agency-quality marketing pieces to stand out.
Raj Qsar, Principal & Owner, The Boutique Real Estate Group
Raj Qsar, the owner of The Boutique Real Estate Group in Southern California, wants all of his marketing materials to seem like they were prepared by an ad agency or a marketing firm. “I wanted all of my marketing items to stand out from everyone else in my market,” he said. The leads began pouring in after his initial mailing. His initial listing was successful, and he was able to sell it for $2 million.
16. When it comes to marketing, pay close attention to the finer points.
Arthur Sharif, Sotheby’s International Realty, San Francisco
“Everything needs to be excellent for a super-prime home, from the photos to the content to the presentation of the house to purchasers.”
17. Utilize Both “Old School” & Online Advertising
The Corcoran Group’s Hamptons Broker, Gary Depersia
On Ferry Road in North Haven, Gary Depersia sold a 55-acre property with a private lagoon for $36 million. What’s his secret? “Advertising’s power was shown to me.” It’s all about connections in the Hamptons – who you know and, more significantly, who knows who you know. “I’m one of the most prolific marketers in the Hamptons. “It [the home] received a lot of attention in the three years I possessed it,” she says of her listings.
18. Get out of the office and set up shop at a local coffee shop as a temporary residence.
Florida Broker James Michaelin
“I overheard a business meeting where someone was beginning a company and they said that they needed to hire a Realtor for a site.” So, because [the] term Realtor was used, I introduced myself, gave each of them my card, and they [wanted] to meet up soon.”
Spend some time getting to know your target clientele by working at local coffee shops in the areas where you wish to work. Make it clear that you’re a premium real estate broker at all times. You never know who is considering selling or purchasing a property.
19. Make connections with private lenders and bankers.
Sotheby’s International Realty’s San Francisco Realtor Justin Fichelson
This tip came from Million Dollar Listing San Francisco’s Justin Fichelson. We believe it’s sound advice, especially with $47 million in listings: “The real estate you’re going to attract will come out of your network,” he adds. There’s always the possibility that lenders will be able to introduce you to luxury house purchasers.
20. Keep in Mind Your Costs for Staging, Marketing & More Will be Higher
First Weber Inc.’s Dylan Diersen is a Wisconsin Realtor.
“To enter the high-end markets, the first step is to make the choice to do so. You must be prepared to spend money. In most areas, a lower or mid-range property may be sold quickly by just pricing it correctly. However, when you go up the scale, you’ll need to stage and be prepared to spend a lot of money on food and marketing. Another thing an agent would spend money on is networking in order to attract these high-end buyers and sellers.”
21. Immerse Yourself in the World of Luxury
Allison Bethell, Writer for Fit Small Business and Real Estate Investor/Luxury Realtor Allison Bethell, Writer for Fit Small Business and Real Estate Investor/Luxury Realtor
“In order to provide the greatest service to luxury real estate customers, you must first learn about their preferences.” To meet potential clients, attend charity events, high-end shopping malls, and happy hours at posh pubs and restaurants. Check to art galleries and designer shops, car exhibitions and equestrian competitions, and even if you can’t afford to purchase anything right now, you’ll have a better understanding of the things on sale, which may lead to interesting ice-breaker conversations.
Put yourself in the mix to set yourself out from the competitors. Speak in the lingo of the affluent. Learn how to say the names of different wines and architectural characteristics. Read about luxury lifestyles, travel, and real estate in blogs and periodicals. Keep up with the latest technological developments and luxury industry figures. Learn a few words in their native language and conduct some study on their culture and customs if your customers speak another language. For customers, these few additional measures matter a lot. If you put in the effort at the outset, customers are more likely to believe that you would put forth the same effort while representing them in a house buy or sale. To summarize: “Know what you’re doing and be enthusiastic about it.”
BONUS: Give all you’ve got to every deal.
Diane Ramirez, Chairman & CEO, Halstead Real Estate
“There is no alternative for old-fashioned hard labor and dedication.” Diane Ramirez, CEO of Halstead Property in the New York City region, remembers a greenhorn agent she had employed. He gave it his all, putting his heart, soul, and whole self into assisting one of his first customers in renting out a little flat. He didn’t become a billionaire as a result of the arrangement. However, the connection survived. When the client’s family eventually wanted to sell a seven-building “complex,” he was the one they chose. The properties they recommended to him ended up selling for more than $200 million. Here’s the takeaway: When you execute your work correctly, word-of-mouth recommendations are plentiful.”
Now it’s your turn.
Have a fantastic piece of luxury real estate marketing advice? Let us know what you think in the comments!
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