With the Fed increasing interest rates for the fifth time this year, the residential real estate market is starting to look different. It is increasingly challenging for home shoppers to obtain mortgages, which are harder to come by now than they’ve been in years. As fewer lenders approve mortgages, it’s important to remember that house prices are not falling. On the contrary, home values continue to increase, despite fewer home buyers in the market and more inventory and competition amongst sellers.
Success is still highly attainable, even as the rules of profitability change with the market conditions. How can real estate agents stay prepared and safeguard success amid economic turbulence? Learn these ‘new rules of profitability’ to stay ahead of real estate success in the coming year.
1. Recognize the importance of pre-listing home improvements and repairs
With fewer buyers flooding the markets and an accumulation of inventory, pre-listing improvements and repairs are an essential part of the home sale process for each new client with aspirations to sell within a short timeframe for a decent profit.
Now is the time to anticipate your clients’ needs and meet them with services that alleviate their pain points. What comes up for your clients when you recommend pre-listing upgrades and repairs? Are they concerned about the money or time needed? Do they feel overwhelmed by taking and prioritizing those first steps? Address and alleviate home sellers’ biggest anxieties and pain points with Curbio’s award-winning services to secure financing of strategic pre-listing home improvements before renovations begin!
2. Marketability isn’t optional anymore
Digital curb appeal is the term used for listings that generate a positive response from home buyers. Investing in the marketability of the homes you’re selling is more important than ever.
Enhance your listings’ digital curb appeal with proper staging, professional real estate photography, a 3D digital tour of your property, and an accurate description of recently accomplished pre-listing home improvements. If your listings aren’t purposefully generating buzz, they simply aren’t getting the exposure needed to sell quickly at a significant profit
Don’t just market your individual listings. Market your brand and services through your broker and individually. Capture testimonials from happy clients (they can submit one in writing, or you can record an audio testimonial). Ask those satisfied clients for referrals, and network frequently with colleagues, homeowners, and past and potential new clients.
3. Time it right
Get to know the pacing of your local market, including the permitting offices. When you allow adequate time – sometimes weeks or months – for permits, you can keep promises regarding your sales timelines. It can be a long wait, and the costs of renovating can pile up quickly (in interest, taxes, and other fees), so know what you’re getting into ahead of time.
With key home improvements and marketing, listings can retain their values and sell within a reasonable time, even in more competitive market conditions.
Olivia Mariani VP of Marketing at Curbio, a prop-tech company that partners with real estate agents to update homes before listing. Throughout her career, Olivia has established herself as a successful brand marketer focused on demand generation and sales growth.