Why Does Marketing Matter in a Seller’s Market?
If you plan to sell your home, put that plan into action now. The U.S. has seldom seen such an astonishing seller's market, fueled by a combination of historically low inventory and historically high demand. This perfect storm of circumstances means that one in four homeowners will consider going up to $100,000 over budget just to snag a desirable residence, in many cases without even viewing that residence first.
True, the market is shifting and inventory levels are on the rise along with interest rates, which is calming demand. Buyers have more homes to choose from, and while it is still a seller's market, it's not as common to see things such as bidding wars, appraisal contingency waivers, homes selling for a bazillion dollars over list price, etc.
With all these changes going on, you might ask, "Do I even need an agent to market my home for me?" As it turns out, this market presents its own share of challenges, not just for buyers but also for sellers. Now more than ever, it's important to market your home while hiring an agent such as those on Team Lehman AZ who are experts in marketing. Let's look at the importance of marketing your home in a shifting seller's market, along with some of the smart, effective real estate marketing techniques we can put to work for you.
Key Reasons to Market in a "Hot" Real Estate Market
In any sale situation, marketing exists for one purpose: to generate the interest that leads to that sale. Obviously, the current market has handed many homeowners a generous head start in terms of general interest. If you want to take that initial interest the rest of the way toward a successful close, however, you need to market your home just as thoroughly as you would in a leaner market. Consider the following key reasons why:
1: You Still Face Stiff Competition
Whether a real estate market soars or sinks, you swim in the same pool as the other homeowners looking to make a timely sale at a respectable price. The same shrinking inventory that spurs massive demand and raises asking prices also makes competition among sellers that much tougher. Yes, your home might still sell without aggressive marketing in such an environment, but your neighbor who actually markets his home properly will probably beat you to the punch.
2: Buyers Require More Convincing
While some desperate, financially comfortable buyers will undoubtedly throw money at the problem of grabbing their dream home, the steep prices we are experiencing in Metro Phoenix can also drive away many other buyers. A mere 25% of prospective buyers like the idea of shopping for a home in this market. Younger buyers, in particular, have developed a jaded attitude toward the whole situation, with just 15 percent of the 18-to-34 crowd seeing the market as an attractive one for buyers. If you want to increase your target market for your home at the current going price, you've got some convincing to do.
3: This Seller's Market Won't Last, As We Are Starting to See
As in other areas of the economy, bull markets and bear markets come and go, and the housing market serves as no exception to the rule. Some economists and financial analysts have predicted this cooling-off process that may start bringing asking prices and times back to a more normal level, especially in the face of rising interest rates. However, no one can say exactly how long this market correction will take. As things start slowing down as you gear up to sell your home, strong, proactive marketing could prove the key factor in pushing your sale through during the remaining window of opportunity.
Recommended Marketing Strategies to Optimize Your Home Sale
Now that you see why marketing can play a key role in getting the most out of this seller's market, you may wonder what kinds of marketing techniques will give you the biggest leg up over your fellow home sellers. First and foremost, you want to enlist the services of a skilled, experienced real estate team. Our agency takes a holistic approach to home sales, incorporating a mix of modern technologies and tried-and-true methods. A smart residential real estate marketing campaign may include any or all of the following tools.
Home staging almost always proves crucial to the sale of any home. Before you let any prospective buyers onto your property, place a listing, or even take any photos, you need to fix any unsightly issues indoors and out. We provide professional home staging guidance and services to help you create a clean, neutral, welcoming image that allows buyers to imagine themselves blissfully at home.
Social Media Marketing
Today's world lives online, relying on social media for entertainment, news, advice, and opportunities. If you want to make people aware of your home, you must promote your listing on major social media platforms such as Facebook and Instagram. We typically include social media marketing as a key element in our clients' successful home sales.
Even in this digital age, print marketing has a role to play in helping you sell your home for top dollar. In addition to obvious examples such as "For Sale" yard signs, your agent may need to create and distribute direct mail postcards, flyers (for handing out at open house events), door hangers, and other print pieces to keep you "top of mind" with buyers.