All agents strive to reach high levels of production, so we’ve put together four tips for making your way in luxury real estate.
1. Capitalize on a Unique Skill Set – Many luxury agents did not start their professional careers in real estate. Some worked in investment banking; others were appraisers; and some worked in the corporate business world. But regardless of one’s background, there is one constant – they all bring something unique to their business. So even if you did not work in corporate America for 10 years, you should still consider what distinguished skill set you can bring to your luxury business and advertise to differentiate yourself. Failing to advertise your unique skill sets means you’ll get lost in the crowd of agents and lose potential clients who might look elsewhere for their home-buying and selling needs.
2. Complement the Lifestyle – Sure, luxury homebuyers want premium finishes and top-notch appliances, but more importantly, they want a home that complements their lifestyle. For instance, if your buyer is a fitness freak, look into luxury new construction developments in your area with state-of-the-art fitness centers and amenities like yoga rooms and juice bars. Perhaps the buyer is a gourmand, and loves sampling different cuisines? Target homes with top-notch custom kitchens or areas known for their culinary offerings. You’ll need to understand your clients’ lifestyle standards as well as you know your local market to find the perfect home for them, so make sure your market research is up to date and you know what to ask in your initial meetings with prospective clients.
3. Know the Financing Pitfalls – Most lenders set $3 million as their maximum loan amount, and jumbo loans require multiple appraisals. As a luxury agent, you’ll need to be well-versed in the particulars of financing high-end home purchases, especially for international clients who may not have the same access to conventional financing as American consumers. Clients turn to you as the expert – don’t fall short of their expectations or guide them in the wrong direction because your knowledge of the financing process is incomplete.
4. Market Outside the Box – Remember what we said earlier about a luxury home complementing the lifestyle of the client? That is similarly true for the buying and selling process. Your typical listing photos and open houses won’t cut it with luxury properties. If you want to impress your clients and draw in potential buyer, you’ll need to use marketing materials that are similarly consistent with the luxury brand and lifestyle. Whether it be high-quality glossy pamphlets, drone video or an elegant, professionally designed website featuring high-definition photography, you should be prepared to think big, invest and meet high standards with your marketing efforts.