The housing market may have its ups and downs, but there’s one segment that always remains strong – luxury housing.
Even homes that are astronomically priced tend to do well, despite boom or bust. In fact, luxury markets across the globe saw a 16 percent sales growth in 2014 and an 8 percent growth in 2015.
But it may be a little challenging at first when learning how to sell a luxury home. However, with the right mix of experience and creativity, you should have no trouble connecting your luxury listings with qualified and interested buyers.
So, here are some great strategies to help you figure out how to sell a luxury home.
Know How to Price Correctly
Luxury homes are not mass-produced by a single developer – they’re most often custom-built and carefully crafted from the ground up.
This makes pricing a luxury home somewhat complicated. It’s hard to compare from one property to the next. And, the more custom amenities included in the home, the harder the comparison to other homes.
You also have to take into account the view, privacy, and history. Luxury homes don’t tend to be locked into a boring suburb alongside dozens of other houses like it – they’re uniquely situated.
So, learn everything you can about the “neighborhood” it’s in. Look at every similar house on the market, and try to find out details about their layout. Do your research to at least have an understanding of comparable square footage and amenities from the beginning of the pricing process.
Then, master your wording. When explaining the price to buyers, don’t call other homes “comparable.” Call them relevant properties. Such a minor shift in tone can mean the world to affluent buyers who are paying close attention to the way these properties are marketed.
Consider Your Marketing Strategy
While the price says a lot to potential buyers, so will other aspects of your marketing.
Print advertising and direct mailing need to be a part of any seller’s system when figuring out how to sell a luxury home. But the Internet has significantly changed the way buyers find properties.
If you’re an established seller, you must have your own website or blog that can be accessed via mobile devices. If you don’t think a mobile-optimized site is important, consider that one report showed that 60 percent of consumers use mobile exclusively to make their purchase decisions.
But don’t stop there. You should also have a solid social media presence across the platforms that reach your audience the most effectively. If you don’t, you’re missing out on all the potential exposure you could be getting through Facebook, Twitter, Instagram, and Pinterest.
To sum up:
When selling a luxury home, you need a comprehensive marketing strategy. You can’t just list the property and cross your fingers.
Go for Quality in Advertising
The quality of your advertising is crucial to successfully marketing and selling a luxury property.
All of your advertisements should be well written. They need to convey not only the facts of the luxury home, but also describe everything important about the property. All the features that make the home luxurious – including every amenity and unique aspect of the home – must be mentioned.
You also need professional photography to present an accurate depiction of what the home looks like, accentuating all the positive aspects of the property. Try to use only the photographs that show the luxury home as a work of art itself.
With luxury properties, you aren’t only attracting nearby buyers. Such housing attracts buyers from all over the country – and sometimes the world.
So, first advertise the luxury home on your local MLS, Trulia, Zillow, and any other real estate magazine or online publication that focuses on luxury homes. Then advertise in international publications and websites where wealthy buyers all over the world will find your listing.
Plan to Sell at the Right Time
When you’re selling a non-luxury home, it might be okay to sell at any time of the year. But with a luxury home, it’s a little different.
Think about it. If you’re trying to convince your wealthy potential buyers of the immense value of a waterfront property, you wouldn’t want to showcase that value in the middle of the freezing winter!
You’d want to wait until it was sunny and warm, right?
But that might not always apply, either. Each luxury property has its own perfect timing window. For instance, a waterfront property along the Gulf of Mexico probably shouldn’t be sold during hurricane season!
Correctly Present the Lifestyle
Aside from amenities, luxury homes are often considered luxurious because of where they are located and the lifestyle options they offer.
So, if the luxury home you’re selling is part of a development attached to a golf course, it’s important that this is mentioned in the listing information. If it’s beachfront property, that should be one of the first things mentioned in any advertising.
Buyers will also want to know the sort of people living in the general vicinity of the luxury home. Any seller should find out who else lives in the area and be confident in their ability to share this information with anyone interested in the property.
Staging is Everything
While you may know how important it is to keep the luxury home you’re selling shiny clean and smelling great, you may be overlooking the value of staging.
The National Association of Realtors say that staging makes an impact in a number of ways:
• Staging helps buyers visualize the property as a future home.
• Staging makes buyers more willing to walk through a home they saw online.
• A home decorated to a buyer’s tastes positively impacts its value.
• Staging may increase the value of a staged home.
While a non-luxury buyer may be interested in the idea alone of having a new house, a wealthy buyer will probably find picturing themselves living in the house much more important. So, invest in staging to carefully demonstrate the value of your luxury home.
Patience is important when it comes to selling a luxury home. The fact is that it’ll probably take longer to sell a luxury home than it will to sell an ordinary property.
One big reason is a simple one: the number of possible buyers for luxury homes is smaller than that of non-luxury homes. While there may be plenty of buyers ready to spend around $150,000 for a home, there are far fewer ready to spend $1.5 million.
But if you know the home you’re selling is worth the price point, just wait – the buyers will come soon enough.
Think You Know How to Sell a Luxury Home?
Figuring out how to sell a luxury home is definitely a bit more nuanced than it is for ordinary properties. But if you follow these strategies, you should have little trouble making the sale.
And if you have any questions about buying or selling a luxury property, or anything else related to real estate in the Austin, Killeen, or Ft. Hood region, contact me today!