In typical Real Estate marketing, an agent directs efforts towards selling either a product or his/her services. In turn, that is how most professionals gear blogging habits. We post our listings and promote ourselves as buyer and/or seller representatives. One avenue that is lightly explored, however, is the direct marketing of our buyers to sellers.
Given the sheer immensity of active inventory in many markets throughout the country, the art of mating buyer with property is not always as refined as it could be. For example, we have about 50,000 listings currently on the market in the metro Phoenix area. With that raw volume of choice, it is almost incomprehensible that the right property will not be among that throng. As such, common practice would dictate an agent send the prospect the best 10-20 options, show the prospect their favorite 8-12, select the prospect's top three choices, make an offer on the favorite, move down the line if acceptable terms are not met until you strike a deal. Easy.
While great in theory, I find this method works far better for the investor than the user. There are bargains to be had all over the market, but value is only one part of the puzzle for the person who will use the home as a primary residence. Especially true of someone who does not want to do much, if any, fix up, an agent is often left with far fewer viable options than would ever be conceivably possible in such a strong buyer's market. There's just a lot of junk to sift through, quite frankly.
I have several clients who have been looking off and on for that perfect house for well over a year. These aren't folks who demand to see property every week, but ones who will act if and when the perfect confluence of wants/needs appears. There is absolutely no pressure to buy, and they will essentially move when they are forced to by the manifestation of the perfect home.
For such buyers, trawling the MLS for new listings is the first, and unfortunately, only step that many agents will take. The search will become staler and staler until it vanishes into cyberspace altogether, lost in the apathetic binary code of a decreasingly motivated agent.
There is a more proactive route that an agent can take for such hard-to-place buyers. As enterprising agents have mailed or door-knocked communities in years past to drum up candidates for the discriminating buyer, we can use our blogs to canvas the internet. With our postings reaching into inboxes all across the communities we serve, relying solely on the MLS for inventory is antiquated.
Think about it. What is the first thing a homeowner will do when mulling the notion of putting his home on the market? While we agents would prefer they fetch our calendar or business card and call us immediately, the truth of the matter is that they will sit down at the computer to do a little amateur detective work. In doing such research, they will plug in certain defining aspects of their homes.
If I have already posted a buyer need for a client that wants a 4000 square foot home on an acre in the Chaparral School District in Scottsdale, Arizona for up to $1.2 million, a potential seller of such a property very well might find me before I find him.
Google is a beautiful thing.
So while we continue to place our listings all over the internet for buyers to find, we shouldn't lose sight of the power of the internet for drawing out the owners of unique properties as well. I would certainly expect a receptive response from the homeowner who is not too keen on a lengthy and uncertain stint on the open market. A one-shot showing to a qualified buyer would have to sound quite appealing to a seller right about now. No accumulation of days on the market, no long-term commitment ... it could be just the tonic for the thirsty would-be seller who has been leery of putting a home on the market in the current environment.
Buyer Touts: They're not just for office meetings anymore!
So about that 4000+ sq ft home on an acre in Scottsdale or Paradise Valley for up to $1.2 million ... my clients prefer newer construction.
I'll be awaiting your call.
Your source for Scottsdale Real Estate since the dawn of time ... or thereabouts.
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Paul, I send out 'I have a buyer for your neighborhood' postcards. A few times a buyer has bought one of those homes and a few times I have gotten listings from the owners whose homes the buyers did not buy. Its good to think outside the box and not just rely on MLS.
Great blog. We love google analytics.-Dinah
Paul, Your insight on this is Superb! This post is one of your best insightfully speaking. I would just this the star it deserves but I am not in the position to grant that.
Perhaps will be manifested out this is a new software that would accommodate reverse prospecting with consumers. We market the Buyer and the consumers bring us their home.
Certainly makes a lot more sens than the helter skelter way we work in this industry today. Know any software designers that wants to help create the software and then add the sites to the respective market places?
Well done and very insightful!
Hey Paul, Using a blog or social media to tout a buyer is a great idea. For buyers searching our the perfect home with no "need" to move until they find it, this is a fresh approach!
Thanks for the idea! I'm all over it.
Reverse thinking, what a great idea! I'm going to try it out, thank you.
Paul this is a great idea. Wish I could say that I thought of it myself, but it never occured to me to do this. Great idea! I think I feel a buyer needs blog coming on...
EXCELLENT!!!!! As usual you are thinking outside the box Paul and this is something I personally never considered. Thanks.
It's like placing a "wanted" ad in the newpaper. Nice way to hook up with sellers and buyers both. ~ Evelyn
I think that is a spectaculr idea and yes, we have done it for years at the office and on property tours so why not in the realm of internet marketing. I was amused by your buyers that "will essentially move when they are forced to by the manifestation of the perfect home."
Abracadabra my friend!
Great food for thought. Now all I need is a buyer!
Great food for thought. Now all I need is a buyer!
I really like this idea; we've always networked in this way with other agents but your idea takes it a step further...reverse marketing that is google-tastic!
Paul I've been doing this by farming neighborhoods for buyers and also with other agents. I feel like I'm having a "doh" moment after reading this post. It makes perfect sense. Good luck with your buyer!
Paul - You made some good points,
Lisa - LOVE the Buyers Post Cards idea
Paul, this is an amazing idea.... I wish I thought of it!
I write out what a buyer wants and go to the neighborhoods they choose and pass over a 1000 flyers and see if they would like to sell to my buyer. I have had such good luck with this about ten deals a year.
Excellent post Paul, thanks very much. You makes some excellent points!
Terrific and I have done this before with mailings but duh forgot about utilizing my technology resources ... thanks for the reminder :-)
What a great idea! Especially when you have a buyer who has a special need that can't be found by a simple search of the MLS. I'll be posting a blog tomorrow with a buyer need.
Thanks
Paul, I have a letter that I mail out to certain neighborhoods for this specific type of business. I tell them that I am not looking for a listing- you know the fake letter? Mine is for real and I did this earlier this year and had a good response from it. However, never thought of using in online - what a great idea?
Paul, What a great idea! Now why didn't I think of that? I have sent postcards and flyer's before when searching for a buyer and have actually sold a couple of homes from doing so. I haven't done that for quite some time. I should do it more often! Your idea is brilliant. Let us know if you get any response. That would be SWEET!
Paul~ Just like the others, I love the idea too! I guess I will have to get started...........
Great idea Paul. It is much like reverse prospecting on our MLS that agents never use.
Paul,
I too love the idea. Where did you implement it?
It is a great tool for us to use Paul. Good post.
Thanks for sharing your thoughts Paul. My wife and I look for sellers before they become sellers in regards to investment properties. In fact, we are starting a property management company to garner the sellers before they become sellers (of their investment property. :o)
•:*¨¨*:• Joe & Colleen Lane •:*¨¨*:•
Our ActiveRain Blog
Paul good idea to go hunt for the prefect place rather than waiting for it to fall into your lap!
Great Post, We have passed out flyers in th past not only for buyers but for sellers. We announce open houses this way, solds and newsletters.
Thanks Paul. Another great new idea which I will try.
To All - Thank you for the positive response, and I hope that it proves successful to those who wish to give it a shot. Still waiting for the phone to ring with the guy who has an acre in the Chaparral School District on the other end, but today is the day. I can feel it ;)
Hi Paul,
This is a really good idea! I just recently had this conversation with a Broker who informed me that this is how they did it before mls was around. P.S. I have a really good feeling you will get that call! :)
Interesting post here, Paul. This thought has never occurred to me, as you point out. Something worth trying no doubt.
Very interesting idea, Paul, as usual. I shall keep this in mind for future needs!