Using Data to Produce Better Results in Luxury Real Estate
Real estate has been — and will always be — an industry that requires a personal touch. This human interaction will persistently be a critical component in the success of a sale. But as technology advances, we’ve discovered the numerous ways data-driven information can transform this practice; particularly in the high-end real estate market. The best agents will capitalize on data available to them to inform their decisions and use this as a tool to leverage properties.
It’s not just something agents are using either; buyers, sellers and investors now have vast amounts of data available to them that are shaping their purchasing decisions. They expect agents to be prepared to answer the difficult questions and be able to present the data in a thoughtful way.
Here are the ways an informed agent will incorporate data into their approach:
TO PROPERLY ANALYZE THE MARKET
Reports are routinely published on the housing market. Large publications frequently make generalizations about the market that paint a picture for the industry in general, but lack area-specific data. The Seattle area is significantly different from the rest of the nation as the market has stayed relatively stable while the majority of the country is experiencing a slowdown. With the end goal of finding a buyer, it’s important to work an authority in your area. Working with a knowledgeable listing agent will result in the proper research (down to the neighborhood) leading to an expertly crafted marketing strategy that will succeed in finding the right buyer.
TO ACCURATELY DETERMINE PROPERTY VALUE
Luxury properties are far more complicated in terms of valuations due to their unique qualities and complex elements. An established agent will have no trouble accurately determining the value of your listing using data about the current inventory, sales prices, and pricing differentials at both the local and national level.
TO PROVIDE BUYERS WITH THE INFORMATION THEY WANT
High-end buyers are professionally at the top of their fields and are accustomed to making decisions based on data and statistics daily. It’s imperative to hire an agent that can speak their language and speak to the long-term value of a property — particularly when working with investors.Working with an agent that is up-to-date on current market data and has demonstrated ability to successfully use this as a tool in listing your property will make all the difference in a successful sale.