Home : Real Estate Marketing Ideas During An Economic Downturn

Real Estate Marketing Ideas During An Economic Downturn

Posted by Brett Carman on 4/2/2008 at 12:39 PM
Posted in Real Estate

So you are one of the millions of people in America who has real estate for sale and you haven’t yet found an agent with any fresh ideas to help get your property sold. Keep looking because there is more to selling a home than posting the home on the local real estate association’s website and sticking a sign in the yard. You have to be different...STAND OUT in the crowd given just about every economist is skating around saying we are already in a recession.

Sure, there are more databases you can list with, expensive ads you can run and commission bonuses you can offer to the agents in the area in hopes to entice them to give your property preferential treatment. The problem is, everyone is trying those things and you are giving way more credit to the agents for assuming they can control their buyers. What can you do to make your property sell faster and for the most money? I say differentiation is the key.

As a Realtor, I am constantly looking creative real estate marketing tactics for my client’s properties. Ways to make them look different and show better than my competition. Have you thought about how a $10,000 cash reward would impact someone’s decision to buy (all things being somewhat equal). What about gift certificates for a free cruise? The “net cost” of some of these promotions to the seller can be quite small and could produce big dividends.

There are a lot of foreclosures out there, so what about having your property professionally “staged” to show it at its best? With difficulties in obtaining real estate financing for many people, you could act as the bank for a couple of years and owner-finance to help get your property to move (seek an attorney for proper documentation required by your state and federal government).

My point is to make readers aware that they need to think outside the box when it comes to creatively presenting their properties for sale but at the end of the day, price and terms drive the markets. With real estate prices having dropped off over the last several months, you will still need to be willing to accept what the market will bear.

So have you ever used a creative method to get a house to sell quickly? Do you have any questions about a creative idea you are kicking around? If so, comment with your story or questions below and I will do my best to respond to them.

Brett Carman is a seasoned veteran in the real estate industry for over 17 years. He holds active licenses in real estate, mortgage finance, and property & casualty insurance. Offering a one-stop shop for his residential and commercial clients, he strives to not only educate, but streamline the real estate acquisition process. With a long and proven track record of success, he is uniquely qualified and has a passion for helping people achieve their goals in real estate.

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16 Comments

Posted by Business 2000 Foundation.com on 04/02/2008 2:52 PM

Being creative and thinking out-side of the box is great to gain attention or more of a marketing science. Something that is needed: Customers.

To many gimmics can back-fire big time. To see through the strategy.
Just lower the selling price...and get the apprasals to give factual information to the sellers and to it's tax base.

Price points. Work better than anything...if your too high.

Posted by member1769693 on 04/02/2008 6:10 PM

Hello,
My question is I have a trailer in murrells inlet in south carolina I am trying to sell. It is about 3 miles from the beach. We have had it on the market since november. Do you have any suggestions to help us. We live in pa and rely on our realitor is there suggestions we can give her. Also do you have any suggestions on how to buy coporate owned at a great price. We have lost alot of chances because the banks want more than it is worth.
Thank you
cheryl

Posted by member1773310 on 04/02/2008 6:26 PM

Good ideas, Mr. Carman.

I have some houses that don't seem to be selling or even being looked at very often. Some creative incentives, such as your free cruise idea, is interesting to consider.

Some might hear Free Cruise and think its a gimmick I fear, how about a gift certificate for lawn care for a length of time? Or some kind of choice between incentives.. your choice of a cruise, or a certificate that will furnish your bed and bathrooms, or lawn care worth x amount of time? Or is that multi-pronged approach just smothering a customer in order to make a sale?

Very thoughtful article, thanks.

Posted by steplyk on 04/03/2008 11:48 AM

We have an investment single family home that we are selling. In addition to the traditional listing, we are planning to have an estate/yard sale. I am going to offer a monetary incentive upon closing to the individual that provided us the successful buyer.

Posted by Brett Carman

on 04/03/2008 4:24 PM

@member1769693-

Thanks for your questions. It's important to know from your Realtor what the competition is selling for as well as what the average "days on market" is for your particular area. 4 months on the market can seem like a long time for a vacant property but may not be uncommon for the area.

As far as suggestions for your Realtor...what is she doing to make your trailer stand out from the others in your market area? If nothing, then seriously consider a new one when her time is up. Tell her that you expect some fresh attempts at marketing...even if you need to participate in the cost.

Not sure what you mean by corporate housing...please clarify.

Posted by Brett Carman

on 04/03/2008 4:30 PM

@member1773310

Thanks for your questions and comments. I just tossed out the cruiseship idea because in the past, I have been able to purchase excess cruise inventory for about $500 per couple for a one week cruise. It's a cheap way to look like you are giving a lot. I like your ideas, too. The point is to simply try different things in order to make your property the most appealing to the consumer. Obviously, different people respond to different things. Just play with it and see how it goes.

Posted by Brett Carman

on 04/03/2008 4:35 PM

@member steplyk

Thanks for your comment. Be aware that many states may prohibit the incentivizing of any non-principal to the transaction unless they have a real estate license. Check with the rules of RESPA (Real Estate Settlement and Procedures Act) to make sure you aren't breaking any laws.

Posted by Brett Carman

on 04/03/2008 4:39 PM

@member Business 2000 Foundation

Thanks for your comment and I agree with you to the extent that price is the biggest component. However, if one is not in a position to continue to lower their price, it may take something simple and unique to help make one property most stand out in the crowd of properties on the market.

Posted by John Hoff - eVentureBiz.com on 04/05/2008 7:35 PM

@ Business 2000 - I think part of the point of this article is price isn't everything. What matters is what your customers need. What are their requirements and limitations? Can you fulfill those requirements for them and make the property easy for them to buy?

Price ain't everything. At some point, if you can offer such great terms that the house is either easy to buy for the average hourly employee (such as owner financing like Brett mentions) or you can provide such great terms that an investor can make money even though they are paying a higher cost for the house, it'll work.

These aren't gimmicks. They are sound advice that most people don't know about, even Realtors. I sold my property by offering to accept a Municipal Bond as a down payment. In the end, I just lowered the price, but I got a lot of people contacting me over it.

John
ceo and founder of eVentureBiz - http://www.eventurebiz.com

Posted by member1693210 on 04/06/2008 10:22 PM

I justybought a 4 bed room house in a somewhat old neighborhood but it only has one bath room should i add another bathroom to this house?and what home Improvment would you make, that would really bring vaule to this home. IT already has the original hard wood floors. but the yard and land scapeing really sucks.I was thinking of adding another bathroom and put some paint and do a little land scapeing . is there anything you would add ?

Posted by The Anchor Guy on 04/07/2008 6:26 PM

Hi Brett

Well, I was surprised when I saw your various comments to those people who give response.

I have tried to get through to DJT on many occasions, (not living in the States) so I rely on fax and e-mail. He has never responded though and I've spent a fortune on long distance calls, all to no avail.

I have a fantastic marketing strategy in that, everyone selling, wants to sign a mandate? An investor in the UAE wants to support it but I have opted to not take that route. I believe the best person would be "the Donald" as he has the tools available to cater the idea.

It’s over a year now and, those people I have chatted to about the idea are trying to run with it. TOO BAD for them though, I never gave them the complete picture Close but, they just don't see the obvious.

I have reserved the marketing name on the www.

If you are really looking into a "GREAT 'REAL ESTATE' MARKETING IDEA", I have it.

I will eventually get the support to kick-start the operation although, having the "TRUMP" brand name behind it when it does start-up, would go a long way.

Can you help me get the idea to DJT? I have even written to Michael Sexton.

GUY anchor.estates@yahoo.com

Posted by Brett Carman

on 04/10/2008 5:46 PM

@member1693210

I would first want to know whether or not the neighborhood is located in a "family oriented" area. Also, based on what you paid for the home and what you would anticipate to pay for the renovations, would you be able to sell the home for enough spend that money. In other words, is there enough reward for the risk? In most cases, bathroom additions will bring enough return to be worthwhile.

Especially when selling, landscaping and drive-up appeal is the key to get people to stop and come in for a look. If it's a "dog" on the outside most people it's the same way inside.

Posted by about to erase it all hope you made a copy on 04/25/2008 7:16 PM

The creative mind is a terrible thing to waste, but we do! We do even worse things than that to it, we punish people in this culture for having one! If and when we encourage the creative thought process and combine industries many people will be happier, and not so boring to talk to. Selling a home, or marketing a dog wash begins with a cleaver idea that loops the buyers mind into the idea that they should either buy that house or wash a dog. Maybe you real estate agents should offer dog wash/ and grooming vans at the open houses this keeps the prospect in the house longer and gives them the feeling that it is home because Fido is there with them. As they leave the new home with Fido all spiffy in the back seat, they imagine this is their life. Anything that helps a buyer imagine "this is your new home" or this is your new office will result in a similar mental effect.
Anytime ownership has ever taken place in my head first, I get motivated to finish to the bitter end- regardless of the market conditions!

Posted by member11009774 on 08/28/2009 3:21 AM

hi!

I am a big fan of yours and really admire the kind of euphoria you create around things,
whether a product, asset or a tv show.

I am a real estate agent based in India and want to introduce my self to the target audience,
and can only think of conventional ways- emailers, dms etc.

What do you suggest?

Posted by member11012753 on 09/09/2009 11:35 AM

I am a builder/developer along with my siblings in a llc located in southern connecticut with a 76 lot subdivision, which is 3/5 complete. we went from building and selling 28 homes a year ( thru august 08) to 3 homes , now, to having 6 models up and ready to move into with hardly any showings. Our target market price is $349,900 to $510,000.
We have tried everything as far as incentives. We have given a $5,000. bonus to realtors on top of the commission. Our bank is letting us buy down the interest rate 3/4%! We have offered to pay approx 6 to 8 months of interest for buyers that qualify! we have offered unemployment insurance against loosing a job! We have lowered our price ( originally our prices have fallen at the lower end to middle of the areas price point appraisals) $15,000! we have offered free upgrades to our standard features. Our model home is completely furnished and staged even to the point of food in the fridge. our listing agent tells us its the market, buyers are scared, too many homes on the market.; frankly I'm tired of hearing excuses we need results. any ideas would be greatly appreciated . Thankx

Posted by member11031934 on 10/30/2009 6:35 PM

Brett, We are building a new home and have an Historic Home in Savannah that we NEED to sell. We have a great local realtor that doesn;t "Get out of the box". The$ 500,000 to $800,000 market is dead in Savannah. How do I find people that are thinking about moving to Savannah? The Realtor will get leads off of their networks, What can I do to find these people? Please give me some 'Out of the box" ideas1 Thank you, Lis

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