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Breaking Into the Luxury Real Estate Market

The competitive luxury real estate market is somewhat more delicate to navigate than general real estate. It will require more attention to details, as you are dealing with high-end properties and wealthy buyers and sellers. 

The most important point and the focus of luxury real estate stays the same- it’s the people. That includes the agents, the clients and anyone else participating in the purchase and sale of the property. So it’s important to brand yourself and position yourself accurately in the market. Build strong relationships with your clients and work closely with other brokers, nurturing these relationships will make all the difference.

Take Advantage of Every Learning Opportunity

As with any job, before you start and in the beginning of your career you must make an effort to learn all that you can about the job. There is nothing more important than being prepared, success in luxury real estate won’t come fast or easy.

As most of the guests on The Pocket Network podcast have recommended, finding an experienced mentor is really the best way to learn. Mentors can help you learn lessons without you having to make a mistake first, they have more years and many more hard won lessons than you can begin to imagine. Most mentors have survived a recession, or maybe worse, so pick their brain and find out what strategy kept them thriving and learn how you can adapt and use these same lessons for yourself. Keep in mind that with any form of specialization, you must become an expert in your area. Know the ins and outs of the market when it concerns luxury real estate within a 50 mile radius of your home town. This will take years to develop, but if you put in the work you will see the results in your thriving career. 

NETWORK, NETWORK, NETWORK

We’ve said it before, and we will never stop saying this: NETWORKING IS EVERYTHING. Make an effort to get to know the people in your market, and make sure your clients and all the local agents know you and know your work. Real estate has always been a competitive business, but it’s important you be friendly and helpful towards all brokers, you never know when you’ll need to work on a deal with them in the future. A good reputation is everything in this market.

With your clients, honesty is always the best policy. You are being trusted in representing THEM, so make them feel like their needs are your top priority. When you are with them, don’t be working on other deals or answering other phone calls. Every one of your actions should be another step to building trust and a stronger relationship with your clients, this way even if the current deal falls through they will continue to trust their money with you. 

Depending on the type of luxury real estate you are selling, you may be interacting with a very successful client. Acknowledging the client’s success is okay, but you must also ensure your client’s privacy and show them your efforts to keep them comfortable and safe.

When given the chance, go the extra mile for your client. Know the home you are sharing and the area inside-out. Be the local expert, be the property expert or be able to get them the answers they need quickly. Respect your client and their time… and their likes. Get to know your clients preferences and give them small gifts that they may enjoy. Building these strong relationships with clients will be invaluable for future business if you can keep nourishing these connections.

Breaking into the luxury real estate market isn’t easy, and self-marketing is the most important part of the process. Spend a little extra on your advertising and target the higher-end areas with zip code-specific postcards and ads. Make the market aware of your existence. Visit locations and venues that potential luxury clients frequent; this may be country clubs, golf clubs, art shows, charity event or other similar locations/events. 

Remember that everything you post, do or say represents your branding and image. When you make a large sale, get a client testimonial and make sure to post about your latest deal. From clients you can find out where your points of excellence are and talk about them on appropriate occasions. Word-of-mouth marketing is a powerful factor for businesses on the rise, so don’t underestimate it.

Be Dedicated to Every Client

Give every client the same amount of attention, regardless of the transaction value, because you can never guess their lifetime value on your business. You may get a client who’s only able to spend $10 million on their own property, but if this client has a good experience they may be able to refer 10 more people who are ready to spend the same amount of money. Already, this client is worth more than someone who spent $30 million on a single property and never returned to do business or referred anyone to you. 

The real estate business, and the luxury market in particular, is centered around the clients, not the brokers, your service needs to be of the same quality for all. While not all deals are equal, your reputation can be affected by every review and shared impressions.

Pay Attention to the Market 

The luxury real estate market requires an honest and informed approach to your clients and the deals you make. Follow your mentor’s advice and keep seeking help from books and other successful agents on social media. Follow their advice and always work on honing your skills, your success in luxury real estate is dependent ONLY on the effort and care you are willing to put into it.