The Battle to Bring Back Buyers

Real estate brokerage and franchise company Realogy has launched an ad campaign that promotes low mortgage interest rates, improving affordability, and the availaibilty of home loans.

"Think you can't get a home loan?" the ad states. "Well, think again. You may be pleasantly surprised."

The ad also states, "Now is the time to make your move. If a home purchase is in your future plans, now may very well be the time to act. There is ample inventory on the market for you to capture that 'dream' home you've always wanted at a price and terms you can handle. But don't wait too long, because another qualified buyer may capture it first."

The battle is on to kick consumers off the fence and back into spending mode. And it could be an uphill battle, with news piling on of a possible recession, Wall St. losses and layoffs, and declining home prices.

Realogy is referring to its campaign as "consumer confidence ads." The first ad ran today in USA Today, with other installments planned on Feb. 13 and Feb. 20. The company launched a similar campaign in October 2006.

Another ad campaign, launched by the National Association of Realtors trade group in late 2006, carried the message: "It's a great time to buy or sell a home." NAR critics had a field day with that seemingly contradictory slogan.

A more recent television campaign by NAR focuses on family reasons and long-term wealth-building for buying a home. "When it comes to buying a home, family conditions often outweigh market conditions," one ad states. And another: "If you're on the fence, the National Association of Realtors wants you to know that a home isn't just a great place to raise a family, it's also the key to building long-term wealth." One of the ads also states that "interest rates are low and buyer opportunities have never been better."

That campaign drew some flak, too, in the form of a scathing AdAge article (see Inman News blog post) and some online commentary.

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