As a real estate professional, you’re likely having one of the best years of your career. However, the reality of this hot market dynamic means that while you may be at the top of your professional game, so is everybody else. But, what happens after this market? Will you be ready, able and equipped to continue and build on the success you may be experiencing right now? Is the market driving your success or are you?
The time to ask yourself these questions is now. As supply and demand for homes begin to rightsize, the momentum of the market alone will no longer be sufficient to carry your business. Real estate professionals must align with a brokerage and brand that will continue to propel their businesses forward when the dust settles.
Here are three factors to consider to strategically position your real estate business for continued growth throughout cyclical market changes we’ll likely see in 2021 and beyond:
1. Emerging Luxury Markets
According to the Institute for Luxury Home Marketing, the number of homes that sold for above $1 million increased 81% from February 2020 to February 2021. This number doubled in the Midwest over the same period, in the Northeast volume increased by 98%, and in the South by 94%. Wealth has increased and affluent Millennials have emerged as a major homebuying force as the pandemic has prompted relocations out of coastal urban areas.
Are you prepared to service luxury buyers in your area? As new luxury markets emerge, real estate professionals should align with a brand that understands how to service this consumer niche. Technology cannot, on its own, provide the level of local insight, industry expertise and standard of personalized service that luxury buyers and sellers expect. Every tool, service and technology should be purposeful and prescribed to support business efficiencies and the customer experience.
2. Collaboration
The distinct synergy that exists among our network is one of the most defining attributes of our brand. As the rightsizing of the U.S. housing market will be characterized by distinct regional nuances, Engel & Völkers advisors will not only have access to some of the most advanced tools in the industry but also to a network of approximately 5,000 real estate professionals in the Americas alone (including myself) and nearly 15,000 globally. We help one another navigate a complex market, whether that’s via referrals, coaching, or sharing advice on how to cater to a growing demographic of homeowners within a local market.
With a collaborative culture at our core, someone is always willing to share their experiences in overcoming or adapting to marketing and business changes.
3. Global Reach
As borders and global travel continue to open, we’re likely to see the release of over a year’s worth of pent-up demand among international buyers looking to acquire real estate in the U.S., and likewise, Americans buying abroad. With a presence in more than 34 countries, not only do we understand the intricacies of transacting real estate across borders, but our network fosters strong international referrals and brand identity in key markets and amongst a well-traveled clientele.
Like any other industry, the residential real estate market ebbs and flows. Right now, the market is on fire, but we’re beginning to see certain indicators that point to it stabilizing a bit in the coming months.
As a real estate professional, the time to learn about your options and set yourself up for success is now. This may mean joining a different brokerage or even evolving your role as an agent or team into starting your own brokerage. Most importantly, it means aligning yourself with a brand that will elevate you, your listings, and your community, regardless of what’s happening in the market. Learn more about Engel & Völkers.