Special offer

Becoming a local expert - it takes time - but it pays dividends.

By
Real Estate Broker/Owner with Cornerstone Business Group Inc 0225086119

The second point in the Active Rain Weltanschauung relates to becoming a local market expert.

We believe that real estate professionals will thrive if they demonstrate their local market expertise. With ever greater access to listings, local knowledge is now the key differentiator.

In the beginning, I didn't want anything to do with market reports. I felt like they were boring and dry and as an ADD candidate, I didn't think they would hold my attention.

Through a little cajoling, I jumped in and wrote one, and then two, three, four and on and on and on. What I learned in the process is that I started to know my market at a level I would never had thought about prior to doing the reports. 

There are a lot of benefits to writing market reports. For instance:

  • You really do get to be a local market expert with consistent market report writing. Your level of local knowledge will explode. You'll find that few of your colleagues know the sales, distressed properties numbers, high sale communities and up and coming areas like you do.
  • You see trends that others don't see. That gives you a heads up on preparing for future market changes. That gives you an advantage in changing your marketing prior to market changes. You're ready before your competition knows there is a change coming.
  • You became the media "go to" person. I send my market reports to all local papers and radio stations. One local paper interviewed me a half dozen times last year. It's a level of marketing that pays huge dividends, and it's free. If the local media is seeking you out, so should sellers and buyers.
  • You can provide data to other local professionals: lenders, builders, closing agents, investors, etc. These professionals also need to know about market changes, and trust me, they appreciate it. 
  • You will be exposed to areas of your market that you may have ignored. I found that one area of my local market makes up 27% of all sales month to month. I've ratcheted up my marketing in that area because of that. 

Market reports and a deeper market knowledge do open a world of numbers for you that lay the foundation for your success. Don't ignore them like I did in the past, but find ways to make them fun, entertaining and exciting. You'll be amazed at how excited a seller will be when you can tell her what the month by month and year by year market data is in her neighborhood. Or, you can encourage a buyer to buy a home because you've seen the market increasing at a higher rate than other market areas. You really do become the market expert. 

 

1. 2017 Jumpstart Challenge

Comments (9)

Kat Palmiotti
eXp Commercial, Referral Divison - Kalispell, MT
Helping your Montana dreams take root

I totally agree - I've learned a lot about my area just from paying attention to the data!

Jan 08, 2017 09:03 AM
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate Services

I agree 100%.  The added knowledge we get from extracting the data and preparing a market report truly raises the bar.  Tedious to do ... yet well worth the time. 

Jan 08, 2017 09:32 AM
John Slocum
Premiere Property Group, LLC - Vancouver Washington - Vancouver, WA
Broker, SFR - Vancouver WA Real Estate

Hi Mike, I agree as well.  The many additional dividends from consistent market reports can be good SEO, more points in the Rain; and otherwise, an excellent habit.  John and Kat

Jan 08, 2017 09:57 AM
Kathy Streib
Cypress, TX
Home Stager/Redesign

Hi Mike- I totally agree. The numbers that you get from the market reports will help back up what you tell your clients.  And it gives you the confidence to present yourself as the local expert. 

Jan 08, 2017 12:17 PM
Dick Greenberg
New Paradigm Partners LLC - Fort Collins, CO
Northern Colorado Residential Real Estate

Hi Mike - As a market report devotee, I second your points about their value. They may be pure drudgery at times, but they're definitely worth it.

Jan 08, 2017 12:19 PM
Alesha A. Wilson, M.Ed.
Buy and Sell Oklahoma LLC - Oklahoma City, OK
Buy and Sell Real Estate with Confidence

Have to admit, the that the word "report" has deterred me from writing one as of yet ~ but looking forward to finding a way to make it work for me.  Thank you for sharing your ideas.  I've bookmarked for future reference.  Have a great evening!

Jan 08, 2017 05:45 PM
Mike Cooper, Broker VA,WV

Alesha, you sound like me. I avoided them for years. What I learned by doing them is that I know more about my market than the vast majority of local agents. That has caught the attention of local lenders who refer their clients to me because they know how deep my knowledge of the local market runs. It was a like being dragged across glass to do the first few, but today, it's probably 80% of what I write.

Jan 08, 2017 05:51 PM
Amanda S. Davidson
Amanda Davidson Real Estate Group Brokered By Real - Alexandria, VA
Alexandria Virginia Homes For Sale

Mike, I agree with you 100% - great post. I used to dread market reports and wasn't very good at writing them. As I continued to do them I realized my knowledge of the local market was being fine tuned. Love that now I know the stats at any given time from writing them. Ironic that they're enjoyable to write now!

Jan 09, 2017 06:49 AM
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Hi Mike - the bloggers on Active Rain are ahead of the curve with their market reports.  I don't hear this from other real estate agents and it tells me the the AR agents are the go to ones.

Jan 09, 2017 08:13 PM
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Buy Daytona condos for heavenly good prices

That's very true Yo start looking at things in perspective and start noticing the trends, which before you could not see simply because of constant microscopic changes, that we do not register.

Jan 10, 2017 08:18 AM