Selling a luxury home requires a very different approach to selling a regular house.
Right from the start, there needs to be a clear and focused strategy in place that elevates a high-end property above the ordinary, marketing its unique features in the right way to the right buyer, and at the right price.
If you’re wondering how to market a luxury property (which we define as 2-3 times the median market price) help is at hand. We reached out to some of the top-ranked agents in the U.S. to get their best tips.
These guiding principles should all be used when you go about creating your own marketing plan, or evaluating the marketing strategy your agent has put together for you.
1) Attention to detail is crucial
When you’re marketing a luxury home, creating a perception of quality means focusing in on the smallest of details. Every aspect of how you present the property needs to be refined.
This is of course essential when it comes to staging your property and ensuring the landscaping is immaculate. But it also extends to simpler things, like making sure your marketing materials are flawless.
“Proofreading your copy is of utmost importance for marketing a luxury property,” says Rodney Johnson, a broker with Berkshire Hathaway HomeServices California Properties. “I’ve seen million dollar listings with the name of the community misspelled in big bold letters.”
A typo in your marketing copy might seem like a small issue, but it can make a big difference to how prospective buyers perceive your home.
2) Spend extra for high-end marketing materials & photography
Perception is everything when it comes to marketing a home. And when you’re trying to showcase a luxury home, you really need to invest in the best quality marketing materials available to make the right impression.
“Don’t scrimp on the marketing. Spend the money needed for the best photos, video, and drone photography,” says Derk Brill, Senior Sales Associate at Alain Pinel Realtors in California.
He also considers it essential to get the best writers to produce the copy for your ads and brochures, while creating a unique online presence. “Build a custom website for the home, not a templated “me too” site,” says Brill.
Given that 92% of all buyers use the internet to search for homes, utilizing the best digital marketing tools will ensure your home truly stands out in a highly competitive marketplace.
3) Really understand who your buyer is
The most effective kind of marketing is based upon a deep understanding of the needs and desires of the target market. When it comes to property sales, the same principle applies.
“The key to marketing a luxury home is to become your future buyer, whoever that may be,” says Robin Phelps Hanson of @properties in Chicago. “Educate yourself to the extent of knowing the local school statistics by heart, as well as all of the materials the home features.”
Start by creating a marketing plan and then target the best prospects. By gaining an insight into the worldview of your potential buyers, you’ll be able to market your property more successfully by focusing on the values, features and benefits they care about the most.
4) Price your home right
While factors such as understanding your buyer and investing in high quality marketing are both vital, there’s one decision homesellers must make that can ultimately have the biggest bearing on a sale.
“Pricing of the home is of utmost importance to position it properly for the current marketplace,” says top San Francisco-based real estate agentLaurie Nierenberg.
Deciding on what that price should be isn’t easy. There is a certainamount of strategy and psychology that goes into determining the right price. It all comes down to advertising your property at a price buyers are actually willing to pay.
As Nierenberg’s point suggests, it’s important to do your homework. Take a considered view of similar homes in your area, look at current buying trends and market your home accordingly.
5) Build a ‘mystique’ around your property
Marketing a luxury home isn’t just about selling its most distinctive features. It’s also about creating a certain prestige that sparks desire among interested buyers.
“I believe it is fundamentally critical to create a distinctive aura and mystique about each and every luxury residence,” says Duncan Donahue, a high-end real estate broker specialist in Boston.
“High-end buyers are interested in purchasing not just any property but rather a “lifestyle residence” that piques their interest, says Donahue. “Incorporating this “lifestyle” marketing strategy is key to the successful sale of luxury residences.”
This might involve taking a more “experiential” approach to selling your home. For example, if your marketing copy promotes the spacious size of your kitchen, you could expand on this by mentioning how it’s a great space for hosting dinner parties or enjoying lazy breakfasts with the family.
Essentially, think about the kind of “lifestyle” potential buyers can enjoy.
6) Create a Custom Marketing Program
To achieve the highest price for your home, a generic marketing plan isn’t going to cut it. Your home needs to be carefully positioned in the right way to the right buyers.
“Your home is unique. Not all homes are created equally in the luxury market and therefore the marketing plan should not be either,” saysDawn Thomas, a top real estate agent in Palo Alto, California, in her informative video ‘Selling Your Luxury Home For the Highest Possible Price.’
“The real estate agent you hire should understand that a custom marketing program needs to be designed specifically for your property, to highlight its unique features.”
A luxury home needs to be advertised in a far more considered way than a regular home. This means ditching the generic marketing blueprint and promoting your property to the most qualified buyers who have both the intent and the means to buy.
7) Partner with the right agent
Even when you’re aware of the major principles involved, knowing how to market a luxury home effectively isn’t easy. That’s why it’s important to choose a top agent who can offer their own guidance and expertise.
“Sellers should be sure to work with an experienced agent in their area and someone they can trust to have their best interests in mind at all times” says Laurie Nierenberg. “Marketing a luxury home is collaborative and a team effort between sellers and their agent to achieve the best results.”
Trust definitely plays a hugely important role in what should be a two-way relationship. Not only will a top agent have local knowledge and experience in the luxury housing market, they’ll take your opinions on board and make sure your needs come first.
When you know how to sell market a luxury home in the right way, the chances of attracting buyers and ultimately achieving the successful sale you’re hoping for become greatly increased.