Real Estate Leaders Ready for the 2023 Housing Market?

It is very common for realtors and the like to be making predictions about where the market will be heading in 2023. This is something that cannot genuinely be done by anyone, but rather we can look back in history for the data at large. When doing so, we know that real estate comes in cycles. We do not know when they are going to happen, but that will not stop us from preparing for these changes regardless of their time frame. In order to do so, it is very important to create strategies for both your mind and your actions to help deal with markets that shift, even when unpredictably or rapidly. To be successful, one must understand that it doesn’t really matter what the market is doing, it is simply our job to get our share.

After watching the market for quite some time, I have learned that there are a few strategies that realtors can implement in order to weather the storms that will come. To understand such an idea, I feel it is best to break them down into four key goals and then how this will convert to clients and success.

The first thing which I feel realtors should be watching for is signs of the market slowing down. When this is indicated, the most important thing which can be done is to encompass the idea of increasing your activity. When I speak of an increase in activity, this can often be done through more frequent and powerful marketing, in addition to ensuring that you are making more competitive offers to potential clients. Generating leads and traction should be made a top priority throughout this time.

The second important area to understand is that scrutinizing business expenses is a key tool and should be done frequently. As a realtor, ensuring that you are not throwing money away on things that don’t generate revenue or immediately give lead opportunities is something that needs to be reviewed regularly. It is easy to have this slip through the cracks, but it decreases resourcefulness and in turn success. Having strong vendor partners and reinventing your teams to have the ability to do more with less is always something to strive toward.

The third area which should be explored can be remembered through a key phrase that I like to use; fish in the pond where the fish are. When considering the different approaches to lead generation, a realtor wants to ensure that they are working with the people whom they know are already interested. I recommended accomplishing this through direct emails to individuals and offering educational opportunities for buyers and sellers. When receiving responses, you can analyze where your client is at in their journey.

Once an individual has implemented these strategies and techniques, the fourth area which must be looked at is conversion strategies. I find that this is where many people fall short as a realtor, but is truly the secret to scaling. When a client raises their hand by piquing their interest, it is now your job to pursue this lead through any means necessary. The goal is to stay top of mind, whether they are ready to take steps with you now or in the future. Geographical farming and niche farming are two tried and true methods that I have used to accomplish such goals.

Overall, after analyzing the market in its current state, we can see that seller financing and builders offering points to buy down rates are currently very successful strategies. They are opportunities that are not always on the table but have arisen as the market has begun changing. Currently, I feel that we are in a neutral market where it is not heavily leaning toward one side or the other. However, by looking at statistics such as these, we may start heading to a buyer’s market in the near future.

As we do so, ideally, you will have implemented these strategies into action and when the buyer’s market approaches, have clients who are ready to work with you. The reality is that if your client is buying when everyone is buying, there is little to no leverage. As this shifts, there are opportunities to negotiate reasonably and show your skills to the public.

Once in a transaction, communication is the foundation of a strong and successful relationship.  Reach out with information and updates each day and make sure that your clients know that you are working diligently for them. Realtor’s want to make sure that no matter what article or news comes out, your deals that are in escrow do not become jeopardized.

In conclusion, as a realtor, you must always keep your mind right. Know that cycles will come and go and when one opportunity dwindles, another side of the opportunity is enhanced. Increase your activities, make lead generation a higher percentage of your work time, and take care of your clients. Real estate is a 24/7 type of job, but it is incredibly rewarding in the end.

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