(This article is a 6-minute read)
THREE THINGS YOU’LL LEARN FROM THIS ARTICLE
1. 7 tactics to attract real estate investors
2. Online resources that can help you do this
3. What investors really want from an agent
Investors really are a different breed. An informed investor won’t be swayed by a property’s charm and character, but instead by facts, numbers, trustworthiness and professionalism. So what can you or your agency do to attract real estate investors? Start by offering knowledge, a rock-solid reputation and a convenient service. Here’s how:
Update your marketing and copy to reflect the audience you want to reach. Consider having a separate listing section on your website directly addressing investors. Investors don’t care about aesthetics, or ‘love at first site’—they want numbers and hard facts, and won’t have much time for wishy washy sales copy.
Lead with why the property is suited to investors and detail things like the property’s rental history, the nearby facilities and the growth trajectory of the local area. This will help establish you and your agency as straight shooters who don’t mess around.
Investors love to talk. Most investors, particularly younger investors, will use their downtime to discuss upcoming hotspots with other investors, on online forums such as PropertyChat or on social media, primarily Facebook groups.
These forums and groups are often open to real estate agents, and are a great way for you to demonstrate your knowledge of the local market and some insights, or predictions, as to where it’s going.
Remember—it’s not an advertising platform, so don’t spruik your business but do be upfront about what you do for a living. Instead aim to demonstrate to investors how well informed you are about the area, and how approachable you are. It’s hard work, won’t always generate leads and will require attention away from your nine-to-five—but it’s the ultimate reputation builder.
You’re a font of knowledge about everything that’s going on in the local area—but you don’t know quite how to share it. Hire a professional who can accurately and effectively disseminate your local market knowledge and insights, create a content marketing plan and ensure your blog post is one of the top listings when an investor conducts a Google search on your suburb. This conveys the message that you’re the market leader with unmatched knowledge, and obviously doing something right.
There are a plethora of property investment publications out there, often seeking comment on a local area or suburb. Real estate news sites such as Domain and realestate.com.au will often seek comment on high profile sales for their articles. Never refuse one of these media opportunities (unless your client explicitly prohibits it, of course).
Some agents are media averse, not realising the lost opportunity to solidify their brand profile each time they decline to comment. Embrace the media and use it to let investors know about the great stock you have access to.
Remember the couple you sold a place down the road to? Turns out they’ve had a promotion and an inheritance between them, and they’re looking to spend—or they know family or friends who have. Keeping in touch with former clients is a great way to score repeat business, or solid referrals.
If you’re old school and have a small client database, it could be a scheduled phone call every six months. If that’s unachievable, consider a regular newsletter bulletin. It lets clients know that you’re invested in them, and their long-term success.
The days of sales and property management being two distinct departments are well and truly over. Investors are research heavy and numbers driven, but at the end of the day they are often also time poor.
If you can offer investors an integrated service where you not only sell them a property, but promise to look after it following settlement and back up all the grand claims you made during the sales campaign, it could be enough to get them across the line.
Invest in your property management business so that it has a great reputation among your existing clients, who will likely pass that feedback on to other investors. If you’re a boutique agency that specialises in sales only, consider forming a partnership with a well-run local property management company, even if it’s just on a referral basis.
Everyone wins here. Firstly, the investor will know that the property is a sound buy and you’re willing to bet on it. Secondly, your agency will get a constant source of income and the likely repeat business of an investor, or others in their network.
It really is a small world, and it pays to network. Buyers agents and mortgage brokers will act in the best interests of their client, but if they know you and your business, they may approach you with an investor’s requirements or intentions early in the piece, increasing the likelihood of you being able to secure a lucrative off-market sale. Investors place an incredible amount of trust with the professionals they work with, and knowing the right people can see that trust extended to you.