But if we’re not keeping a pulse on what buyers are doing, all that work is pointless.
The more you know about buyers, the more you can focus your efforts and make technology work for you to get buyers’ attention.
The National Association of Realtors helps us out here. They publish a study every January that tells us who’s buying homes. It’s the inside scoop. Let’s take a look at that key research and figure out what that means for our marketing.
Buyers are Using Financing
According to the National Association of Realtors study, 84% of buyers are using financing to purchase their homes. So we are a selling to buyers who are using financing. Very few buyers are buying all cash.
In fact, for buyers under the age of 55, 97% are using financing to buy a home.
Buyers are Using Realtors
Second, the report tells us that 88% of all the home purchase transactions are completed with the use of at least one realtor. That tells me the vast majority of these buyers are still very leery of being scammed or screwed over. They want to be protected by a realtor. The realtor has continuing ed credits and standard ethics, so buyers feel more confident they won’t get screwed if they have a realtor on their team. Plus, the seller pays the realtor’s commission, so buyers don’t see a downside of using a realtor.
Buyers are Young
In 2018, 31% of people buying houses are Gen Y (Millennial's ages 18–35) and 30% are Gen X (ages 36–54). So almost 2/3 of buyers are under the age of 55.
Most of the other 1/3 of buyers are the baby boomers, ages 55–76.
So essentially 61% of the time you’re selling to buyers who are using financing, using a realtor, and are under the age of 55.
So when you look at a property, especially one you’re considering for a rehab, you need to think about whether that property is what that target group wants.
Our Biggest Market is Looking Online
What does that mean for marketing?
Since the Millennials are our largest group of buyers, we should be marketing to them. Millennials get plenty of crap about being soft because they’re into technology and they’re delaying adulthood. But a good number of them are now ready to buy houses.
And we know from this study that the first place they look when they’re home buying is online. Actually, 26% of Gen X and Gen Y buyers found their homes on their mobile devices.
Marketing That Works
If our largest group of buyers is looking online, we need to be using technology to connect with those buyers. We’ve got plenty of opportunities:
- Squeeze pages
- Mobile marketing
- Text messaging
How many of these things are you currently using?
And don’t forget that you have everything you need right at your fingertips with an Accelerated Investor Office account. Are you logging into that AI account on a daily basis? If not, you’re missing a huge opportunity.
Yes, you should have more than one website. These are so easy to set up. In Accelerated Investor Office, under Lead Flow and Websites you’ve got all sorts of established design options. The only thing you’ve got to pay for is $10 to GoDaddy for the domain name.
If you set up a squeeze page right there in Accelerated Investor Office you’ll be advertising your business where you know the buyers are looking and you’ll be driving traffic back to your website. There is no reason why all of us shouldn’t have two, three, four, five websites up and running.
Even if you don’t have any houses for sale, get those websites up. You don’t even have to set up a core website right away. You can start with a squeeze page website. That allows you to get leads for sellers, buyers, and private lenders. And you especially want those motivated seller leads. Don’t wait.
Remember, our Millennials are finding properties on their phones. So use phones in your marketing.
With mobile marketing, when a buyer calls in about a house you’re advertising, the phone you’ve set up in your mobile marketing system will capture that buyer’s phone number and store it for later. Then you can use your mobile marketing system to text interested buyers.
Text messaging has a nearly 100% open rate, compared to the 5–10% open rate for emails, so you know when you’re doing this kind of marketing that your messages are being read.
In Accelerated Investor Office, you can use the mobile marketing options to set up a mobile marketing campaign. You can attach a property to your campaign and when someone opts in or replies to that campaign, you can immediately respond to them via text right from Accelerated Investor Office. Boom!
Use technology to your advantage, people.
You can also set up voice recordings. Then once people opt in to your website through your squeeze page, you can voice broadcast them about new properties.
Use It or Lose It
If you’re not using all this technology that’s right at your fingertips, you're hurting your business. Keep those buyers in mind as you’re planning your marketing. And set aside some funds in your marketing budget for the Accelerated Investor Office program; it’s worth the monthly fee.