Real Estate Auctions

Providing an innovative approach to the successful sale of houses in New Zealand, real estate auctions provide an effective and cost efficient method of selling property. Traditionally, selling properties through traditional sales channels can sometimes be an extended process, with the longer the timeframe of sale directly correlating with associated marketing costs and the dedication of time to the sales process. Furthermore, with the ongoing costs of maintaining a house which is on the marketplace, an extended sale period can quickly pile the expenses associated with the sale. Auctions provide owners with a quick sales channel to market where qualified and prospective purchasers are accessed who have the financial backing to purchase the property. As an auction can bring together a number of qualified purchasers to a property at one time, this can place pressure on prospective buyers to make present an offer on the property.

New Zealand real estate auctions have historically produced attractive sale prices for both buyers and sellers. The benefit of auctions is the achievement of market value for the property, where real estate sells for exactly what the market deems its worth. One of the safety features naturally instilled in auctions is that if the initial price is set too low, this is likely to stimulate an extended number of prospective purchasers to place bids and raise the price significantly. On the other hand, if the initial price is set too high, this will create a level of disinterest by those in the marketplace. This provides a natural safety net for both buyers and sellers of property in New Zealand being sold at auction.

The negotiation process, under traditional sales and marketing channels, can be time consuming and stressful. Furthermore, the notion of meeting estate agency staff and prospective buyers and dedicating time to showing these people through your house and home can waste time and resources. One of the main benefits of selling real estate through auctions in New Zealand is the elimination of constant public viewings. This is alleviated by providing the marketplace with full and disclosed information about the property, along with set viewing schedules prior to the auction, then enable qualified buyers to make informed buying decisions.

When considering the sale or purchase of your next or first property, contact a reputable estate agency in New Zealand who can inform you of the best course of action in respect to selling property through the auction process. Their experience and knowledge will enable you to avoid common pitfalls and get the results you desire.

Luxury Real Estate Marketing Essentials – Become the Break-Away Brand

Whether you grew up with a Krispy Kreme Donut store in your neighborhood or you just tasted a delicious, original hot glazed Krispy Kreme donut for the first time you may be surprised to know that the company has been around for over 70 years! It all started in the late thirties. With steady growth it was sold to Beatrice Foods and later was bought back by a group of franchisees. Then, suddenly in 2000, Krispy Kreme went public, became a modern American icon and an international BREAKAWAY BRAND!

The Krispy Kreme story has important lessons for those luxury real estate marketing professionals who are determined to breakaway from their competition and pursue market leadership in their marketplace. Creating an indelible personal brand and sparking a chain reaction of buzz is challenging, but it can be extremely rewarding if it is executed effectively and sustained.

The word-of-mouth advertising about these premium, high quality donuts was like a shot heard around the world. Move over Winchell’s donuts, which opened their first donut shop on October 8, 1948. Winchell’s is the West Coast’s largest donut chain with over 170 units, in 12 states, plus locations in Guam, Saipan, and Saudi Arabia. Move over Dunkin’ Donuts, the world’s largest coffee and baked goods chain, with more than 7,000 Dunkin’ Donuts shops worldwide.

What Made Krispy Kreme Donuts the Breakaway Brand?

Fast forward to Melbourne Australia, 2006 for the grand opening of the first Krispy Kreme Donut shop in town. Hundreds of Aussies camped out overnight in the race to be the first through the door as the fast-food phenomenon arrived Down Under. One man parked his car four days ahead of the opening to be the first in line for the drive through window. He won a year’s supply of these tasty donuts.

Krispy Kreme attracts almost a cult-like following and raving fans. The opening of a Winchell’s or Dunkin’ donut shop usually does not have this kind of a reaction. Most fans agree that the taste of Krispy Kreme donuts is superior to the other brands. But, how much of this is the affect of hype and how much is really the special flavor and texture unique to the Krispy Kreme brand? How much is it a factor of the expectation of a superior experience?

The name Krispy Kreme itself can make your mouth water. The right brand name can play a very important part in creating a Breakaway Brand.

We are not particularly fond of donuts. However, like many consumers, we absolutely had to discover what all the fuss was about when Krispy Kreme donuts finally arrived at our local supermarket. To us, the ultimate donut experience can be found in a small café in Florence, Italy called Giacosa on Via Tournabone. In Italian, donuts are called ciambelle. Fond memories and pleasant associations can play a very big part in creating a Breakaway Brand.

iPod or ZUNE? That is the Question

Every year in the United States companies invest close to $300 billion in marketing products and services. A huge portion of this is spent on introducing new brands in the marketplace. The majority of these new product launches never get off the ground.

As home loan professionals, the size of your advertising budget does not guarantee your success if you fail to form a strong emotional connection with your target market, whether it be consumers or referring real estate agents.

Recently, Microsoft launched a new MP3 player brand called ZUNE to compete head-on with Apple’s iPod. Fortified with deep pockets Microsoft is gunning for Apple who has the Breakaway Brand in this space. iPod was actually a “Jonny come lately” itself as many other brands had tried to become the dominant MP3 player. iPod connected very deeply on an emotional level with its target market with its sleek design an ease of use for which Apple computers are famous. Zune was met with a lukewarm reception.

The iPod continues to gain market share as a mainstream consumer electronic product and as a music service with its ITunes website. Many iPod loyalists would rather fight than switch brands. Microsoft may be making some strides at chipping away at Apple’s market share. But, so far it is does not have enough distinctive features to overtake Apple as the next MP3 Breakaway Brand.

In the lending industry loan brokers have access to virtually the same products. In that sense these products have become commoditized. That is the very reason why a personal brand is of paramount importance. Good service and integrity are the minimum requirements just to be in the running. You must present a superior and unique value proposition to become the Breakaway Personal Brand as a lender in your marketplace.

The Five Keys to Become the Standout in Your Marketplace

Perhaps organizing a community effort to deliver Krispy Kreme donuts to some schools in your neighborhood can help you stand out from the crowd. Or, you may consider a starting with a contest for agents in your area in which you give away a red iPod to “Do the Red Thing” (Apple will donate 10% to help prevent the spread of HIV).

There are endless ways of becoming well known, well thought of and also creating buzz for yourself while breaking away from your competition. The keys to becoming the Breakaway Personal Brand and standout are:
1) Create the expectation of superior service;
2) Develop a compelling personal brand name;
3) Come up with a way to create pleasant associations with your brand that trigger fond memories;
4) Form a strong emotional connection with your target market, and:
5) find ways to be distinctive in your business methods.

This is part of a series of articles entitled, Luxury Real Estate Marketing Essentials. It is dedicated to luxury real estate marketing professionals worldwide.

How to Maximize the Sales Price of Your Real Estate Listing

During the creation of the residential real estate bubble in the early 2000’s, it felt as though we (i.e. Sellers and Brokers) could dictate higher and higher prices and the market (i.e. the buyers) would continue to pay. How quickly we’ve learned! Starting in 2007, and even more so following the collapse of Lehman Brothers in 2008, selling real estate felt like trying to catch a falling knife as the market spiraled downward.

The market has changed quite a bit since then as inventories continue to dwindle, total yearly sales volume is up and pricing continues to inch higher in local markets such as Newton, Brookline, much of Boston and Cambridge. We’re starting to see healthy demand and competition again. Whereas the news cycle a few years ago was negative on residential real estate, that trend has changed to a positive theme as of late. Given that much of the new construction of residential real estate in Greater Metro Boston is not coming online for several years, it should be expected that the real estate market will continue its upward trend assuming interest rates don’t balloon in the near term.

In towns with real estate that’s ascending in value, it’s quite common that properties listed for sale at the right price sell within 1 week of being marketed. Typically these sales operate on a first come, first serve basis wherein the first offer to reach the seller’s number becomes the purchaser. In rare cases, a bidding war breaks out between buyers which forces a higher sales price. This bidding war can only occur if these two or more buyers happen to place offers within the same time period.

The flaw with the platform described above in the last paragraph is that by creating a first come, first serve transactional device, Sellers leave money on the table. Rather than accepting the first offer that comes through the door in the first week, Sellers and their brokers should utilize unique marketing platforms that allow the market to fully speak. In other words, elongate the marketing program and publicize a final offer due date in the near future that gives the full market enough time to act. By giving enough time for the market to act, real estate agents and their Sellers foster competition and urgency from the buyers – particularly in Greater Metro Boston where supply cannot meet the markets demand.

In addition to competition and urgency, differentiation can also be a great way to draw buyers attention on your property. Try using unique terminology that differentiates your home from the rest of the competition i.e. a “Call For Offers” or an “Accelerated Sale”. By doing so, Sellers and Brokers draw the full attention of the market.

To summarize, by creating a competitive marketplace, differentiating your listing and creating a sense of buyer urgency, Sellers and Brokers will ensure the maximization of value for their property listings.