Why Market Data MattersNow More Than Ever

Who’s with you today?

Scott Sambucci, VP Data Analytics scott@altosresearch.com (415) 931 7942 Twitter: @AltosResearch

Ricky Fernandez, Product Specialist ricky@altosresearch.com (888) 819-7775 x.2 Twitter: @AltosSalesDude

www.altosresearch.com

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Only Three Questions

What’s for sale? IDX Search

How much is my house worth? CMA

How’s the market? This is your opening!

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When they ask, “How’s the market?”

“I want to participate, show me how I can/why I should?” They know the market is bad… But how is it good for them?

A “buying” signal Buying your services – they need an

expert Compelling to action – they want

guidance

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Principles & Technique:“Let Me Show You What I Mean” Be prepared

With clients, plan the story in advance The story is your chance to engage

Be transparent Address their unasked questions - honestly Confused people don’t buy!

Be the expert What aren’t they expecting? Setting price, market time expectations

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Sometimes the Data ≠ Headlines

Scottsdale dropped a little – but mostly held strong!

Phoenix has been down – but picking up this Spring!

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Get Local!Comparing Zips to Set Expectations

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How and When to Use The Data On the web, blog

Prospecting, relationship & trust building Lead conversion

In person Listing presentation / buyer meetings With active listings – Keep clients updated In the yard sign “I sold this home in a

week. Ask me how.” In their inbox

Weekly market Reports Part of your drip, one of your touches

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Strategies for Data on Your Website

Soft Sell Hard Sell

Blog

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Relationships, inform Convert visitors to leadsGoals:

Presentation:

Style:

Personality, quantity High profile data, fewer options

Approach:

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Great Web Site Samples Real Estate Bloggers

www.MovinMaryland.com - Audrey Forshey www.BlogTheRockies.com - Ro Troia www.AtHomeInScottsdale.com - Dru Bloomfield www.BlogByTheBay.com -Ginger Wilcox

Local Market Pages www.OCExclusives.com – Jessie Brossa www.StlHomeData.com – Eric Stegemann www.LoCoMarketStats.com – Heather Elias

The Three Questions www.Housechick.com – Kelley Koehler

Lead Focused www.TheHarperTeam.com – John Harper

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More Than Just a Price Trend

Setting seller expectations Percent Price Decreased: “This is what

happens to the over-pricers” DoM: “here’s what we’re looking at…”

Buyer off the fence Inventory: “You’re in the highest-demand

segment” Average vs. Median DoM: the best

properties moving more quickly

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Setting the Price Right% Price Decreased: Measures the number of active listings thathave experienced a price reduction in the last 90 days

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Setting the Price Right% Magnitude Decreased: Percentage change in price for homesexperiencing price reductions.

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Inventory Trends: Understanding the “Competition” Don’t assume

clients know these trends!

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Trends in New Listings

New Listings are pricing at the Market’s Median PriceBut, homes exiting the market are even lower

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Market Analysis by Price Level (“Quartile”)

Quartile 1: Most expensive 25% of propertiesQuartile 2: Top Middle 25%Quartile 3: Bottom Middle 25%Quartile 4: Least expensive 25% of properties

Example: 80 homes for sale in a market (city or zip code) 4 "quartiles" (groups) each have 20

properties based on individual property prices.

Allows for market definition by price, not just geography

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Price Trends by “Quartile”

Different Price Trends based on Price Quartile

Days-on-Market by “Quartile”

Significantly higher DoM in most expensive price segment compared to middle price segments

Market Activity by “Quartile”

The lowest 25% of the market has the most activity – Implications for both Sellers AND Buyers?

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Key Takeaways:

How do you answer, “How’s The Market?”

Use the data to illustrate your expertise

Clients want the insights/statistics/guidance no matter how you reach them: web, email, print, face-to-face

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For Webinar Attendees

Posting this presentation online to Slideshare

Send you a Personalized Market Report to use next week Buyer Meetings coming up? Listings Presentations Sellers – helping them really see the

market

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Who’s with you today?

Scott Sambucci, VP Data Analytics scott@altosresearch.com (415) 931 7942 Twitter: @AltosResearch

Ricky Fernandez, Product Specialist ricky@altosresearch.com (888) 819-7775 x.2 Twitter: @AltosSalesDude