Investment Real Estate Marketing Plan – Putting Details Into Action – Real Estate Marketing

Marketing is one of the most important things a real estate investor can do to grow his business. It is also one of the areas that is easiest to make multiple mistakes. From failing to properly plan, failure to track your results and even worse, failure to control spending; marketing is fraught perils that beginning investors and long time investors alike must be aware and prepared to avoid.There are 3 main areas of marketing to concentrate on when seeking to grow sales and revenues. The first is education, the second is planning and the third is tracking for adjustments and success. All three are important for investors to watch as they seek to grow sales and revenues and more importantly, build a business model that is sustainable through any real estate cycle.EDUCATIONEducating yourself as a real estate investor and marketer is absolutely paramount if you are going to have success and grow your business. There is simply no excuse for not understanding the basics of each as they both are extremely important for the longevity and ability to stay relevant and profitable. Here a few examples of places to become educated on good marketing techniques for real estate investors.1. Local Library – There may not be a better place to become educated on real estate marketing than the local library. Break the topic down into two subjects and you can have the basics down inside of a week. Under the real estate section there are multiple titles that explain the basics of real estate investing from beginner levels to expert levels. In addition, many of these books will give a basic outline of some simple marketing techniques and tools to get you started. When you combine that knowledge with a good Marketing 101 book from the library, you can quickly pick up the basic outline of why marketing must be done and how properly set up a marketing plan. The best part about an education from the library is the cost – practically free!2. Real Estate Investment Clubs – Often times, these clubs are referred to in the industry as REIA’s. Associations of local real estate investors who come together several times a month to discuss topics relevant to real estate investing. These are great sources for so many things related to real estate investing, including marketing ideas and plans. By attending and immersing yourself into these groups, it is easy to develop friendships, partnerships and even mentors who can answer questions and provide guidance. By paying attention to what the top performers are doing in the field and how they are marketing their businesses, you can pick up ideas and integrate those ideas into your marketing plan. It is called modeling and it is one of the best ways to educate yourself on what is working in a particular real estate market. The biggest upside to becoming educated at a REIA is that you are surrounding yourself with the type of people that are going to be vital to your future success. The costs are usually very affordable and you can often avoid mistakes made by other investors before you.3. Go it Alone – There probably does not need to be a tremendous amount of discussion under this heading. It speaks for itself and generally goes against all advice I could ever give any business person, especially a real estate investor. As far as education is concerned, it is an approach that many investors choose to take and often at a tremendous cost. Going it alone means deciding to jump into the deep end of the pool with both feet and learning as you go. Trial and error can be good and can sometimes lead to good results, but often after many hours and many ups and downs. Strictly looking at costs, many investors have experienced huge losses in the areas of marketing to learn what works in their particular market and often are a little behind the actual trends due to not properly learning to track and adjust.My suggestion when it comes to education to use all the resources available including those that come with little to no costs. When you are becoming educated on how to set up a proper marketing plan complete with tracking and adjusting, then I would make sure I was a part of a local real estate investors association so that I am always up to date with the latest marketing techniques.PLANNINGWhen I talk about planning and marketing, I mean to process of laying out the actual strategies you are going to use to market your business, the time frame you are going to use those strategies, the way you are going to track those results and the possible adjustments you are going to make as your results come in on your plan. One of the biggest mistakes that we see today in the real estate marketing world is not a complete failure to plan, but a failure to lay the full plan out from beginning to end. That being said, here are a few tips to properly develop a plan.1. Know what you are currently doing and what results you are currently achieving. Even if the answer is that you are doing nothing, you can not work on where you are going if you do not know where you currently are starting from. You should be able to pinpoint today any marketing you are doing and the cost of that marketing as well as any results you are seeing.2. Know what results you are looking for before you begin. So once you know where you are starting from, the next question is were are you going? Lay out concrete results you want to achieve and be specific. One of the glaring mistakes in this area is not being specific enough. You cannot track abstract goals. Your goals must be specific and detailed so that you can verify if you are achieving them. An example would be a specific number of new leads you want to bring in from each marketing source.3. Give yourself set time frames to test your marketing. This is definitely the second biggest problem for real estate marketers and most marketers in general. Marketing plans must be given time to take shape and develop. Most real estate marketers are developing marketing plans which are call to action in nature. They are asking their target audience to take a particular action so that they can capture that action and develop a new lead. An example would be to “Call Today to Sell Your House Quick!”. This is a call to action marketing phrase. Often times, there will need to be multiple impressions of that message before the action is followed. Failing to plan a specific amount of time such as 60 days or 90 days, leads to a marketer stopping his action before his target audience responds. If you allow your plan to last longer and stick with all of your marketing pieces and techniques longer, you give yourself a greater chance for success in the long run. It allows for you to see over a longer period of time the results you are getting and that provides a clearer picture of what works and what does not work. DO NOT quit marketing after a couple of weeks simply because your phone is not ringing off the hook. Set your time period on the front end and then let your marketing plan work.4. Failing to get input from other experts can be costly. If you have access to other real estate investors, I would definitely get their input on your marketing plan before implementation. If they are able to give you advice and direction it can often times help you to figure out the best route to take or at least if you are on track for success. If you have taken your time and all the steps necessary so far to put together a quality plan, then take advice from other experts, but do not be persuaded to change everything. Simply let others take a quick look for feedback, but be prepared to move forward with your plan and any adjustments they think would make a difference.TRACKINGTracking means having a way to actually follow and measure all of the marketing activities you are doing and the number of results each gets you. Here are some examples of the things that real estate marketers need to track for every marketing action they take.1. What are the total number of leads generated per marketing technique tracked daily, weekly and monthly.
2. How many of those leads turned into qualified prospects daily, weekly and monthly. (qualified prospect means you were willing to invest more time to develop the lead)
3. The number of offers made to purchase property daily, weekly and monthly.
4. The ratios of offers made to where the original lead came from.I am going to insert a quick note here to make sure everyone understands exactly how to track. It is not enough to simply know how many calls you are getting or how many leads are generated or how many offers or deals are being done. When you actually purchase an investment property, you MUST know where that lead came from at the very beginning. Tracking ratios is extremely important to this. It is important to be able to track and measure not only the leads but the quality of those leads. You can have one lead generator that gives you a majority of your leads and another that gives you a majority of your transactions. It should be obvious that you would want to spend more time and resources with the marketing technique giving your more transactions unless you are in the business to simply feel busy and not necessarily to earn a living!5. What is the cost per lead generated, per marketing technique daily, weekly and monthly.6. What is the average income generated from each transaction generated by each marketing technique daily, weekly and monthly.When you are able to track your business in this way, it makes it much easier to make adjustments as you go and it definitely gives a clearer picture of how well you are spending marketing dollars. Often times, as legendary basketball coach John Wooden would say “we mistake activity for productivity” The entire reason for developing and implementing a proper marketing plan is so that we can determine what works, what does not work and what changes we need to make so that we are spending the fewest dollars possible for the greatest impact and result. If we fail to implement any part of this type of marketing plan, then whatever success we achieve cannot be measured against any activities and therefore cannot be duplicated.I am a big proponent of education and immersion as the best learning tools available and I believe that when it comes to marketing, it is simply too easy to learn the proper way to plan and track. When you have the basics down and solid plan to follow, success will follow.

Toronto Real Estate Market – Real Estate Marketing

Toronto Real Estate Market – An Overview
The Toronto real estate market, much like Canadian winters, can feel like a harsh environment to navigate for the average Joe. With tougher federal mortgage laws introduced in January 2018; many homeowners have literally been priced out of the market, and existing owners have found their property values sticking in neutral or falling with an average loss of 4 percent.With property no longer feeling like a guaranteed investment, we take a look at what has been happening in the Toronto real estate market to lead to this downward trend and how is the wheel of fortune likely to turn over the next 12 months?Mixed fortunes
In recent years property prices have risen exponentially across the GTA, and although this has been a delight for many sellers, it has been a double-edged sword in that fewer people have been able to afford to get onto the property ladder. Those who did buy when the price was high then found their mood falling along with the inevitable decline in market prices as well as those who presumed their home was a stable investment for the future that would only keep increasing in value. There are those of course who are now hoping for a crash to put a definite end to what has felt for many inhabitants as Toronto’s housing affordability crisis, but it is more likely that the market will continue to stabilize with a few bumps along the way during 2019.New federal mortgage laws
In line with the country’s intentions to limit the amount of debt that the population and financial institutions took on; new federal mortgage laws introduced on the 1st January 2018 meant that Canadians getting, renewing or refinancing a mortgage could find themselves having to complete a “stress test”. This is in order to prove that they would be able to cope with interest rates substantially higher than the contract rate. This was relevant even for borrowers who had a down payment of 20 percent or more and was yet another tweak in what has felt like a long line of regulatory changes to actually get on, never mind being able to climb the property ladder.Priced out of the market
These changes affected roughly 100,000 of Canada’s population with half of these still being able to make a purchase other than what they had originally planned and the other half giving up altogether. So, although many people rushed either to buy or sell and upgrade to a property that they would not be able to afford when the new regulations came into force, many people found themselves priced out of a market that they could not afford to enter on paper. This is true even if they felt they had the financial means to do so or would have met the criteria set in previous years.Buying your way back in
The inevitable rise in property prices across Canada was also seen to reach dizzy heights in the Toronto real estate market but what goes up must come down, and these tougher mortgage laws saw the market begin to balance out during 2018. This trend looks set to continue during the spring of 2019, and it is this news, along with February’s announcement of thousands of newly-created jobs that is providing hope for those wishing to buy for the first time or move higher up the property ladder. With 665 new home developments also taking place in Toronto; it literally could become a buyer’s market.Snowbound
Although Ottawa and Montreal are beginning to see signs of renewed growth and hotting up, Toronto’s real estate market is still generally said to be on the cool side at present, and the literal coolness of the weather hasn’t helped either! A particularly harsh winter has made prospective buyers think twice about even being able to make property viewings and as it takes a while for the snow to thaw so will it take a while for the gradually warming spring temperatures to melt the “froideur” in the Toronto real estate market. More home listings are expected to appear on the market over the spring and summer months, perhaps bringing a modest increase in prices. But, with many other variables affecting real estate trends including elections and the economy; it could be that the Toronto market will neither be firmly in favor of either the buyer or seller but rather your own individual circumstances. Some people will, therefore, be winning, some losing and some breaking-even financially.Luxury properties
The demand for luxury homes and Condos IS expected to increase and as demand usually comes with an increase in prices; those selling these styles of properties look to be definitely in the winning camp. The average price of a luxury house is expected to reach $3,691,700 within the next twelve months and $2,390,405 for a condo.Interest Rates
It is not expected that the bank of Canada will increase interest rates more than once this year, but in the same vein, this means that they are unlikely to fall either. The rate is currently 4.375 percent for a 30-year fixed-rate mortgage but with mortgage rates remaining the critical factor in determining the affordability of a home purchase; keeping a close eye on the rate of interest is literally in a buyer’s best interests!Greater Toronto is a Land of hope
Although homeownership rates dropped in Canada for the first time in 45 years in 2018; it is still a country that has one of the highest homeownership rates in the world. More than 40 percent of households under 35 own their own property, and although Toronto is considered to be one of Canada’s least affordable markets, there is still opportunity and hope in the real estate market to make a good investment.Need for a Good Real Estate Lawyer in Toronto Downtown
Finding a good Real Estate Lawyer in downtown Toronto is equally as important as a find a good property to buy in Toronto. Some Lawyers provide great service but charge an arm and a leg for the transaction. Some Lawyer advertises their legal fees as the lowest but their service is equally the lowest in the market. Transparency in Legal Fees structure is one of the main issues with Real Estate Lawyer Fees structure in Toronto Downtown. The only Law Firm stands out from the crowd is Shaikh Law Firm because they have posted their Real Estate Lawyer Toronto Fees on their website. Their reviews suggest that they are transparent, honest and provide a good service. When this article was being published in 2019 Shaikh Law is ranked among the three best Real Estate Lawyers in Toronto, along with Jonathan G. Griffiths and Jay Teichman. Jonathan and Jay’s quality of Legal Service is great but their legal fees are significantly higher than Shaikh Law Firm.How to Choose a Good Real Estate Lawyer in Toronto Downtown
Before you hire your Real Estate Lawyer you should ask the following Questions;1) How many transactions the Real Estate Lawyer completes in a Month?2) How long has the Lawyer been practicing Real Estate?3) What is the Fees Structure and can the Lawyer give a written Quote without any hidden charges?You should always do your research online, ask a friend for any recommendations. It is important to note that your Realtor recommendations are always biased because they usually get kickbacks for recommending a Real Estate Lawyer. Therefore do your own research before you hire anyone. It is always recommended to call up the Real Estate Lawyer in Toronto for a Free Consultation to review your transaction before you engage anyone.

Good Real Estate Market Or Bad? – Real Estate Marketing

So you want to check out the real estate market, but you don’t know what to look at. You hear all sorts of stories about foreclosures, dropping home prices, lending problems, and the like. In fact, you are pretty sure it’s a bad market, right? NOT!There are five (5) key statistics you need to look at to get a simple, but strong view! They are ‘Home Sales’, ‘Median Price’, ‘Inventory’, ‘Mortgage Rates’, and ‘Home Affordability’. These will paint a nice picture of what’s really going on.From 1999 through 2005, home sales rose from 5.2 million to 7.1 million. Starting in 2006, home sales starting dropping, and in 2009 we were back to 2005 levels. This is what is known as a ‘Market Correction’. If you were a home owner, and trying to sell during this period, you know exactly what this is. If sales are down, usually that means prices are down as well. However the real story lies in the fact that from 2008 to 2009, home sales rose by 300,000 homes. Out of the slump? Well, let’s look further!Median home prices dropped in 2009. In 2008 the median home price in America was $198,000, and in 2009 it dropped to $174,000. Not good, but explainable! For one there was a huge surge in distressed properties, which sell for 15% to 20% less than market value. Also, there was a huge influx of new home buyers, due to the government tax break, and these are typically lower cost homes. Lastly, there was a huge slowdown of high-end homes because jumbo loans became almost non-existent. So factor all this in, and the drop is very understandable! Bad market? Let’s look further!The saying goes, if there is five or less months of inventory (number of homes on the market divided by the number sold), then it’s a seller’s market. Anything at six months or higher, it’s a buyers market. From 2003 to 2009, a span of seven years, we only had three seller’s markets, 2003, 2004, and 2005. 2009 has a nine month inventory, down from eleven months in 2008, ouch! The only thing to remember is that one half of the market are buyers, and the other half is sellers. An inventory of eleven months is darn good for buyers, half of the real estate market! So what’s my point, it’s always a good market, it only depends on what you are doing, buying or selling! So, is it a bad market? Let’s look further!Anyone buying today, and financing, it is a tremendous market. Money is cheap these days, and history points this out. The trend is down, all the way from 10% in 1989, to now under 5%! No if, ands, or buts about it, the mortgage market is the best it has almost ever been, certainly the best over the last twenty years! So, is it a good market? Let’s take a look at the last, but not least, category – affordability!Can you afford a home? Not a bad question if you’re getting into a mortgage. In fact, you really don’t have to do anything but give your lender all the facts, and loan guidelines will tell you what you can afford. Simply put, it’s a ratio between what you make, and what you spend. But there is a measurement for this, over time, and it’s called ‘affordability’. Affordability in the U.S. measures the ability to purchase a home. It’s the amount of a median family’s income consumed by the medium mortgage. In 1981 it took 36% of the family income to pay a mortgage. In 2009, it took only 15%, and this is a historic low!If you are going to measure whether it’s a good real estate market or not, which of the above factors is important to you? Sure home sales are down, but beginning to rise again, so what! Median prices are down, but rising again, so what! Inventory shows us it’s a buyers market, so what! But, no matter if you are trying to sell a home, or buy a home, the major factors are interest rates, and affordability, right? It makes sense that if you’re going to sell a home, you want low-interest rates, so a potential buyer can by your home. The same goes for affordability. In fact, the same reasons apply to both sellers, and buyers.The word: It’s a great real estate market, right now! Tell everyone you know!Information on this article came from ‘The 5 Statistics Every Agent Should Know’, A Keller Williams Market Navigator, Vision and Opportunities publication.

The Number 1 Secret to Real Estate Marketing – Real Estate Marketing

Real estate marketing is similar to a hurdle you have to get over so you can take your business to the next level. When you uncover the number one secret to real estate marketing, it is a hurdle that becomes much easier to tackle. The number one secret is that you have to identify who your ideal clients are before you can start marketing your business to them.Pick Your NicheIn order to have effective real estate marketing practices, you first have to remove the thought from your head that everyone has a need for your service. In reality, an effective real estate marketing strategy requires you to focus your marketing on a specific target market. A target market is the group of clients that is most likely to buy homes from you.Some of the most popular real estate marketing niches are:· Generation Y· Specific neighborhoods· For Sale by Owners (FSBOs)· Baby Boomers· Luxury homebuyers· Single women· Empty nesters· First time buyers· Second/Vacation homebuyers· Relocation buyers· Ethnic/Minority group buyers· ExpiredsSee it through Their EyesView your service through your clients’ eyes. Identify the class, category and type of person or group that uses the real estate expertise you possess. If you already have existing clients, then it is typically easier to identify their buying habits. You can use the existing base of clients to gather additional information as to why they work with you as a real estate agent. You may find the information useful in prospecting your next client.Study Your CompetitionReal estate is one of the most competitive professions, so you have to get an edge on your competition. You can even learn how to gain a competitive edge from your competitors. Identify how your competition is attracting their clients. Study the information competitors share on their websites. Take note of the design of their marketing materials, brochures, postcards, self-mailers, print ads and home descriptions. The type of clients your competition is attracting helps you to identify the clients you can attract too. During your study, identifying groups the competition doesn’t cater to can even be a market opportunity for you. You can to supply the untapped group with the real estate service they need.Apply What You KnowIdentifying one or more niche areas is just the first step; now it’s time to really get to know your clients. For example, you also need to find out the age, interests, income level, professions, and hobbies of your niche. Identifying these details helps you create a comprehensive client profile. Once you know exactly who your clients are, then you can craft marketing messages that resonant with the ideal clients you have in mind.You can even turn existing clients to generate client data. Keep track of the people who open your marketing emails and e-newsletters. Record the links they click on from your emails and who calls you and ends up becoming a client. Analyzing the marketing statistics you compile assists in creating more effective marketing campaigns. You can apply your findings to improve existing marketing campaigns and to create more effective marketing messages in the future.The perfect niche is the group of clients who have an existing need for your service because they are the most likely to listen to what you have to say. You don’t have to convince them to buy your service because the need already exists.