One of the most important ways you can serve your clients is by providing market information in the form of statistics relevant to your particular market niche. This way you can help your clients understand actual real-time market dynamics that affect property sales prices, inventory, and closed sales. This is a great way to manage expectations and get results. Know your real estate stats and convert more leads. Following are the real estate statistics you need to know:
EXPLAIN MARKET TIMING
Remember to explain that the data in these published reports is a lagging indicator, and not a real-time indicator. For example, closed sales reflects a period from several weeks to several months prior. This is a nuance that will affect in-the-moment pricing. A transaction that came together in January is not the same as one that came together in April. You must be able to explain the differences in the market dynamics at the time a contract is signed versus when the closing is recorded.
KNOW WHAT TO TRACK
Get to know the following data points for your particular market like the back of your hand. Know your real estate stats and convert more leads. These statistics include:
- Total supply of active listings on the market
- Total number of pending sales
- Median Days on Market
- How many new listings have come to market (in the last month, weekly)
- Pending sales — How many in the last month, how many each week, at what price points, the highest signed contract (and perhaps the lowest)
- How many closings per month
- Total number of off-market properties (monthly and weekly)
- Median Price
- Median Discount off listing Price
- Absorption Rate
- Market Pulse (ratio of pending sales to active listings)
PROVIDE GUIDANCE FOR THE REAL ESTATE “JOURNEY”
Knowing these statistics for your particular market niche will help you to intelligently advise your buyers and sellers. This is a vital step towards deciding what the next steps should be. Ultimately, buyers that are wanting to buy and sellers that are wanting to sell will be more inclined to use you for their real estate journey when they can trust that you are a professional who knows the market they are in. Knowing your real estate stats will help you to back up your market insights, provide valuable guidance to your clients, convert more leads and close more deals.
Now that you have your stats in line, use these key tips to market yourself more effectively in 2023.