Fact or Fiction??? If We Don't sell it, We'll Buy It
As a 20+ year real estate veteran and having served corporately as a Managing Broker...I know all the in's and out's in real estate. I have combined my real estate knowledge with my college marketing background to address a question I've been getting lately here locally...are those radio advertisements, "we'll list you home and if we don't sell it, we'll buy it" for real? Let's put it this way...they may have bought 1 or 2 in multiple years of using this marketing platform, but nearly 99% of the unsold homes are not purchased. The main reason is the purchase would be considerably lower than market value and the seller has to have substantial equity in the property. A majority of homeowners don't have the equity required to make this a viable option and/or not willing to sell their home to the brokerage for a loss.
SOOOO...the ultimate question, Why do they advertise this special offer that RARELY happens? They are basing the marketing approach from one of the biggest real estate stats we hear everyday on training....nearly 80% of all sellers only interview one agent! If this gets them in the door, they are have pretty high chance to list the home. They present the seller 2 options, buy back program or traditional listing and obviously, with only 1-2 buy backs in multiple years, nearly 100% take on a traditional listing which they can do with any agent!
In marketing talk, the consumer takes the hook and makes the call hoping they'll buy if the house doesn't sell, when the plan is presented at the appointment, the what if's and details are presented, the seller passes on the 'Buy back promo", and seller says, 'Well, why you are here we'll just list it traditionally."
Now that you know the facts.....We'll buy your house if we don't sell it! Fact or Fiction???? You decide.
Stay tuned on how spending Mega bucks in marketing monthly really has nothing to do with marketing...