The Power of Data
This is not a boring data conversation we are having today. Having the right data is crucial to understanding your market and your business success!
This week I want to talk about data - yes data! This is not a boring data conversation we are having today because having the right data is crucial to understanding your market and your business success!
When you research and you begin to uncover and understand data - whether that is new construction starts in your area or how pending homes have changed from month-to-month, or how your town is updating its comprehensive plan - you will discover new opportunities for your business. Suddenly that data has come to life!
Having information has become one of the most powerful tools in our industry. This past year we have seen more changes in our industry to do with housing, mortgage rates, building, zoning and re-zoning, density, middle-housing, ADUs, and more. The list just goes on and on! Knowing the data that is behind these changes is your secret weapon. Whenever I am able to take data and research and bring it to life for my clients. When they can be at the forefront of these changes and benefiting from that knowledge, that's what gets me excited.
For example, five or six years ago I was in front of my Encore coaching group that I mentor and I had noticed that there had been absolutely no pendings in the 2-million and above market. Now there had been no pendings because there was a glut of inventory and things were overpriced. As I started watching the market there, I noticed something interesting - there was an uptick in pending numbers beginning. I mentioned this to my coaching group and told them that these properties which had been on the market two, three, even four months, would be pending in the next month. Some of my clients didn't believe me. A month later, at our next meeting, those properties had pended and my agent-clients asked, "How did you know that?" I knew it because I had been tracking these numbers on a weekly basis so I knew, that was not the time to push for a price reduction, that was the time to hold steady as the market rose to meet the demands of sellers. What a great opportunity for those sellers!
Again this year I am teaching my State of the Market class. Ever year the content is incredible and this year we are taking it up a notch again. In addition to trends, new construction, and resale, I'll be discussing HB1110 and HB1337, middle-housing, ADUs, how cities are changing their comprehensive plans and infrastructure - changes that are going to have important impact on your clients and your real estate business.
Now, if you are wondering comprehensive plan changes are important, knowing which direction your local government is leaning and why creates opportunities for you. For example, some years ago I was present at a city council meeting and they were discussing annexation of a local neighborhood. I was working with a gentleman who owned a large piece of property in that area that he wanted to sell to a developer, but had held off because he believed that the city would never annex it. Having that data meant that I could go to him and be the one to tell him that annexing the area his property was being discussed. No other agent was communicating this valuable information to him, only me and only because I understood the value of being informed by city council meetings. When the time came to sell, I would be the first person he thought of to help him with that important transaction.
So, get involved! If you don't know what a comprehensive plan is, find out. If you're not sure how your city's planning is coming together, get involved. If you don't know how their decisions are going to affect you and your clients, be present! As a real estate professional, your voice and expertise is valuable to your local government. I highly encourage you to get involved.
And I highly encourage you to join me at State of the Market this year. It's going to be three packed hours of incredible information and you are going to feel way more prepared for 2024-2025 when you attend this event. The next few years are going to be pivotal years for real estate and you want to be at the forefront of that!