It’s a new year, and that means it’s time to set goals and identify strategies that will help you succeed. You know that success requires planning. But, do you know what to plan for 2016?
Whether you are a real estate agent, homebuilder, and other housing industry service provider, the growth of your business relies on your understanding of market trends.
Demographics of home buyers in 2016
Realtor.com® is forecasting a healthy real estate market that will be driven by new construction and reach the highest level since 2006.*
According to Jonathan Smoke, chief economist at Realtor.com, three distinct segments of home buyers – older Millennials (25-34 years old), younger GenX’ers (35-44 years old), and retirees (65-74 years old) will account for the majority of the six million homes sold in 2016.
- Millennials are expected to make up the largest demographic of home buyers, and will seek out homes that meet the needs of their growing families. They most value the safety of the neighborhood and the quality of the home.
- Young GenX’ers will make up the second largest population of buyers. They will be moving out of a starter home into a larger home or more desirable neighborhood.
- Individuals or couples – aged 65 to 74 – are expected to make up the third largest home buying segment. This age cohort has a very strong preference for newly constructed homes and their ability to customize their home.
Your business plan should address strategies for capturing business in the three demographic segments. This is especially critical when planning your 2016 marketing activities.
Marketing to match the preferences of home buyers
The 2015 NAR Home Buyer and Seller Generational Trends study showed that 88 percent of home buyers of all ages used the Internet to search for properties. Millennials were the most likely to use mobile or tablet applications, and mobile or tablet search engines during their search**.
Clearly, your plans for success need to include digital and mobile marketing elements.
Here are a few ideas to consider as you review your digital marketing strategy for 2016***.
- Your website should be up-to-date and mobile friendly. Google’s search algorithms now put a significant weight on the “mobile friendliness” of sites.
- Don’t forget Bing and Yahoo! Although Google may seem ubiquitous, about one third of search volume nationwide is done using Bing and Yahoo!
- Review your Facebook business page and activate the latest Call-to-Action functions that enable people to contact you directly, request an appointment, sign up for your newsletter, or watch your videos.
- Make use of the latest Twitter marketing features which now includes group messaging and other time-saving capabilities.
Predicting the future can be tricky. While it promises to be a great year for residential real estate, professionals know that – regardless of the market environment – long-term success is all about helping home buyers and homeowners.
At Gibraltar Mortgage Services, we want to help you succeed this year and every year. Now, that’s something you can definitely plan on!
* Realtor.com® 2016 Housing Forecast Predicts Healthy Market with New Construction Driving Highest Level of Home Sales Since 2006. Realtor.com. 2 Dec 2015. PRNewswire. Web. 3 Dec 2015. http://www.prnewswire.com/news-releases/realtorcom-2016-housing-forecast-predicts-healthy-market-with-new-construction-driving-highest-level-of-home-sales-since-2006-300186709.html
** NAR Generational Survey: Millennials Lead All Buyers, Most Likely to Use Real Estate Agent. 11 March 2015. Web. 2 Dec. 2015. http://www.realtor.org/news-releases/2015/03/nar-generational-survey-millennials-lead-all-buyers-most-likely-to-use-real-estate-agent
*** The Status of Real Estate Marketing for 2016. ModGilrMarketing.com. 24 Sept. 2015. Web. 3 Dec 2015. http://www.modgirlmarketing.com/status-real-estate-marketing-2016/
Dec 28, 2015