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Market of the Moment: Baby Boomers!

4/28/2023

Did you know that Baby Boomers - those born between 1946 and 1964 - were the largest group of sellers in the last twelve months? It’s true! In fact, a whopping 52% of homes sold were owned by those between the ages of 59 and 77!

Targeting this group is smart for a variety of reasons. They are less likely to be affected by market conditions, and their “why” is significant to them - and often non-negotiable. They are motivated by achieving a sense of security, better mobility, and being closer to friends and family members. While some may stay local, others will move to states that offer a more comfortable cost of living and moderate climate and will seek communities that provide resort style amenities and better healthcare.
These sellers are typically buying as well, which provides the opportunity for additional transactions and/or referrals.

Before you say yes to this pillar, ask yourself if you are wired and willing to be patient, compassionate, and highly hands on. You will need to commit to the Platinum Rule - treating them the way THEY want to be treated, without resentment or hostility - especially when it comes to communication (stop texting!), contracts, and property preparation. You will be required to do more and be more - but you are also likely to EARN more. If you don’t have a heart for working with Seniors (and potentially their family members and attorneys) this may not be the route for you.

If you don’t want to see this ENORMOUS opportunity pass you by, here are the top 10 considerations and things to do so you may master this niche!

Earn a designation. The SRES designation is one that actually means something to consumers and makes you more valid. You’ll learn about the generational characteristics of demographic groupings in the 50+ market, retirement in the 21st century, housing options (including active-adult communities, aging in place, and assisted living), finance, tax, and legal considerations, marketing strategies and counseling methods, and how to develop a team of experts and service providers for 50+ clients. This 12 hour course is available online and your $295 investment is a bargain!
Know where they are likely going. Perhaps you’re seeing new 55+ communities going up in your market; maybe you’re hearing about people moving to the Carolinas, Florida, Texas or Tennessee. In addition to what you may be noticing or hearing, you’d be smart to pay attention to census data and bookmarking How Money Walks. Green states are gaining residents and tax payers; red states are seeing a decline in their population. TIP: seek to gain referral partners where people are leaving or going!
Understand their buying and selling habits. Each year NAR publishes the Generational Trends Report and if you are smart you will read it and consistently refer back to it. Boomers choose agents, search for homes, and finance them differently than their younger counterparts. Understanding how they think and act will get you more quickly into rapport and better manage expectations - yours and theirs!
Partner with a Reverse Mortgage Professional. Did you know that a Baby Boomer can purchase a home using a reverse mortgage and have NO payment? That a divorcing “silver” couple can split proceeds from the sale of their marital home and purchase two more - or have one spouse stay in the home - without having to give up what they want to live comfortably? It’s true, and it’s a powerful option. Your knowledge will make you stand out and be a hero to many. Not every company offers this product, so it’s important to find a specialist. Together you can co-market, meet with influencers, and provider solutions to sellers and buyers.
Build a Transition Team. You’ll enhance your unique value proposition and be more appealing to prospects and influencers if you can provide the services and professionals needed to make a move easier. These sellers may have spent dozens of years in their home, and many things may need to be done in order to make it show ready. Your team should include an interior/exterior cleaning crew, an estate sale company, haulers, a handyman, a painting contractor, and a landscaper. Add to your team with a stager, an organizer, a storage provider and local charities who will pick up no longer needed items. For bigger jobs, be ready to contact a reliable plumber, electrician, and HVAC contractor. A kitchen and bath contractor should be a part of your list as well!
Target influencers. Baby Boomers are the most likely group to be in relationship with attorneys, financial planners, retirement specialists, and insurance providers. They will call upon them for advice and ask them for recommendations - especially if a real estate agent is required! Are you the one who will be recommended? Build a list of those you need to know. TIP: ask your current SOI for their recommendations and mention their names when contacting these professionals.
Create a Baby Boomer mailing list. By building a targeted list based upon age, length of ownership, and mortgage/equity status, you can introduce yourself to prospects and deliver relevant messages that promote your UVP and make you stand out among a sea of agents who likely aren’t committed to this niche. One great resource is PropStream.
Build your investor list. Illness, property condition, financial distress or privacy concerns may lead some sellers (or their heirs/representatives) to express interest in a quick off-market sale. Identify 3-5 investors looking for opportunity and confirm that they have the ability to close quickly on the right property. Your value will rise with sellers and influencers and you’ll create more loyalty with the investors - hopefully leading to earning their listings. Don’t skip this step!
Create and deliver the right content - to the right people. You’ve created a mailing list - now send mail. Letters, postcards, newsletters, and handwritten notes are more likely to be read, saved, and appreciated by this demographic and those who serve them. Social posts remain important, but be smart about it. Facebook is the preferred platform for Baby Boomers; for their children, it may be Instagram or TikTok, and for their influencers (attorneys, financial professionals, etc.) it’s LinkedIn. Where you post should dictate the tone and style of your message; always consider the language and phrasing that will resonate. You’ll also need collateral specifically designed for influencers - a 4 page, full size brochure sent with a cover letter is a great way to get your foot in the door. Use this to specifically promote your work and results within this niche and be sure to include recommendations and endorsements from others!
Network like it’s your full-time job. There are plenty of business owners and service professionals looking to get in front of the same people you are. Seek them out, engage, and ask how you can help them. Chamber committees and professional networking groups will increase your validity and the likelihood you’ll earn referrals. Can’t find a group? Start your own. Join an organization like the Rotary or Lions club - their membership trends older - and dedicate your time to their efforts. Get to know the admissions staff at every assisted living community in your market and offer value. Visit every new home community designed for the 55+ crowd and introduce yourself to every salesperson and employee. Host events like a quarterly mixer for small business owners and invite them to bring someone along. Sponsor senior bowling and pickleball tournaments and engage with participants. Teach a non-credit class - along with a estate attorney, retirement specialist/financial planner - at your local community college or senior center. Get the idea? Don’t assume your targeted audience is sitting at home; they are out and active - and you should be, too!

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You Can Do It YOUR Way!

9/30/2020

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I've just returned from a five day trip where I spent time consulting with a rapidly growing and highly successful team. They are enormously talented, high-minded, and committed to a culture of teamwork, trust, and collaboration.
Sunday I was included in a team building exercise - axe throwing - and it was a new experience for me. I'm not gonna lie, I was a bit intimidated and downright scared, imagining myself dodging flying weapons and worse, failing to make contact with the board!
Look closely at the picture. I made contact and I scored three points - woo hoo! - but notice I did it with the handle, not the blade! Apparently this was a first and in that moment I thought "well of course it happened like this - it's the story of my life."
I've always been the woman who says "judge me by my results, not my methods", much to the aggravation of the bosses, managers, and leaders I have reported to over the years. I have always found pride in accomplishing my goals differently than others do. Why is there so much emphasis placed on doing things the "right" way? Who's in charge of your business anyway?

I sold a lot of real estate when I got started in the business and the truth is I did it without ever making cold calls, knocking on doors, or sitting floor time for my broker. In fact, I was largely ignored and ran on instinct and intuition, choosing to do what felt good and comfortable to me. However, my feet did hit the floor each morning with intention and here's what I learned: you'll never be happy - even if you make a lot of money - doing the stuff that you hate. You simply need to engage in a number of activities to discover where your time and efforts are best spent. Once you do, be all in!
I have carried this belief into my role as a coach and consultant. You possess your own magic, secret sauce, and value proposition, and I believe it's my job to help you discover where your strengths lie. Mediocrity and the same old, same old doesn't create significance and doesn't set you apart. Be you, Boo! Our industry and your market needs what you've been divinely designed to provide!

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I Want You to be Wealthy

6/30/2020

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Over the last few weeks I've had some pretty significant conversations with people that have centered around money, and I have to tell you that I've really been struck by the emotions and feelings that seem to go along with it. Guilt. Fear. Regret. Intimidation. I'll be the first to admit that my relationship with money has always been rather - what's the word? - interesting. I've been earning money since I was 8 years old (no lie). I was a kid who experienced poverty, hunger, and neglect, never learning to be very comfortable with abundance. Too much food, too much money - too much was too much! But on the flip side, I've been forever blessed with knowing that I always land on my feet, I'll always make money, and that my needs will always be met. I used to say I was cavalier in my attitude regarding money; now I say that I am confident. There is plenty. There is power. There is a purpose. I don't have a million dollars in the bank, but I am wealthy, and I want you to be wealthy, too.

Wealth does NOT come from what you earn or inherit or marry...wealth comes from what you do with what you have.

For the remainder of the year I intend to weave some wealth-related content into this blog, because here's what I'm seeing:

Too many agents reducing their incomes voluntarily, either from a place of scarcity or from this overblown sense of responsibility to "help" others. Where does this need to unnecessarily sacrifice yourself come from?
The failure to recognize that income = impact, and it's a reflection of the lives you change. There are huge numbers of people in your market who need your help, and if helping people is truly your goal, shouldn't you be earning an income that reflects that you're doing it?
Limiting beliefs that are expressed with statements like "I've never been good at that"..."I don't want to be greedy"..."I'm not sure I deserve this money". Newsflash: we were all designed for abundance, joy, and prosperity. Anything else you may be telling yourself is bullshit. Think about what you can DO with the money you earn - help others, support a cause, change the world!
The inability to share what you've earned and spent this year! If the only number you are tracking is the sum of the commission checks you've collected this year, you're going about this all wrong. You own a business. Cut it out.
Missed opportunities to leverage, invest, and learn. Paying others to do low level stuff isn't an expense. Cash in the bank (or under your mattress) isn't working for you. Avoiding the webinars and classes and discussions that can change the way you think and work keeps you small. Can we agree it's time to reconsider?
No vacations, no downtime, no big dreams or vision...what the heck are you doing this for? Remember - we work to fund our perfect life; to take the trips, buy the boat, build the house, create a legacy. Create clarity, cast a vision, and allow your dreams to motivate you.

What you do is VALUABLE work. Your market needs you. Let's get to work!

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This is your Two Minute Warning!

6/22/2020

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We are just eight days away from the end of the second quarter of 2020, so we might as well call this your two minute warning. What you do between now and June 30 - what you complete and what you plan for - is critical. Is your head still in the game? Are you committed to finishing strong?

I KNOW that you can crush the next six months of the year, because so many factors are in your favor. Buyer demand is up 25% from pre-pandemic levels. Rates are expected to remain low - and get even lower - in 2021. People will relocate for jobs. Empty nesters are likely to accelerate their moves, particularly south. As always, homes owned by the dead, the dying, the divorcing, and the broke must be sold regardless of what's happening in the world.

So listen up: the only thing standing between you and what you want to accomplish this year IS you. It's easy to blame Covid, politics, and the economy, but the truth is that the best agents tend to increase their business during times like this, because they earn the market share abandoned by those who furlough themselves.

Here's how to create your half-time report and get your bottom line goal number:

Gather all 2020 first half information - what you sold, what you spent. Calculate your personal stats - DOM, SP/OLP, average listing commission, etc. How do these numbers compare to your first half of 2019?
What was (is!) your GCI goal for 2020? Calculate your percentage to goal. Are you still committed?
Subtract from that outstanding (meaning "TBE" or "to be earned") number any pending sales/GCI you have - provided you are certain they will close.
Evaluate your current active listings; calculate your likely GCI, and subtract that from your TBE number.
Evaluate your pipeline. How many "A" level buyers (pre-approved, must purchase, and desire to have keys in less than 60 days) are you working with currently? Monetize them. Calculate the potential GCI and subtract that from your TBE number.
The remaining number? Reverse engineer it to calculate how many well prepared, well presented, and well priced LISTINGS you must bring to market before on or before November 1.
HE (SHE!) WHO EARNS THE LISTINGS THRIVES! You are certain to sell your listings and spend far less time servicing the client. Buyers, on the other hand, require more time than ever due to the competitive environment. It's stressful, too - you are having to manage not only their expectations, but also their emotions and disappointment around losing out in bidding wars. Still want buyers? You'll attract them when you earn and leverage your listings!

You've got this - so go hit the field and play your best second half!

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