With practically limitless sunshine, a wealth of opportunities, and an endless array of outdoor activities, it's no surprise that Calgary is one of the world's top 10 most livable cities. From cycling or hiking to river surfing on the Bow River or ice skating, outdoor enthusiasts can rejoice in all their favourite activities. For those seeking more refined entertainment, the city's vibrant arts and culture scene promotes music, theatre, and a variety of annual festivals. In an area that offers a little bit of everything for residents, it's not surprising that the real estate market in Calgary is in hot demand. Room for growth and an active labour market are attracting many newcomers to the area.
Whether you're a real estate investor or a property owner considering a move, the current market presents opportunities. Yet a strong seller's market doesn't guarantee your listing will perform. It's important to know your target audience and understand the nuances of the local market to get the most out of your real estate sale. This is where data collection and analysis come in. Using real estate data can help you develop an effective marketing strategy that speaks directly to your target audience.
Use data to target your ideal audience
Most home buyers under the age of 50 begin their home search online. Using these searches provides valuable data to help you understand the prospective buyers most likely to have an interest in your property.
Experienced realtors use data analytics to gain insight into their audience's demographics, interests, and financial status. In other words, they learn as much about potential buyers as possible. You can then use the information to craft an efficient marketing plan focusing on serious buyers. By narrowing down your target audience, you can significantly cut marketing costs that would otherwise waste time targeting buyers who won't have an interest in what the property offers.
Accurately price your property with the use of market data
While an active seller's market can yield high selling prices, supply vs. demand isn't the only factor influencing real estate prices. Real estate prices must reflect fair market value.
Real estate is a unique purchase since it's a product that is used over time, sometimes many years. Because of this, you may consider many factors to determine a property's value. Real estate agents gather data about local market trends, environmental conditions, broad economic trends, and other factors that can influence the value of a home. Additional data such as supply vs. demand, the ability of the property to satisfy buyer needs, and information about comparable properties in the area help indicate accurate pricing. Real estate professionals use the information to conduct a comparative market analysis similar to the appraisal process that the bank will later carry out.
Choose the right marketing strategies with data analysis
Your real estate marketing strategy requires a careful balance to draw attention to your property while maintaining your budget. Casting a wide net will attract more buyers to your listing, but they may not be the right buyers. Your property isn't the best fit for every buyer. Your marketing campaign should target individuals whose search criteria match your property to avoid wasting time and money. Data analytics can do more than help you find your target audience. It can clarify the best ways to reach shoppers.
By analyzing customer behaviour data, you can better understand the preferences of ideal buyers. Use the information to create personalized marketing campaigns that display relevant information on your target audience's platforms. Your resulting marketing campaign will be easy to find and highlight property features buyers are seeking.
Use metrics to make strong investment decisions
Prospective home buyers cite a good investment as the top reason for buying a home. Purchasing real estate is one of the most expensive acquisitions an individual will make in their lifetime. In most cases, property is a sound asset that will retain or increase in value. Yet all real estate investments carry risks. Markets are often unpredictable, and a property must sustain monetary worth over time to be a sound investment.
This is a more significant concern for real estate investors who purchase properties with the intent to earn income. It's not enough for investment properties to retain their value. They must also meet high-performance standards. Investors and the professionals they partner with use predictive data analytics to forecast a property's performance over time. To achieve this, they analyze historical sales data and compare it to current market conditions, along with information about local housing patterns. Residential real estate investors are likely to analyze data on vacancy rates, rental yields, and maintenance costs to understand the performance potential of a property.
Share relevant data with prospective buyers
Savvy home buyers discover as much as possible about a property before contacting the homeowner or seller's agent. Besides looking at available homes and comparing prices, shoppers seek to learn various lifestyle factors about local properties. Online shopper activity includes research surrounding general home information, directions, seller agent reviews, inventory, mortgage financing, and videos. Home seekers also research renting vs. buying, finding an agent, and the home-buying process.
When you use your listing to share relevant local data, you can help prospective buyers narrow down their home search. Some helpful facts to share include nearby amenities, population density, average income, walkability, local transit options, and entertainment opportunities. Many real estate agents take this approach a step further by posting relevant data in different areas on their websites. Agents provide a valuable resource for prospective buyers conducting data analysis and sharing information about local housing market trends, mortgage financing, and homebuyer assistance programs.
Partner with an experienced agent to elevate your real estate marketing strategy
Real estate data is a powerful tool to help you improve your marketing strategy. Yet as a property owner or a real estate investor, conducting this research on your own may be challenging. If you're interested in real estate in Calgary, partnering with an experienced local agent is the best way to create a strong marketing strategy. The McKelvie Group is a team of seasoned Calgary real estate agents passionate about helping clients achieve their goals. We bring a variety of data-backed offerings to the table to help you navigate all the dimensions of the complex local real estate market. Contact us today to learn more about how our team can help you improve your real estate marketing strategy.
*Header photo courtesy of Shutterstock
