WK In the Big Leagues - Part 3

This is Part 3 of our 3-part Interview Series. If you missed them, you can go back to Part 1 and Part 2. Or, if you're ready, move ahead to reading this portion.

We recently had an informative panel discussion with Elaine Collins, Jim Green, John Hoeffler, Sibyl Liedtke, and Barry Remington, some of WK’s top broker associates, about Boulder’s ongoing luxury real estate boom. Here are a few key snippets from this knowledgeable group of real estate professionals.

What do buyers and sellers in luxury price ranges expect from their Realtors right now?

Elaine Collins: For our sellers, it’s important to mutually agree on a plan that meets their needs. Right now, exceptional photos are so important, including drone photography, as well as immersive tours, and special shots staged to highlight unique features of the home.

John Hoeffler: I was involved in a number of transactions in 2021 over $1.5 million where the homes were to be scraped. In these situations, realtors really need to bring in-depth knowledge of that process to the table and be really comfortable with it in order to add value for these clients.

Barry Remington: Sellers expect us to make the process easy for them and help them take their home where they can’t take it themselves, so that when buyers walk in the door it’s crystal clear, and everything looks as good as possible. With multiple offers likely, they expect us to be able to communicate with the buyers’ agents and negotiate the best price for them. The seller’s mindset right now is that everything will sell for over the list price.

Many of our clients work for large companies, well known for their branding, so our brand has to be strong too. They expect “ultra service”, and access to our network of designers, stagers, cleaners, etc… that help to validate their design and décor choices.

Sibyl Liedtke: I agree, staging is always necessary. There’s always something that can be done to help the home really pop for the photos. It’s important not to wait, but to go in even before the stager and photographer to discuss with clients things that can be done in preparation. If you have a lot of advance notice about a listing you can have outdoor photography done to show what the home looks like in the summer.

Sellers also expect that we will assist with due diligence to research the buyers, their motivation, and make sure it’s the best option for the sellers.

Jim Green: Internet marketing is also so important right now. This is a huge factor in winning listings. Through our LeadingRE and Luxury Portfolio connections, I’ve received online inquiries from international buyers. As Elaine said, sellers also expect exceptional photography, including drones for larger properties, and also floorplans. Staging is really important, especially for that front entry presentation, so that the home is show-ready and we can put our best foot forward before that first person comes through the door.

Did your luxury sellers do anything different in the last year that affected their days on the market or the sale price they realized?

Elaine: It’s really important that our listings are “parade ready” – we want to wow people from the minute they walk in. Buyers make decisions in the blink of an eye about what they like and don’t like, and we want to make sure that everything in the home is ready for them. Cleaning, staging, it’s all important for the home to be completely ready for market so that our sellers realize the highest dollar in the least amount of time.

Sibyl: When sellers allow for “Coming Soon” marketing it can be really effective in generating excitement about the property with prospective buyers. However, I think “Exclusive” listings really do a disservice to sellers because it limits the pool of buyers too much.

The market continues to be competitive at most price points. What types of properties are NOT selling right now?

Elaine: One thing that makes a property challenging is a location that is not ideal. Also, structural issues, as they can be very expensive to deal with. And if a home is in very bad shape, it’s hard for some buyers to see past that.

John: During the first 12 months of the pandemic, I noticed a drop in the luxury market for attached homes. Many of these homes are 2^nd homes for people who temporarily stopped flying here for visits. But now, that market has completely rebounded.

Jim: There is a point at which even the most spectacular property won’t find a buyer. The pricing has to make sense.

When the pandemic first started, there was an unprecedented demand for luxury properties/second homes in resort locations. Are your clients still interested in these types of properties?

Elaine: We had clients from southern states looking for respites from the heat. We’ve also worked with clients that want to be closer to grandchildren, and it’s easier for them to travel for an extended visit while staying in their second home. Most of our clients are looking for more space in a 2^nd home, especially if they live in an urban area. They want their dream home!

John: Many clients already had, and were keeping, their second homes, so I didn’t see a big push for that. You do now see younger buyers, with cash, who are looking for second and maybe even third homes.

We know Boulder is not a ski town, but have you observed any out-of-area buyers looking to buy in Boulder as a quasi “resort”/vacation market?

Elaine: Some of the condominiums along Boulder Canyon are really nice as a second home. They are nicely sized properties, steps out the door to downtown and the outdoors, close to the Farmer’s Market and the bike path.

Have media outlets, TV shows, websites, social media, etc… influenced your clients’ decisions to list or buy a luxury home in 2021?

Barry: I think buyers are now more in tune with what the market is doing. We know they are watching shows about real estate. I think to some degree it helps them to prepare for the process.