As a developer, turning over the task of selling the homes you build is a natural part of the growth of your business. It’s simply impossible to continue to grow a development business if time is being split between project and sales management. Deciding who to hire to sell your project is an extremely important decision; your sales team can impact holding costs, buyer satisfaction and warranty claims, and should be able to offer you resources and support specific to new construction development.
Unfortunately, too often Developers trying to grow their business ignore their business sense and allow personal relations factor into their decisions regarding who to list with, often inhibiting the continued growth of their development business. To help ensure you are making the best choice for you and the success of your business, below are 10 questions to help you properly vet potential brokerages.
- Are you an individual broker or do you have a sales team?
- What kind of support and expertise can your sales team provide to help sales efforts?
- Do you have multi-family new construction experience?
- Will you be representing buyers and sellers of traditional resale transactions (a huge conflict of interest in determining availability and dedication to sales efforts)?
- What marketing capabilities do you have?
- Do you have a proven track record of successful pre-sales?
- Do you have experience working with General Contractors and suppliers?
- Are you knowledgeable of the entire development process and can you set correct expectations for buyers?
- Do you have someone who is willing and able to answer phones on evenings and weekends and to show listings at any time, with no notice?
- Do you provide development resources to me as the developer outside sales efforts?
At redT Homes, we know what the answers to each of the above questions should be, and we embody what a brokerage acting in your best interest truly means. When you list with us, you’re contracting with an entire sales team consisting of dedicated sales brokers who only sell new construction listings, which means they’re available at any time to answer calls and give guided tours at any point during construction. Combined with a team of support staff that includes a dedicated marketing department, development experts, transaction processing support, and much more, our sales team has support and resources available to them no individual broker or general brokerage can match. Everyone on our team has experience and expertise specifically relating to new construction; our in-house marketing can provide 3D floorplan renderings, 3D Modeling, and much more to help with pre-sale efforts to ensure you don’t bring a large number of units to market at once and end up competing with yourself.
Our brokerage has a history of presale success, at the time of this blog post, we have successfully presold 120 of our most recent 122 new construction listings over the past three years. Developers that work with us recognize us as a brokerage that not only has sales success, but can also help ensure their development success as well. The development resources we can offer, from budget modeling and historical construction cost information to management of Xcel Energy and entitlements frees up time for Developers to be seeking out their next deal- and did we mention we have an acquisitions department that regularly helps match Developers to potential land acquisitions?
Requiring answers to the 10 questions above will ensure that the brokerage you choose to list with is going to help you continue to grow your development business. Don’t settle for anyone whose answers don’t provide the assurance your business deserves.