Find a place that represents elegance and all the values of eternity.
High-net-worth Individuals (HNWI) are very sophisticated people yet very different in personality, traits and attributes. It is not only about nationality, worth, values or looks but to what they will see in you, as the broker. These clients are the ones with the cash. I will try in this article to navigate the steps of reaching out to HNWIs, marketing properties, and offering superior client service.
1) Getting to Know the Luxury Real Estate Market
Marketing Luxury Real Estate Learn How to Connect with High-Net-Worth Buyers
What Sets Luxury Real Estate Apart
Luxury real estate properties have higher prices than ordinary homes because of prestige, location, exquisite design, and particular features that distinguish these properties. HNWIs look for homes that conform to their rank and portray how they live; this makes it imperative to display homes with great value.
Why HNWIs Approach Real Estate Differently
Real estate thus assumed two roles: personal and strategic for HNWIs. Some see the property as more than just a place to live; they see it as an investment that can help diversify their investment portfolio and get some good tax benefits or even offer an inheritance for future generations. Others see it as a status positioning.
The Importance of Building Trust and Long-Term Connections
High net-worth clients, in particular, require much trust to work with . These clients are always very choosey about who they deal with and are highly confidentiality conscious and reliable. They equally appreciate the kind of relationship that you bring in alongside the property.
2) Understanding High-Net-Worth Clients and What They’re Looking For
What are High Net Worth Individuals?
The liquidity status of each HNIs differ. Usually, anyone with a net worth of 1M USD to 5M USD is considered an HNIs. Above that is considered UHNIs and VUHNIs. Usually, It spans those who are businessmen/women, celebrities or executives. Their reasons differ—however, most search for privacy, seclusion, standard, and appreciable value in a property.
Standard Buyer Personas in the Luxury Market
In the luxury real estate market, you’ll encounter various buyer personas, including:
- Investors that are searching for suitable investment outcomes in the form of good ROI.
- Investors who want unique or unusual homes for their collection.
- Traditional buyers who want to invest in units to leave behind for the next generations.
Knowing Their Preferences
Privacy, exclusivity, and quality are key concepts that have contributed to developing the presented business. HNWIs consider privacy and rent and/or purchase properties with secure entrances, large areas, or the property itself is secluded. There is also the aspect of quality, and customers target properties with the highest quality material, excellent technology, and quality design.
3) Showcasing the Unique Appeal of Your Luxury Property
Highlighting Exclusive Property Features that Matter to HNWIs
In targeting HNWIs, emphasis should be placed on features that range from technology, such as day/night control home automation, environmentally friendly homes, and architecture that ranges from modern to contemporary with facilities like private swimming pools, theatre and gym, among others.
Focusing on Investment Potential, Tax Benefits, and Legacy Value
It also revealed that luxury real estate can deliver high tax advantages and a good investment yield, which are major considerations for HNWIs. These aspects can accurately target a rationalized buyer with financial expertise, looking for an improvement in their life but equally an investment.
Building a Story Around the Property’s Unique Value
Like any other property, every luxurious property has a history, architecture, or even design, and all these make a difference. Create a story that will appeal to potential buyers, putting stress on the emotional and life changes that possession of such a house brings.
4) Crafting a Marketing Plan for the Elite
High-Quality Photography, Videography, and Virtual Tours
In the marketing of luxury real estate, high-quality visuals are very important. Use good quality photos and videos and even better 3D virtual tours that highlight the strength and individuality of the house. The hope with a well-done virtual tour is that HNWIs can browse properties no matter their location.
Selecting the Right Platforms: Where to Market to HNWIs
For luxury properties there is always a niche market. Traditional advertising might not suffice; try placing your property on premium property sites, luxury property magazines, and social media platforms that target luxury buyers.
Building a Network: Referrals, Events, and Luxury Circles
Building a Network
Networking is key. Become part of luxurious ceremonies and cooperation with other luxurious service suppliers, and use your connections to get additional orders. Self-employed professionals and other people with high social status invest, especially in working with those they know have been recommended by their friends or acquaintances.
5) Creating a Standout Client Experience
Taking a Client-Centric Approach
Luxury clients have certain expectations; extra attention should be devoted to the personal touch and customized for each client regarding their preferred method of contact and tours that will work for their schedule. Presumably, you should answer all their questions before they can ask them.
Ensuring Privacy in All Dealings
It is important to respect the privacy of its clients, particularly those who belong to the HNWI group. In all cases, any transaction should be done privately, and the extra mile should be gone to ensure privacy, either by using secure communication or conducting personal previews.
Establishing a Seamless Service
It is essential to deliver an effortless and stress-free experience. This means everything from organizing transportation to property viewings to addressing logistics issues professionally.
6) Mastering the Art of Negotiating with High-Net-Worth Buyers
Acting as an Advisor, Not Just a Salesperson
Of all the customer types, high net-worth customers prefer a consultant approach. Suggest various ideas about the property and its trends regarding the real estate market, and give a summary of the investment without putting force. They need an assistant to know the target and vision of the years- they don’t need a mere salesperson.
Offering Flexibility with Custom Financing and Terms
Here, flexibility of terms and financing can help give you an edge. Additional financing options or willingness to consider particular requests on the buyer’s part makes the deal more accessible and visually alluring for HNWIs.
7) Handling the Legal and Financial Side with Confidence
Understanding Tax and Financial Implications for HNWIs
Premium client services involve aspects of financial advice touching on issues such as tax; they are needed since premium clients usually need financial information concerning their investment plans. Get acquainted with legal traditions that impact real estate and taxes of buyers or even foreign investors, as well as estate taxes and tax credits connected with real estate purchases.
Working with Advisors to Provide Comprehensive Support
HNWIs always seek advice from a team of consultants, including lawyers, financial advisors, and accountants. Partnering with such people reassures the client of adequate support, which furthers confidence in your association.
Ensuring Smooth Transactions through Legal Expertise
It is essential to explain the characteristics of luxury real estate contracts and high-value transactions
Summing Up the Keys to Success in Luxury Real Estate
The ability to successfully sell properties and other goods to such clients involves identifying their lifestyle and investment profiles and developing appropriate properties; more importantly, it involves delivering a unique client service.
Emphasizing Adaptability and Client-First Mindset
It will help to be client-oriented and know about changes as they happen to serve clients as advisors better. Such a courtesy will enable you to outdo your competitors within the market, as clients will be receptive to your offers.
Positioning Yourself as an Expert for HNWIs
Expert positioning requires access to information concerning the trends and developments that define the market and has nurtured a network of contacts that trust one’s work. This way, you will become the point of contact for all the HNWIs seeking to invest in Luxury Real Estate.
Persistence and consistency are what will make a luxury consultant stand out. Building credibility takes time and knowing that you are selling and why is what will make you successful. Stand out from the crowd. Be unique like your client.
MOHAMAD RABIH ITANI
Partner, Head of Residential Project Sales & Marketing
Email: Mohamad.itani@me.knightfrank.com
https://www.linkedin.com/in/mohamadrabihitani
M +966 50 6413 473
Riyadh – Kingdom of Saudi Arabia
Mohamad Rabih Itani is Partner Head of Residential Project Sales & Marketing at Knight Frank MENA, heading the Saudi market. He holds an MSc. in Business Management from the Lebanese American University as well as a Master’s in Global Smart City Management from the Zigurat Insitute of Technology/University of Barcelona. Itani also obtained a BS in Business from the Lebanese American University with an emphasis on Marketing.
With over 22 years of diverse experience in various countries, Itani has gained in-depth knowledge of the local, regional, and global real estate industry. He has successfully planned and launched master-planned communities in KSA as well and established several companies across GCC, Far East and Spain. Itani has worked with several large real estate developers in Saudi Arabia and Kuwait and also served as an independent consultant for the Ministry of Housing of the Saudi Government from September 2019 to September 2020, providing marketing consultancy for the ‘Shrakat’ program.
His areas of expertise include marketing and sales strategies, market analysis and development strategy, digital transformation, deal catalyst, and industry experience in real estate, smart solutions, hospitality and trade.
Itani has received several prestigious awards including CXO 2.0 Conference Outstanding Leadership Award 2024 in recognition of his contribution to drive business growth in the real estate industry and the Golden Globe Tiger award for being one of the most 50 talented CMOs in Asia. He was also named the CEO of the Year 2021 by CEO Monthly Magazine as well as receiving the Emerging Company of the Year award from ESRAR 2021 in Saudi Arabia and being named the Saudi Arabia Business Leader of the Year.
He regularly writes articles about the real estate industry in the GCC with main interest on smart cities and technology in real estate.
RESUMED 60 WORDS BIO
With over 20 years of diverse experience in various countries, Itani has gained in-depth knowledge of the local, regional, and global real estate industry. He has successfully planned and launched master-planned communities in KSA and several companies across select countries. Itani held several executive positions in leading real estate organisations and is a board member to several investment companies.
Published: 11th November 2024
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