How-Much-Money-Should-You-Spend-On-Real-Estate-Advertising?

 

How Much Money Should You Spend On Real Estate Advertising?

The best agents know that advertising your real estate business is important, but how do you determine what kind of money to spend? Spending extra on advertising, or spending on the wrong type of advertising will hit your bottom line. But if you spend too little, you won't see results. Below are some business tips for determining how much money you should spend on real estate advertising.

Factor:

Your sales history

You want to align your marketing budget with your sales goals and to do that you need to look at the actualities of your sales history. See the final value of the homes sold, the amount of commission you received (your home will be paid) and the amount of transactions you closed, including the number of houses you closed. If you’ve noticed in the last month that you’re unlikely to repeat, it’s best to acknowledge those statistics as outliers for the purpose of drafting your marketing budget.

The current market

If your city is going to suffer an economic downturn, now is not the right time to dedicate your real estate advertising budget. On the other hand, if you have enough buyers and a lot of ready to go home, you want to invest a more significant amount in advertising.

The average of your region

New York City real estate businesses spend more on advertising than companies in Phoenix, AZ. When setting your budget, look at the criteria in your city. What is your competition doing? What do your consultants spend? Apply the knowledge of the market you are working on in your advertising budget.

Industry average

Data from an organization such as the National Association of Realtors can give you insight into the budget for national real estate advertising. This is a safe jumping off point if most real estate firms spend a minimum of $ 1000 a year on advertising, according to the national average. Look at industry averages and compare those averages with your average income to create your comfortable budget.

Your goals

This point can be the most important: If you achieve high goals, then investing a large budget in order to get the right advertising content in front of the right target audience of buyers, sellers and affiliate agents is absolutely key. As the old saying goes, you have to spend money to make money. Investing in your business is always a smart move when you are working hard to achieve the goals you set out to achieve.

Once you have the budget comfortable for you, you want to make sure you're spending that hard-earned money on the right kind of content. Investing in an organization to manage ads for you can mean the difference between a spray and the way you pray for an ad and the detailed, specific ad content that can direct the right potential clients directly to you. A service that is good is not only attractive, it is valuable.