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Most agents would love to increase their average sales price or break into the luxury market, but how do you do that? Success in this arena requires a strategic approach and deliberate actions.
This article will provide you with five actionable steps you can take to increase your average sales price and elevate your business in 2025.
What you focus on expands
One of the easiest ways to increase your average sales price is to focus your marketing efforts on a specific neighborhood. If you are looking to grow your business one of the fundamental strategies to make this happen is geographical farming. But a key determinant of success or failure is the neighborhood you choose.
I heard a father tell his daughter one time that it’s just as easy to fall in love with a rich man as it is with a poor man. When it comes to geographical farming, it’s just as easy to focus on a higher average sales price neighborhood as it is on a lower average sales price one.
Simply put, if you’re looking to increase the average price of the homes you list and sell, focus your marketing on higher-valued listings.
If you’re curious about how to evaluate if a neighborhood makes sense to pursue, check out this article that provides a step-by-step process, including choosing a farm and marketing to the owners.
Be where the luxury clients are
We all understand that people do business with people they know, like and trust. But trust takes time, and it involves building relationships. Relationships are built by familiarity and/or through shared experiences. This key is to be focused on the relationships, and the business will follow.
Heidi Harris in Raleigh, North Carolina, saw her average sales price move from $248,000 to $998,000 in two short years, somewhat by accident. Her husband always wanted to join a country club, but Harris said she didn’t really see herself as the country club type. After joining the club, Harris said she decided to become active with the ladies in the club without any agenda other than just to make some new friends.
She took tennis lessons and met some ladies who became friends of hers. These ladies invited her to other events at the club and introduced her to other ladies who became friends. Before she realized it, she was surrounded by a group of friends that she loves spending time with, and they love spending time with her.
These ladies not only did business with Harris, but they referred their friends, who happened to live in higher-valued homes as well. It wasn’t her initial intention, but because these ladies knew her, they liked her and they trusted her, their relationships led to the amazing average sales price increase she saw in her business.
So, ask yourself, where can I get involved and build some new friendships? Whether you find a hobby you enjoy or a charity you love to support, when you are surrounded by luxury owners, your average sales price will go up.
Be the first person to showcase new luxury developments
Curiosity creates opportunity, and showcasing information about new luxury developments is a unique way to be recognized as the expert for that development. If you position yourself as the first person to speak about a new development and give updates as it progresses, it becomes difficult for others to compete with you in those developments as they mature.
Video updates, whether through YouTube or Instagram, are a great way to provide information in a way that most consumers prefer to receive it. Instagram posts, Reels and green screen videos announcing new luxury developments put you in the position of being the online resource for information about new luxury developments.
These are a couple of examples of this type of content from Jason Gruner out of Nashville, Tennessee. The first is a post, and the second is a green-screen video about a new development.
On YouTube, infrastructure updates are the best way to begin building algorithm recognition for you as the expert for a new development. This can be followed up with additional update videos as progress is made on the development and then luxury home tours.
These are three thumbnails showing the progression of these videos by Noah Escobar on his YouTube channel highlighting the new luxury Watersound Camp Creek development just north of Highway 30A in the Florida Panhandle.
Become the luxury resource in your market
In the examples above, Gruner and Escobar utilize developments to distinguish themselves, but being a resource for all things luxury can attract more luxury clients as well.
Paige Steckling out of Utah partnered with Super Luxury Group to provide a luxury guide for Park City, Utah. This type of marketing specifically provides value to luxury prospects, setting herself and her team apart as the resource for all things luxury in the area they serve.
Focus on being seen as the resource, and you will be rewarded in your business.
Be visible, be present, and be the first person they think of
Many agents hold themselves back, believing that because they are not yet financially or socially at a level luxury buyers and sellers have achieved, they won’t do business with them. Nothing could be further from the truth. If you are professional, present and the first person they think of, luxury business will come.
Glennda Baker, out of Atlanta, Georgia, has built an incredible business, but her focus on luxury homes started early in her career while she was still living in an apartment.
She shared a story with me of dreaming about selling luxury homes in a specific neighborhood. She decided to research and visit every home currently for sale in that neighborhood. She researched the history of sales for each home, and she positioned herself to be recognized in the neighborhood.
She decided that to be recognized by the owners, she wanted to be physically present, where the owners would begin to see her there as a part of the neighborhood. Multiple afternoons each week, she would drive from her apartment, park just outside the neighborhood and push her daughter around the neighborhood in a stroller in the afternoons when most of the owners would be coming home from work.
She would smile and wave to anyone she saw, and that led to conversations with the owners on these walks as well. By studying the neighborhood and knowing it like the back of her hand from her afternoon walks, she was ready when her first listing opportunity came. Once she got that first listing, she built momentum in the neighborhood. She eventually dominated that farm area.
If you want to grow your business this year, it all starts with you. Become the agent luxury prospects want and need. Broaden your knowledge. Step out of your comfort zone, and get involved with new groups or organizations. Spend time where your ideal clients spend time, and be prepared to bring value when the opportunity arises.
