Words: Ashley Rigg
Published: 9th August 2011
*Riots, fear and overseas property
Fear is ripping through global equity markets, there is wide
spread rioting in London and police helicopters seem to be circling our house.
Rising food prices, rampant inflation and bleak economic prospects
seem to have returned Britain to the 1970’s.
The confidence and prosperity of the 90’s and noughties overseas
property boom seems like a lifetime ago.
Back then, greed and fear of loss were driving the dream
chaser market. Even the most mediocre sales
person could close a deal. “Prices on
your one bed apartment with obscured view in Sunny Beach will be higher
tomorrow so why not buy now to ensure you don’t lose out?”
A different kind of fear stalks our industry today. It is fear of absolute loss. For the mass market, the fear is one of
economic uncertainty and job security.
Overseas property, for most, is a luxury product of a bygone era.
For those with investible assets and job security, the fear
is wealth erosion. Shares are tanking,
inflation is rampant, bond prices in established markets are close to all time
highs – there are very few places where you money is safe.
More than ever, the single strongest sales message for anyone
selling international property is “wealth protection”. Are all your communications tuned to this
message?
It doesn't just apply to pure investment real estate. Great lifestyle properties in established
locations can be sold this way. Nobody
is creating anymore beach-front or prime ski-in, ski-out land.
The greatest marketing lesson I ever learned is that what
people say is not always the same as what people do. Behaviour is often driven by underlying
motivations which are often unarticulated.
Whether your clients talk openly about it or not, fear is
driving today’s overseas property market.
It means a longer sales cycle but it also presents opportunities for those
with the right products and a “safety first” communication strategy.
Source: Global edge
User Comments
Good article Ashley. Can't help feeling the current situation at home doesn't bode well for future UK tourism / investment either.
Piers Brown,
Fractional Life
Strong article. I could not have told it in a better way. It is the message which in my company we have been transmitting to all the (prospective) buyers for quite some time now.
Fred,
ELITE Inmobiliaria
Ashley, very good point, well made as always. We'll make a salesman out of you yet!
Andy Stevenson,
Realpress.net