In a downturn market, properties don't just sell with at an over asking price with multiple offers. Realtors need to go after buyers, not the other way around.

In this case, you have to be present on social media and get all your contacts list ready to communicate. Once that's done, what should you post? What kind of information could you share with your audience to attract their attention?

The answer is simple: post unique and relevant information to stand out. The hard part is how to come by this information.  

Most of the Realtors share the same information about a property because they use the same source, the MLS. While this data is relevant, it is not unique. The listing agent typically has the most comprehensive information about a listing. What gets left to the Buyer's agent? In most cases, the listing agents share information about the existing property, but not about the development opportunity or its expansion potential. At best, they'll use terms like "imagine", "lots of potential", or "bring your contractor" inferring this opportunity, but they don't offer the possible new building area numbers you could build on that lot. Without this information, the above statements mean nothing to the average home buyer.

Now, imagine that a prospective buyer stumbles on a Facebook or LinkedIn posting stating:

"Hot property on the market! This property, located in the trendy Marina neighborhood, has an expansion potential of 166% ! This means that you could potentially add 3,652 sqft to the existing building. Based on the average sell price in the area, this property has a ~$ 4M untapped potential. DM (direct message) me to schedule a viewing!"

How attractive would be for a prospective buyer to see this posting? A LOT!!!

But, where can you find this information when your budget is very low to none, nor get into trouble by making false statements?

Showing the Development Potential of the real estate properties is the new way of attracting buyers

Realtors have to stand out with real data about real estate development. CityStructure.com did the heavy lifting to automate the calculation of the Development Potential to show the maximum building area for every property. Realtors can share any information from this website with potential buyers along with "per CityStructure analysis" and it is FREE.

Here is an example on how easy is to check out this information for any property:

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3 Steps to attract buyers with development opportunity

  1. Make a list of properties you want to market. Now that you know where to get the possible expansion information for a property, you just have to go in your MLS account and make a list of all the properties you want to market.
  2. Select only the properties with +100% Development Potential. The way you know which one has this development potential is by going to CityStructure and type each address on your list. You'll notice that not every property presents development opportunities. So, best is to make sure that the Development Potential is above 100%. Below is an example:

3.  Send out messages and post on your social media your findings. With the information about each property, it's time to attract buyers with exciting messages.

Below are few examples of posts and messages using the development opportunity:

  • E-mail message to a prospective buyer you already know:

"Hi Ema,

I hope my message finds you and your family well. I'm excited to share with you that I found a property in the neighborhood you wanted and under your budget, $1M.

The only problem is that it has only 2Ba+2Ba in a 700 sqft conditioned space out of the total 2,088 sqft building area. The good news is that, based on the CityStructure analysis, the existing building can expand as much as 5,500 sqft and it could have a total of 4 units + ADU. That means you could add the building area you need and have up to 3 units that pay off the construction and purchase costs.
Let me know if you'd like to schedule a viewing for this property and if you'd like to explore more properties with expansion potential.

Here are some stats for this neighborhood:

  1. Avg. rents for 2bd = $2,150/mo. (for the ADU)
  2. Avg. sale price = $1,000/sqft (5,500 sqft - 2,088 sqft = 3,412 sqft or ~$3.4M untapped potential)
  3. Avg. cost to build = $400/sqft (3,412 sqft x $400 = ~$1.4M construction budget)

Best,
Your team John and Elena"

  • E-mail message to your list of prospective buyers:

Property with Development Opportunity that has ~$3M Untapped Potential for only $1M!

This is a lovely 2Ba+2Ba single-family home on a 2,500 sqft lot in Mission area and it has 263% expansion potential, based on the CityStructure analysis. The existing ~2,088 sqft building can expand as much as ~5,500 sqft and it could have a total of 4 units + ADU.

Let me know if you'd like to schedule a viewing for this property and if you'd like to explore more properties with expansion potential.

Here are some stats for this neighborhood:

  1. Avg. rents for 2bd = $2,150/mo. (for the ADU)
  2. Avg. sale price = $1,000/sqft (5,500 sqft - 2,088 sqft = 3,412 sqft or ~$3.4M untapped potential)
  3. Avg. cost to build = $400/sqft (3,412 sqft x $400 = ~$1.4M construction budget)

Best,
Your team John and Elena"

  • Posting sample for your Facebook, LinkedIn or just a Twitter posting:

New property on the market! Only $1M for a single-family home in SF that has an exciting 263% Development Potential, per data provided by CityStructure. Great price point for a family to move in right away and build later, or for a developer!

DM me for more details.

or

Only $1M for a property in SF that has $3M untapped development potential, based on CityStructure (buyers to verify)! DM me for more details.

Now that you know where to get the possible expansion information for any property, and you have templates for your marketing campaigns, you just have to go and get your buyers!

Are you a listing agent? Here are few examples of listings presented with the Development Opportunity provided by CityStructure: