Tips to Positively Discuss Property Price Increase to Clients

During a property price increase, it is often daunting among real estate brokers, agents, and real estate professionals to communicate about it with their clients. After all, raising prices also raises the tendency of decreased demand for real estate, as it would mean increased expenses for home hunters of an affordable house and lot for sale. Lumina Homes recognizes this fact and seeks to discuss this at length in this article.

Either coming face-to-face with a client or responding to online queries on real estate property increases, the prospect of disappointment and dismay among your clients is naturally discouraging for agents. But there are ways to cope with and positively position negative news. Let's talk about it more below.

Communicating price increase strategies to real estate clients

One of the reasons why property prices increase includes insufficient supply being met with greater housing demand. Property prices also increase during an economic boom, or when unemployment rates decrease and more people are able to work and afford to buy a house and lot in the Philippines. Likewise, property price points or increases are notorious in the National Capital region, as seen in official reports concerning real estate values through the years.

Still, it's a turnoff for prospective property buyers to learn about a property price change. It will then be your job to turn a negative prospect into a positive outcome by learning to strategize on delivering the news and justifying the logic behind the housing price hike. Without further ado, here's what you need to know to retain customer satisfaction:

• Explain. Refrain from sounding too defensive.
• Encourage questions from your clients.
• Positively position by talking about added amenities.
• Discuss your property's unique pros despite the price rise.

Explain. Refrain from sounding too defensive.

The first step is to explain, explain, and explain. Take note, "explaining" does not mean "defending." Explain the news of property increase in such a way that is honest and straightforward, sans beating around the bush. There is no need to sound defensive as you will only seem pushy and focused on sealing a home deal instead of addressing the concern of your prospects, which will unironically lead to customer dissatisfaction.

Now, you must ensure that the property price hike is not without a legitimate reason; that to raise prices meant something has happened, internally or externally. Also, explain that while price hikes mean incurring further financial cost, it is borne out of a necessity and not something only meant to benefit developers and deliberately burden property seekers. This is a deceptively simple process of explaining rising costs, which requires a competent broker with mastery of the subject and communication skills that are convincing to loyal customers.

Encourage questions from your clients.

After carefully explaining the reason(s) for the necessity to increase prices on properties, encourage your client to ask questions surrounding the subject. If you discuss the reasons at length and in relative depth, it is likely that your client will ask for clarification. This means raising questions on down payments, interest rates, and other financial concerns that will be potentially affected by the property increase.

When addressing concerns, it is always important to maintain a professional tone that will make you believable in what you discuss with property seekers. At the same time, it does not hurt to also speak casually and even talk like a friend, especially if the one you're speaking to has a bubbly personality who doesn't want to talk about stuff in a strictly business tone and manner. Tailor your tone by matching your client's.

Positively position by talking about added amenities.

The "Sandwich Method" is an industry jargon among business professionals. In simpler terms, it is a strategy among businesses to deliver negative news followed by a positive offer to reduce the negative effect of the negative news. This works to ease the prospect of clients and customers reacting adversely to the price increase announcement.

You don't need to focus on offering your client the same house model that has gotten the price increase. If the situation of selling a certain home model becomes hopeless, offer other units with similar perks but with a cheaper overall cost. Also, introduce financial promos that will allow your client to still achieve their dream house by introducing him or her to other flexible payment methods and loan terms that will make the property increase more bearable for them. This could be achieved by carefully discussing other options with your client, instead of sticking to the same offer.

Discuss your property's unique pros despite the price rise.

You can justify the property pricing strategy by discussing home amenities and perks for prospective homebuyers. Disclaimer: this does not mean lying about the reason for the property price increase, but rather stating that the price hike is worth the extra expense.

Think about the amenities and perks that come from living in a specific house model in a specific community, like accessibility, strategic location, convenience, and proximity to a wide array of commercial establishments to aid the daily living of homeowners. In other words, you have to give the impression that the property price increase does benefit not only the developer but also the homebuyer, who will enjoy a variety of services in an accessible, strategically located, and convenient neighborhood.

Affordable yet Quality Housing, a Signature Lumina Homes Provision

With over 10 years of history providing an affordable house and lot for Filipinos from Luzon, Visayas, and Mindanao, Lumina Homes caters to prospective home buyers who look for relatively cheaper homes that could still match the quality of similar home models with higher property prices.

Home hunters have a variety of house models to select from, such as townhouses, single firewall house types, and duplex housing units. These come with amenities and perks such as a playground for kids, a mini-garden for plantitos and plantitas, and a multipurpose hall for all residents. Lumina homeowners also have a shuttle service with pickup points for commuting convenience. Furthermore, gates are guarded, and security measures are in place 24 hours to ensure maximum safety and protection among homeowners.

To establish trust and legitimacy in providing quality yet affordable housing, Lumina Homes has been awarded the recognition as a top housing developer by none other than Pag-IBIG Fund, the state-sponsored primary home loan financing institution in the country. During the first Property Carousell Awards, Lumina Homes also received praise for providing affordable housing for existing customers and Filipino families in general.

Become a Lumina house owner soon and allow us to discuss with you a real estate investment designed to satisfy aspiring property owners like you. Explore our website and message us your real estate inquiries.