Tips for attracting global buyers

Realtors® don’t have to travel the world to be a global agent.

According to panelists at Real Estate Connect New York City, working with international buyers simply requires education, for both real estate agents and the buyers themselves.

“The Globalization of Real Estate and Its Impact on You” panel offered advice to conference attendees on how to attract foreign buyers interested in investing in U.S. property.

Every country has its own real estate process

“Learn what it is for the country you’re targeting. If you’re working with British, you need to understand how the British real estate process works,” Ines Hegedus-Garcia, a Realtor® at Miami-based Majestic Properties. “If an agent can explain the differences and similarities to his or her buyers, they’ll know what to expect,” she said.

Understand how global buyers use technology

“U.S. agents should understand that they may be much more advanced technologically compared to their global buyers,” said John Howell, editorial director for OPP Media. “For example, many people, including overseas agents, have never heard of or used a transaction management system. You’ve got to keep it simple.”

“While iPads are popular in the U.S., Android tablets may be more popular elsewhere, and therefore need to be appropropriately optimized,” said Stephanie Pfeffer, executive vice president of Luxury Portfolio International. “Understand how your website is optimized in other countries. Type in the URL with the proper domain extension, such as ‘.ca,’ and take a look,” she concluded.

Know your audience

“Get on an airplane and meet people at conferences,” recommended Charlie Young, president and CEO of ERA Franchise Systems. “Market listings and communities through video on YouTube. Don’t overlook Skype or text as ways to communicate. And use Facebook.”

“In the Chinese market, it’s important to know whether it’s parents or their children an agent is working with, said Tina Mak, a broker at Coldwell Banker Westburn Realty. “If parents are the ones with the money, their English is not very good, so don’t expect them to go online. And if they have money, they will likely have their assistant researching for them. The best way to reach out to them is text messages,” she said.

Make sure your tools work globally

“Facebook, Google and YouTube have limited market share in China, partially due to government censorship,” Howell added. “The Chinese have their own search engine and their own popular social sites. Agents looking to cater to Chinese buyers need to have a Chinese website.”

“Make sure your tools work globally, and make sure you try to use the tools that you’re already using today,” said Eleonore Rojas, principal product manager at Realtor.com operator Move Inc. “If your listings are in a multiple listing service, they are already on Realtor.com International and translated into 11 languages for you,” she said.

Be aware of financing issues

“International buyers are often required by banks to make 30 to 40 percent down payments,” said Bernice Ross, Inman News columnist and CEO of RealEstateCoachRadio.com. “Also, they may need $100,000 on deposit in the bank and a year’s worth of maintenance and other expenses set aside.”

“Have global buyers speak to a tax attorney who specializes in dealing with people from offshore,” Ross added. “We can’t give tax advice. You need someone who knows what they’re doing.”

Keep it simple

“Buyers from the Gulf are smart and want to know the nitty-gritty about legalities, but agents should make the transaction as smooth and as easy as possible for them,” said Jochem Geheniau, director and board member of the Holland Gulf Chamber of Commerce. “The standards are higher. But if an agent gives them superior service, they’re going to be very loyal and come back,” he added.