Keeping up with the Joneses Theory
There’s a phenomenon in real estate which can only be explained as ‘Keeping up with the Joneses’. Keeping up with the Joneses can be defined as comparing oneself to their neighbours.
In real estate the phenomenon comes in to play when a listing comes up in an area and over the next three to six months there seems to be a wave of people putting their properties on the market; either next door, down the road, across the street, or around the corner, the suburb turns into a mini-hotspot.
When one seller decides to list their property, it’s usually because they’ve been in the area for quite some time and are looking for a change. These are the type of people who are well known within the suburb and area, and the people who have got to know them, of course, find out they’ve upgraded and gone to a bigger home, better suburb, or better schools. The neighbours start to ask the question about whether or not the ‘Joneses’ know something that they don’t and believe that if it is good enough for the ‘Joneses’, then surely it is good enough for us. This sparks a chain reaction of other homeowners getting appraisals and putting their properties on the market.
It’s important not to dismiss this phenomenon as it can be a fantastic opportunity for real estate agents to know and take advantage of. When a property comes up for sale in an area, especially in areas where not a great deal comes up on the market, that is the time to absolutely saturate around that home by door knocking, invitations to launch parties, direct mail, etc.
If you’re looking for a quick market share, concentrate your efforts around areas where sales have recently taken place, download my full system on how to take advantage of the Keeping up with the Joneses phenomenon at the link below for FREE.
