Approximately 70 percent of companies in the United States offer relocation incentives to new hires and/or current employees, with the average business paying out nearly $13,000 just to ship household goods. That’s a lot of time, money and energy invested in moving employees; should the real estate industry take note?
Joining forces with a relocation business could take a bite out of your commission in the short term, but the promise of new contacts and deeper relationships is enough to mitigate referral fees and make a serious case for the benefits of a comprehensive relocation strategy.
The Value of a Low-Stress Move
Many factors involved in relocation cause stress. In fact, with issues like finding a reputable moving company, evaluating potential school districts and coordinating utilities and pet care during the transition, buying a house might be one of the easier items on a relocating family’s to-do list.
If you can refer clients to a relocation service that you trust, you’re gaining their trust in return. More importantly, you’re giving them access to relocation packages that may take a lot of the anxiety out of their move, especially if they’re trekking cross-country or headed to a location they’re not familiar with. If, on the other hand, a relocation company refers a client to you, you’ve now been introduced to a buyer who’s motivated and not tangled up in indecision — something well worth the referral fee.
Establishing Yourself as an Authority
Relocation companies like to team up with real estate agents because it boosts the value of their packages, but there are inherent advantages for the agents too. Positioning yourself as an expert on everything from city-to-city cost-of-living comparisons to neighborhood profiles proves to buyers that you are a leading authority in your territory. The last thing a relocating family wants to deal with is an amateur. Rather than telling them how fantastic you are, you’re able to use the connection established by the relocation company to directly showcase your knowledge to the people for whom expertise matters most.
Create Deep Connections — And Saving on Marketing
Marketing budgets are largely dependent on an agent’s annual income, but the bigger your yearly sales, the more you’re probably shelling out for everything from social media strategists to billboards. In that sense, the referral fees you may pay out to a relocation company in return for exposure might have a bigger ROI than you expect. Imagine calls pouring in from around the country (depending on where your city falls on the list of hottest real estate markets) and signing contracts on a regular basis without making cold calls or paying for national ad campaigns with abysmal results. With a referral from a relocation company, you’re essentially getting a buyer who has already traveled a significant distance down the sales funnel. These people are committed, and that’s a phenomenal gift.
In short, adding relocation to your list of real estate-related services is a chance to create more opportunity. You’ll find more opportunities to sell, of course, but also more opportunities to connect, not only with potential clients but also with other professionals in your community, and networking is never a bad thing.
In an industry like real estate where relationships and word-of-mouth recommendations can lead to untold professional growth, offering relocation services is a way to build a long-lasting rapport. By using a comprehensive relocation strategy to help current clients, you’ll likely frame yourself as someone who cares about more than just a commission, and that’s an invaluable association.