How do buyers choose a development in another country? In most cases, they’ve already traveled to the area for one or more vacations, eventually becoming hooked on the idea of owning a second home—or a place for future retirement. As their interest grows, they probably haven’t considered discussing it with their local real estate agent. But is that because you haven’t talked to them about your role as a global agent?
For global real estate professionals, master plan communities in foreign destinations can be an attractive business-building option, regardless of how actively you decide to get involved. Some agents will see this segment as a nice bit of supplemental income, whereas others may begin actively traveling between two markets and carving out a niche that includes entering into co-marketing agreements with developers.
Regardless of your level of involvement, some of the advantages of working with offshore projects include:
- A clearly delineated role for global agents, including defined referral fees and formal compensation agreements.
- Well-funded marketing efforts that make it easier for buyers to become familiar with these properties.
- Buyers are often more comfortable purchasing property in a planned community, where neighbors, floor plans and related amenities may feel more familiar and safer.
- Some developers also offer financing options, lowering one key hurdle for certain buyers.
This issue of Global Perspectives takes a closer look at the different avenues agents can pursue when working with international developers, as well as numerous issues that should be factored into the equation before proceeding too far down any path.