For developers, the success of a real estate project is not only decided on the construction site. In addition to planning and financing, it is also important how quickly and at what cost the units can be sold in the end – and how good their own network is.
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The core competence of many property developers lies in the development and implementation of real estate projects: They know what is important when choosing properties and calculating budgets.
When it comes to sales, on the other hand, where it comes to addressing target groups accurately, using marketing tools with confidence and negotiating skills, they are often reliant on their network. In order to reliably sell their projects to investors, property developers therefore generally rely on external sales structures.
What role do networks play for property developers?
In the real estate environment, a network means one thing above all: structured access to sales organizations that actively sell property from developers to investors. These sales organizations typically consist of financial service providers, bank and insurance distributors or independent investment advisors.
They mainly serve the off-market. This means that they do not sell properties via public portals, but rely on their own customer bases and referral structures. Such sales networks offer property developers important access to the investor market.
The type and quality of the distribution network influence, among other things
- Sales speed
- Distribution costs per unit
- Repeatability and scalability of projects
These points are particularly crucial for property developers with changing project sizes and locations.
How can property developers build networks and outsource their sales?
In practice, there are several tried and tested ways of identifying relevant sales partners and systematically developing relationships.
A classic entry point are Industry events and trade fairs. Face-to-face meetings continue to play a central role in real estate sales. At events, it is possible to meet many people in a short space of time, observe market trends and make initial contacts with potential sales partners. This is often where the foundations for long-term cooperation are laid.
In addition to this, the digital exchange is becoming increasingly important. Platforms such as LinkedIn or industry-specific networks make it possible to make targeted contact with sales organizations, share content and build relationships over a longer period of time. This channel is becoming increasingly relevant, especially for property developers who are looking for regional or thematically specialized distributors.
Not to be underestimated are also existing contacts. Recommendations from your own professional environment often provide the quickest access to new sales partners. In many cases, it is precisely these indirect contacts that give rise to reliable collaborations.
Why efficient property developer sales are more important today than in the past
The real estate market has become more complex. Market analyses by major research companies show that investors have become much more selective in recent years. Investors interested in investment properties in particular are examining location quality, rental assumptions and profitability more intensively than just a few years ago.
For property developers, this means a growing sales effort. Sales partners can reduce this burden. The quality of the network and the sales partners you work with are decisive for the profitability of property development projects. In the next article, you will learn how to find suitable sales partners and place your properties efficiently.
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