Are you ready to serve boomerang buyers?
July 17 2018
"Boomerang buyers" are the 10 million Americans who went through a short sale, bankruptcy or foreclosure during the subprime mortgage crisis that occurred between 2007 and 2010. Having just met the seven-year waiting period for this information to be removed from their credit reports, many are now ready to return to the market. Here's what you should know about these potential buyers.
In general, boomerang buyers are in their 40s and 50s, and they've spent the bulk of the last decade working hard to re-establish their credit. They've experienced homeownership before and are motivated to own again.
Boomerang buyers learned the hard way the first time around, so they're hyperaware of potential obstacles like rising home prices and mortgage rates. They also understand how supply and demand will affect their options concerning affordability and lending requirements.
Budget is a huge concern; they don't want to damage their credit or risk another foreclosure or short sale. Many are currently renting and are worried about overextending their financial resources. They may not know about homeownership options that are lower than their current rent payments.
To help, introduce boomerang buyers to local down payment assistance programs they may qualify for. FHA loans are another option that can offer a low down payment with realistic financing.
They need your guidance.
The majority of today's real estate marketing targets baby boomers and millennials. Boomerang buyers returning to the market feel forgotten. Financing options and requirements have significantly changed since they last purchased a home, and they want an agent who understands their unique experience with the market.
By focusing your efforts on these forgotten Gen Xers, you will immediately provide a viable solution and stand out from the competition.
Training and coaching are key components of the Keller Williams experience. Our award-winning programs provide agents with education and resources to create a successful real estate practice. Learn more about how we can help you too.