The robust activity we have seen in the real estate market in recent times shows no signs of slowing. In the latest edition of our video series “Supply and Demand,” William Pitt Sotheby’s International Realty President and CEO Paul Breunich looks at each of the markets our company serves and points toward the significant increases in year to date closings as of August 2013 versus the same period last year, a sure sign of a healthy market. He also explores the numerous factors that lie behind this positive growth, including the high Consumer Confidence Index, a generous increase in GDP from the first quarter of this year to the second, declining unemployment and historically low mortgage rates that are only just beginning to rise. We invite you to check out the video for a detailed analysis in Breunich’s own words.
Breunich’s discussion with host Ana Berry involves much more than an update on how the market is performing. He also reveals how the Sotheby’s International Realty® brand is uniquely capable of managing the demand side of “Supply and Demand.” The concept of demand in real estate, which includes a consumer’s desire, willingness and ability to purchase a particular home, is introduced through a useful pyramid graphic. The bottom and largest level of the pyramid represents the lowest priced properties and the large buyer pool that can purchase them, and higher levels represent properties in higher price ranges and the decreasing number of possible buyers.
Marketing is the way to target those buyers, and simply put, our brand employs the most powerful marketing strategy in the industry. As Breunich puts it, “We expose our clients’ homes to the four corners of the world.” We do that by communicating property information not only to our own company’s regional offices and agents, but to experts within our global affiliate network of 700 offices across six continents, as well as to worldwide Sotheby’s auction house locations. In this way we reach qualified buyers from Manhattan and Long Island to London, Moscow and Hong Kong. In addition, we engage in one-of-a-kind online advertising partnerships with renowned media outlets around the world, from The New York Times and The Wall Street Journal to the BBC in the UK and South China Morning Post in China, bringing us more than 1 billion media impressions annually. Please watch “Supply and Demand” to learn more, including Breunich’s outlook on the future of the market, both long term and short term.