The term “Marketing” describes the entire process for moving goods from the manufacturer or originator to the consumer. Imagine that you are setting out to sell a new product which we'll call a Widget. In order to create a market for it, you've got to inform consumers that your Widget exists; that it offers unique benefits to the buyer over similar products on the market; that it can be produced at a cost that will enable you to sell it at a competitive price in comparison to similar products; that your Widget can be bought on affordable terms; that it is readily available and easy to purchase; that you're a reliable vendor, and that satisfaction is guaranteed for a reasonable time.
Instead of selling Widgets, we're selling houses, but the marketing principals are the same. In order to sell your house, it must appeal to the widest possible market more than other houses of about the same size, condition, and price. That means that if you want to turn houses over fast, while structuring your offer, you have to know who is going to buy your house, how much they will be willing and able to pay for it, and why they would choose your house over a competitor's.
Market research will tell you that most families want a 3-bedroom house, and that they are willing to pay the full retail market price for it. If they can afford it, they would like a family room and a double garage too. Although Widgets can be purchased in one location and used in another, houses must be used where they are bought, so location is critically important. Most home-buyers want to live in a low crime neighborhood that is safe for themselves and their children. They want easy access to shopping, parks, churches, good schools, and employment.
There's a danger in becoming emotionally involved with fixing up a house for sale. Every improvement made to it should be aimed squarely at the market you're trying to attract. Jay DeCima (www.fixerjay.com), a long time pal who has written many books on the subject of fixing up properties, likes to get at least $2 more in value for every $1 he spends. This is most easily obtained by landscaping, fences, and paint than by expensive kitchen overhauls and appliances. You should develop your own ratios of improvements to profit and stick to them.
