My Stats are Better Than Your Stats

It is wonderful to see the industry fighting back against all the negatively spun real estate news.

But please allow me to give you some tips to help you make a more persuasive appeal.

It is very easy to fall into the "my stats" are better than "your stats" trap. That is where we as the real estate industry quote the terrific news going on down in various parts of the country, or reframe what sounds bad into good news. Like saying that the vast majority of loans are performing vs the commonly quoted number of repos.

Meanwhile the Bubblistas will quote their God called Schiller and talk about irrational exuberance and such. It is like arguing religion. The only people who care are the ones already convinced.

I was happy to see Christina Ethridge of North Idaho Real Estate blog write about how real estate is a better investment than stocks. Which I was afraid would get into stat quoting arguments. Instead, I was delighted to read Christina say that:

"real estate is the safest and strongest investment for the average American. It’s the best place to put $10,000 to $50,000 with the ability to use the full value of the investment ($100,000 - $500,000) by either living in it as your main residence or renting it out and having tenants pay the mortgage payments."

I particularly like that part about where people can use the full value of their investment by actually getting utility from the investment in its use as a home. That really is the point I have been trying to make over the last few weeks.

You see people buy homes  for emotional reasons and justify with logic. The statistical quoting only works after they have been convinced emotionally.

Comments

[Jason Jarstfer]

"You see people buy homes for emotional reasons and justify with logic. The statistical quoting only works after they have been convinced emotionally."

I like that:)

Jason J
Fort Knox Real Estate

[Christina Ethridge]

I have to run a healthy balance - more than 50% of our clients are investors (from out of state) - even with that, most of them still buy because they like and believe in the area. As you said, even with the investor buyers, the deciding factor is most often emotional, not statistical.

Thank you for the quote. It's always good to know someone is reading my rambling . . .