Confidence. Optimism. Boldness. These can all be symptoms of a condition we like to call Hot Market Syndrome. And while those words are frequently used to mark successful business leaders, they come with a few caveats too.

Let’s start with the question “What is Hot Market Syndrome?” At Builder Designs we define this as dangerous reliance on the natural positives that come when the housing market is hot like it has been in 2020. 

Of course, there is plenty to be positive about with our builder partners thriving this year and breaking many of their own sales records. Builder confidence is at an all-time high across the nation. Mortgage rates shattered records and dropped to a new low 12 times this year. The Pending Home Sales Index is steadily growing too. 

But don’t worry if you were caught up in the excitement. We are just here to suggest a healthy dose of caution.

Making the most of it now

While the mortgage rates stay low, let them sell homes for you. The market -- and the country -- were thrown into total uncertainty this Spring but staggering drops in the mortgage rates kept buyers interested. We cannot be certain how long this good fortune will last, but with the general economy still struggling, housing is leading the way.  

The extra business has also helped create pretty clear trends in how American families are shopping for homes. Simply, they want to do their own research first on your website, they want virtual tours and other content that helps them visualize your floor plans, and they want a home that does more. This applies to everything from dedicated office spaces to germ-resistant countertops and energy-efficient appliances. 

Plan ahead for the fall

Eventually, things will slow down, but the builders that take the time now to pivot toward consumer interests and adapt to the market will be ahead of the pack when it happens. It is what we saw happen in 2008 when the market collapsed and we learned a lot the first time around. Most importantly, you cannot get overconfident while things are going well even though it is tempting to cut costs on pieces like SEO and marketing. 

Be cautious with your investments too, because the late sales cycle this year will likely throw off the traditional timeline in 2021 as well. Make sure you are prepared in case there is a slow Spring especially if you are selling through available inventory. Focus on the people in your office and the tools they need to succeed like a fast, mobile-optimized website. 

On a more positive note, this is a chance to have some fun and humanize your business. Look for trends in your own sales center whether you see buyers moving toward the suburbs with the expanded work-from-home format or specific upgrades that are gaining popularity. This gives you lots of valuable insight, but it allows you to form a deeper connection with your audience too by letting it drive your cross-channel marketing. Giving them confidence in you now will pay dividends in years to come.

Call Amber at (913) 393-3367 to see how we can help lay a solid foundation for your business while the market is on our side.