Zane Mueller, Research Advisor at Saunders Real Estate, joins this episode of In Our Expert Opinion Podcast to explain the work of our company's research team, how they add value through verified sales data, and the benefit of this role in building a career in real estate.
Hosted by Tyler Davis, President of Saunders Real Estate, the conversation also covers the Lay of the Land Market Report, a highly-respected resource that compiles our verified sales data and key market trends to provide unparalleled analysis into land values across specific states. This report, along with the upcoming quarterly market reports, ensures that advisors and clients have access to the most current data to inform their decisions.
DOWNLOAD OUR LAY OF THE LAND MARKET REPORT
Below is an excerpt from the interview. Listen above for the full podcast.
Zane Mueller, Saunders Real Estate
Recruiting a research team. As we grow into these new territories, it becomes a really good pipeline for young or old people. For anyone looking to gain experience in a certain market, you can go from knowing nothing about real estate to now you're very well in touch with what the market looks like across all the different commodity types.
In the first year or two, you're really just learning how we do it, how it's applied, and why it's important for you to know and learn. In the next year or so after that, you're an advisor, working on deals with mentors, and taking this data and using it for your own business purposes.
How many land sales did you verify this year? I think we ended at around 1,180 in Florida alone. Georgia will probably end up around that number and then Arkansas will probably end up right in that range, which is interesting. Across the different states, there's a disproportion with Florida in our land values compared to Georgia and Arkansas, but the amount of transactions are in a pretty tight range.
How does this research parlay into becoming an advisor? Well, you automatically know what's changing hands. So, we're in Lakeland and I'm from Citrus County–I have listings all over the place–but the reality is, I know what's going on in all these different areas because we're looking at the state at a high level. County-to-county, we understand how to manipulate and digest the data in a way that I can confidently go, “Well, here's all the sales. These are the facts for however you want to position your property with your goals, timeline, and objectives.”
As far as making the verified sales call, as part of our process, we try and match what appraisers do. Our goal is to talk to a buyer, seller, or other party of the transaction, so that we can say, “Hey, we can see it on a map here, but what does the inside of that house look like on the 500 acres? How does that play into the value of the property?” It could be an old house meaning the value of the property is derived from the land or it could be a $2 million house on a $3 million property. Now the value is in the house more so than the land, and that separates it from a land transaction to a residential one. In just me making that point, you can see how it builds your confidence–every property is different, and they're all complex.
Tyler Davis, President of Saunders Real Estate, invites Zane Mueller, Research Advisor at Saunders Real Estate, to discuss the company's process and incentive for collecting verified sales data.
Verified sales calls turn into lead generators. We get a lot better response from people when we approach them with value. We're not just asking people, who have held onto these properties generationally, “Do you want to sell your land?” We often get a negative reaction out of that, unless there's somebody contacting us and they're willing.
When we call these people, we end up talking to them on a more personal level. We're bringing them information about sales in the marketplace, working them in on the opportunity to receive our market report–which is free information for an asset just like the one they have–so they're usually really receptive if we get to that point. Everybody answers the phone differently and receives a billion calls a day, but when we do make those connections, they tend to be a lot stronger.
We try to be respectful while still letting them know what's going on in the marketplace, the opportunity of receiving our market report, and how they're kind of helping us–in a way–to publish it. Then we're going to turn around and give [the Lay of the Land Market Report] back to them every single year. That helps them make decisions for their property and helps get our foot in the door as a brokerage.
ATTEND OUR LAY OF THE LAND CONFERENCE
This parlays into our next point of how it's important for advisors. Really, we're calling these people in the marketplace that are buyers and sellers. Dean's point a lot is, “Can we get in on a 1031?” They don't know what to do with their money now, so we open the door to that. It's a lot more receptive when it's not. “Hey, I'm calling from Saunders Real Estate, are you interested in selling your land?” Now, you have a reason to call them, and it ends up being a lot more of a personal connection.