A price point. A service. Location. Finishes. All those things can signify luxury, and they can be daunting to agents who have never worked in that market.

So how do agents who are experienced in selling traditional residential real estate make the leap into the high-end world of luxury real estate? It may require changing your way of thinking, how you market and brand yourself, and where you invest your resources.

Jennifer Zimmerman of Jameson Sotheby’s International Realty in Hoffman Estates sees luxury as a mindset that an agent should have before selling high-end homes.

“I feel that it does encompass all the goods and services that are superior, like great craftsmanship and premium price,” she said. “But really, when we’re looking at a luxury price, luxury buyers are seeking such exceptional experiences. They’re not expecting the norm. These are the type of people that are definitely looking for something a little high-quality and more exclusive.”

Luxury clients have high expectations when it comes to service, details and the quality of the property, according to Rafael Murillo of the RM Luxury Group with COMPASS Realty’s Sports & Entertainment Division. Those clients want personalized experiences that match their specific needs, he said. Learning how to provide that level of service is the key to succeeding in the luxury market.

“Privacy matters to them, so they prefer discreet transactions and expect confidentiality from their real estate agent,” he said. “When working with luxury clients, it’s important to build and keep relationships. Real estate agents might need to connect with professionals like architects, designers and financial advisors to offer complete services.”

Megan McCleary of the McCleary Group with Berkshire Hathaway HomeServices in Hinsdale works to provide that high level of service. That mindset has paid off since she started in the luxury market 13 years ago.

“That’s what I’ve always strived to provide to my buyers and sellers,” she said. “A high level of service and being responsive. Following through on my actions, and from the early days, people referred me. I’ve gotten a lot of business referrals. I feel like that’s a huge compliment.”

Planning and geography

McCleary recommends that agents who want to break through in luxury real estate develop a business plan and stick with it. Her own plan was to have a geographical focus on a market she knew well. She was already a homeowner in Hinsdale when she began working in real estate, having moved there right after graduating from college more than 20 years ago. Most homes in that suburb and in the surrounding area sell at luxury price points, bringing her into the luxury market from the beginning. After she and her husband built a couple homes there, she decided that she would focus her real estate career on that area.

“It’s where I raised my family, so it was the natural place for me to go into real estate,” she said, explaining that she has always been active in the community. “I knew it extremely well, and I knew the surrounding area. I didn’t want to be an agent that was stretching myself geographically where I would have to drive farther than I wanted to and where I really didn’t know the market that well.

“It took me a little bit longer to get my first deal, and I think the reason was because I made a decision that I wanted to focus on geography versus just going everywhere. While I have a lot of luxury business, my focus is on geography, like Hinsdale, Clarendon Hills, Western Springs, Oak Brook, Burr Ridge and some of the other surrounding communities.”

That geographical focus enables her to be present and provide a high level of service for her luxury clients. She has a support team that helps her with many of the details of the business, but she is the only agent on her team.

“The only way I can do the level of business that I do is by having a very strong focus on my business plan and having really great support people on my team,” McCleary said.

Similarly, Murillo focused on downtown Chicago from the start of his career. He concentrated on rentals, particularly in high-rise buildings, and educated himself on all of the residential space in that area. He learned details such as which buildings were strictly rentals or which were condos and which had amenities such as pools.

“Since nobody else in my office wanted to handle rentals, I took them on and treated them as valuable opportunities,” he said, noting that the approach eventually led to referrals. “I kept meticulous records in spreadsheets, sent thank-you cards to my clients, took them out for coffee or drinks and added them to my social media channels to stay connected. Over time, some of my rental clients transitioned into buyers and sellers. Fortunately, some of these rental clients were quite wealthy, serving as a steppingstone for me to enter the luxury real estate market. One of my most significant rental deals was for $30,000 per month, and another was for $23,000 per month.”

Zimmerman recommends that agents become experts on their area of choice before attempting to sell luxury real estate. She had 10 years of experience selling in Arlington Heights and some clients in the $400,000-$700,000 range when she began selling luxury.

“You have to gain your expertise, you have to make sure that you know everything that’s going on,” she said. “You go to those properties, I don’t care if no one’s looking for it, you better know exactly what’s out there because someone is going to ask you. You need to know about all the new construction, you need to know about anything over a million that goes up. And you need to know everything about that, from the exact neighborhoods to the yard to the schools. You want to know what light fixtures are in there, all those details. You need to have that in your head because people are coming to you and looking for you as the Arlington Heights luxury expert.”

Marketing and branding

Zimmerman worked in sales and marketing before becoming a real estate agent. She was always attracted to art, fashion and design aesthetics associated with luxury. Those elements also go into her marketing and branding, where she strives for authenticity.

“I wanted to brand and market myself differently, because I am creative,” she said. “When you first start, you don’t really know what it is to be in real estate from the perception of others … You haven’t created an identity yet. I think your identity changes. My identity has completely changed over the last 10 years, but I’ve always stayed true to myself.

“When you are branding yourself from the beginning, all the way through your career, your brand can evolve into something absolutely amazing. It just always has to be authentic. I think that following your authenticity as a person and just evolving in that makes for great branding.”

Murillo focused on building his brand “from the get-go,” with the aim of making it a household name in Chicago’s luxury real estate market. Rather than following the lead of other agents, he studied how luxury lifestyle brands are marketed to their target audience and worked to ensure his own marketing and branding stood out.

“I maintained an active presence on Facebook and Instagram, but I was careful to only post content that aligned with my brand and looked professional,” he said. “Back then, numerous agents weren’t utilizing social media as a marketing platform. This initially helped me stand out from the crowd, allowing me to establish a strong following of over 20,000 followers across my social media channels.”

He invested in his personal website, a Google Business Profile and other social media platforms, as well as print advertising in lifestyle magazines, to bolster his brand awareness. He embraced video marketing.

“I became known for creating cinematic lifestyle videos that showcased not just the property, but also the lifestyle it offered,” he said. “This included using drone videography to capture the city in a unique way and incorporating elements like models or luxury cars to enhance the appeal. Recently, I even featured a boat in one of my videos for a lakefront property. I believe that in selling luxury real estate, it’s not just about the property itself, but also about selling the lifestyle that comes with it.”

McCleary used her background in marketing to help her find a foothold in the luxury market, selling luxury as a lifestyle in advertisements running in local print publications, sometimes using photos of her own house to help sell the idea of luxury. She branched out to helping other agents on their marketing to let people know she was a real estate broker and to build credibility.

“Having my background in advertising, I knew that getting myself out there was really important,” she said. “That’s tricky when you don’t have a house to sell, so you figure out a way to market yourself and appeal to the broader market. So, one of the things I did when I first started is I would ask other successful agents if I could market their properties, and I would give them credit. It made the people in the community aware, along with other marketing and promoting that I was doing, that I was in the real estate business. It was completely aboveboard, it was full disclosure that wasn’t my listing.”

A willingness to invest

Agents who want to sell luxury homes should be prepared to invest heavily in marketing to reach potential buyers, McCleary said. The risk involved can be daunting.

“You really have to be able to spend money before you have the money,” she said. “It’s an investment in your business. I feel like this is a place where I am fully capable and comfortable with the money that I invest in my business. But if someone’s in the luxury market, there are more costs involved in a luxury property versus something that’s not.”

Zimmerman seconded the value of investing in clients and support.

“You also have to invest back in your marketing,” she said. “You can’t just go for a C-minus on your marketing. Your marketing needs to be really good, or don’t send it out. I don’t want anybody to get a postcard that is not up to their level, because I just feel like it’s a reflection of yourself.”

Murillo recommends that agents invest not only money in high-quality videography, photography, targeted advertising and marketing strategies to appeal to luxury clients, but also time in learning about it and connecting with professionals in related industries such as architecture, interior design, finance and luxury lifestyle services.

“Find ways to set yourself apart from competitors,” he said. “Whether it’s through unique marketing strategies, specialized expertise or value-added services, find what makes you stand out in the luxury real estate market. Above all, maintain integrity, professionalism and discretion in all your dealings with luxury clients. Trust and reputation are essential in the luxury real estate market, so prioritize building and preserving your professional image.”

EXPERT SOURCES

Megan McCleary,
McCleary Group, Berkshire
Hathaway HomeServices

Rafael Murillo,
RM Luxury Group,
COMPASS

Jennifer Zimmerman,
Jameson Sotheby’s
International Realty