(article previously published in February 2014)
To get financing from a bank, nowadays, you need to have a large part of the development sold before you can start talking.
This can only be achieved by transmitting confidence, as nothing has been built yet.
This trust must be transmitted to two different channels: the bank and the customer.
Why the bank doubts your project and how to give them confidence in it
Increasingly, entities are asking for their project to be credible and solid.
Do you remember what it was like not so long ago? I know, much easier. In fact, there was a very favorable predisposition on the part of the banks.
Everything was easy. Just the opposite of what is happening now.
Apart from the fact that the banks themselves have now become developers, and are therefore very tough competitors, convincing them is a titanic task.
Key strategies to seduce your customer from the very first rendering
Customers know the market. They always know it, don’t forget, but now, they are the ones who have the power. Just the opposite of what used to happen. Developers took advantage of that situation and, with relatively little effort, sold at the price they wanted.
This has also changed, as you know very well. That’s why more and more entrepreneurs understand that in order to win, you have to invest more than before.
Mistakes that alienate bank and customer (and how to avoid them)
We have always said it: architectural visualization companies should have a lot of work in times of crisis.
When everything was sold, we were not needed, now we are.
Let’s remember that the real estate business is based on selling something that has not yet been built.
The end customer is willing to make the most important purchase of his life, taking a mortgage for life, taking a very brave step:
buying something that doesn’t exist. You need confidence.
The architectural visualization, through a very visual language, is able to seduce you.
The same goes for banks. We think it is a question of numbers, but no, it is a question of trust, of credibility.
How do you deal with those first meetings with the bank?
Do you just talk and state numbers?
Although we sometimes forget, we are talking to people, not entities. If the RE Developer does not transmit his commitment to what he proposes,
the bank will not take the next step.
Investing in visualizations: how much to spend and why it pays off
However, do not expect to win this battle without making an investment. I recommend that it should not be minimal.
If you go with just enough, you will not get the whole pie.
We already know that what architectural visualization offers is not the solution to your business. But we also know that it will help you more than you think.
Many are doing so with magnificent results.
Only with a quality presentation will you achieve your goal. Another more conservative approach will only be a waste of time and money.