Real Estate Video

[Grinner Hester]

many have looked into it. All of them strolled away after seeing no revenue in it.
All of them.
Realestate companies shoot realeastate tours (hance the stuff ya see). Video companies make videos. It’s an either or thang.

[Ned Miller]

Pat Bohan:

There is NO MONEY in real estate videos. Realtors are cheap, even the million plus homes. Not only did I try this but I get many calls and they want you for what amounts to at least half a day for $100-$200, and you have to give them a media file which means some editing.

Around nine years ago I tried to specialize in QTVR (Quick Time Virtual Reality), these are 360 degree panoramas, mainly of Civil War battlefields and national; parks, and then I tried to move QTVR into real estate. They were so cheap I decided to target commercial real estate developers, such as huge office buildings, warehouses, etc. There is some money there if you get in but in no way should you waste another minute going after consumer real estate. You are dealing with individual agents rather than companies and they are tight with a buck because like us freelancers they live from big check to big check.

I hope this forum has saved you a lot of time. There is no money in non-commercial real estate. It’s now DIY.

Ned Miller
Chicago Videographer
http://www.nedmiller.com
http://www.bizvideo.com

[Craig Seeman]

I’m wondering if the problem is we’re all thinking about this as “the person doing the project.”
This is not the job for your 5 digit kit.

This the job for your “intern” or the person you hire as your assistant who really wants their own project.
You have them do a few “tests” on their own property, friend’s house, parent’s house, whatever. You give them a “rule.” House must be shot and edited in an 8 hour day or less.You can give them a formula or have them create one.

When you feel they’re ready . . .
They get the Canon Vixia, Merlin hand held steady device, inexpensive Bogen tripod. Maybe a rate of $50/hr.

They shoot 2 houses near each other (broker MUST understand volume goes with proximity) in 8 hours and edit the two housed at 6 hours editing each for a total of 12 hours.
Price two house at $500 each for 20 hours.

That intern/assistant is doing $1000 on 20 hours and their pleased as punch they have their own projects to do. You’re certainly may not be taking much off the top but someone just got a job and you’re getting paid a bit as a manager.

Obviously juggle the numbers as needed but this is really for your “entry level” person and you take a small bit off the top to “manage” your hired hand.

You still have to decide if it’s worth in on the managerial end but if you have a RELIABLE intern/assistant it can work. Remember that McDonalds/Burger King, etc. are very profitable. You don’t need a master chef. You need a burger flipper. This job pays them more and pays you something as well.

[Nick Griffin]

Craig –
We don’t have any interns because we’ve always felt like there are too many times we barely have time to do the work itself without having to try to teach someone else. This is probably a shortsighted and simplistic approach on my part, but that’s the way I feel.

In terms of a business idea, Steve’s concept for offering a class or seminar on how to do it is easily the closest to something which could make money. However to truly work you’d have to take it on the road and do it in enough different places around the country to make the content seem worth the price of admission to most of these people. I myself thought about developing a DVD or writing a book on getting the most out of still photography for real estate — basics like instead of tilting the camera up at the house, move back, shoot square on and crop out the lawn. Others would be tricks for balancing lighting, Photoshop elements basics and so on.

The real problem remains, as discussed here several times, agents tend to be more than a little tight with their pennies. Only the multi-million dollar homes seem to justify professional photography, let alone professional videography. And, at least around here, the bigger players want to put together monthly or quarterly booklets of multi-million dollar homes. This has more appeal to potential buyers and is no doubt less expensive on a cost per home basis.

Several years ago I pitched a developer on heavily promoting a new project with the goal being to fill it more quickly. He simply could not get his head around the idea that spending marketing money could result in more immediate income through fewer vacancies. I stopped beating my head against the wall and moved on.

As to Todd –
What a shameless way to show off your own home. Sure, it’s somebody else’s property. All of us know that the only people in the deep south making the kind of money needed for a home like that are the ones working in film and video production. But seriously, it could be worse than the situation you describe. You could be LeBron James with a 35,000 square foot home to sell in a Cleveland suburb. That’s going to be a TOUGH sale.

[Craig Seeman]

I have two people who assist me at times and it’s $25/hr when assisting me and $50/hr when shooting. I live in an area where 1000sq ft condo goes for about $500,000 (and this is a very poor part of town). A classified real estate ad in print and online edition of the local paper is about $300 for 14 days.

In short, it depends on your market, whether one has assistants and what prices brokers are paying for other advertising. None of this means brokers will have any interest in real estate videos of course.

Certainly in a suburban area with lower population density, longer distances between locations and, homes selling for $200,000 and local paper and online advertising costs $50, is not going to present the same opportunities.

See this as typical. They have on camera person, some out door camera stuff, interiors are mostly stills.
https://www.halstead.com/properTV.aspx?video=C58783D107

another example
https://www.halstead.com/properTV.aspx?video=15C8C3828B

And a different broker. Ultimate low end complete with camera on auto everything but they’re doing videos of rental apartments that seem to be in the $2000/mo price range. The shoot probably takes 15 minutes.
https://www.youtube.com/user/roberthillnyc

Again keep in mind these are NOT videos you or I would do. There the stuff the assistant with the Canon Vixia does. They can be edited in iMovie. Again, think “fast food” product.

[Patrick Simpson]

I’ve been thinking about doing real estate video myself, but I’ve been wary of the potential pitfalls. Here’s a model I’ve come up with:

First, it seems like only higher-end homes would justify the price of a making a video; and the homes would have to be in my region (maybe no more than 30 minutes away?)

My idea was to buy a Canon Rebel T2i, basic tripod, and maybe a low-end or homemade camera stabilization system.

Then, I would only shoot short, cookie-cutter videos which I could become very fast at. And, no VO (adding VO would add a lot of time to the production).

So, the realtor would get high-quality, 1080p, web-ready videos.

I’d thought of charging $150-$200 per video (maybe I’m dreaming there, but again, only higher-end real estate). So, even if it takes me 8 hours to shoot and edit a video (which I’d hopefully whittle down quite a bit) I’d be making $18-$25 an hour. Not too bad I guess. Does anybody see problems with this model?

[Patrick Simpson]

The other idea is to do a walk-through video of the home with the realtor in the video showing off the home. This would add the dimension of having someone talking about the house.

This could mean a quicker shoot and less editing. Of course, it would also call for a wireless lav.

[Rob Jackson]

My business partner and I tried this exact venture when we moved to Charleston, SC. We had the same thought you did. “I’d love to see a video, especially as a long distance relocator. Why isn’t anyone offering it?” We went into business (not just doing real estate) and found real estate to be the worst thing ever. Unless the home is selling for $500k or more, the agent isn’t making enough commission to justify a few hundred dollars for a video. Selling agents get about 7% of the sale which they have to split with the buying agent, their parent company, and has to cover all of their marketing. After all that, the rest is what they get as a salary.

We tried all sorts of offers/gimmicks/editing tricks. Customized websites (basic template with embedded video and photos https://www.123marketst.com), videos with the agent in them giving a guided tour, and using premade templates that we dropped clips into to cut down on editing time.

The only clients we had any success with were multi-million dollar developers trying to advertise new communities, not individual homes. And those were so few and far between it’s not even worth mentioning. We also had a few apartment complexes and condos that wanted an overall video that they could use for years.

We started during the housing boom, but were quickly thwarted by the bubble bursting. We had several agents say “Yeah! We’d love a video! But we can only pay you when the house sells.” If the house doesn’t sell, or they get fired by the home owners (happening a lot right now), they’re out the money for the video. Not your problem per se, but that’s their mentality.

Real estate is OK for a few dollars when you’re really slow or if it’s someone you know and want to help them sell their home. Other than that, don’t waste your time. Most agents have a relative or friend’s relative (read teenager willing to work for pocket change)who’ll shoot on their handycam and edit with some nice iMovie template.

[Craig Seeman]

Look at the two links I posted for examples. One with broker the other just barren walls of apartments. I don’t know your market but your rate wouldn’t even justify the equipment purchase. I mention $50/hr for an “intern/assistant.” Although I use McDonalds as business model you must factor in the cost and maintenance of your equipment as well as paying for all business and living expenses. Unless you make a BIG connection you’re not going to have 40/hr week income on this either. At the rates you quote you might do better actually working for McDonalds IMHO.

[Todd Terry]

We’ve thought of this on and off for years, but have only ever figured out one way to make any money in the real estate market, and that’s broadcast commercials.

BUT… these were not spots marketing single individual properties. We’ve done a couple for individual realty companies, and we’ve done quite a few for homebuilders and developers who had different “communities” (i.e., “subdivisions”) they were developing. A couple were down-n-dirty DVcam productions, a couple more were higher-end spots (35mm film with pro actors, etc.), and the rest were more or less in the middle. None of them had budgets that anyone would ever get rich off of… I’d say the budgets for these :30s fell in the $5000-$15,000 range.

But again, none of this work was ever for individual properties. We’ve never been able to even remotely figure out how to make that work, or make money off of it. This market had a couple of 30-minute real estate shows in the past, each sponsored by a different realtor and were basically just a rather sloppy video slideshow of various homes for sale with a music bed, voiceover, and simple graphics (both produced by another company in town, not us). Both of these shows have now gone by the wayside, they just weren’t financially viable.

Oh Nick, the next time you are over here… the pool needs some attention. [insert eyeroll]

T2

__________________________________
Todd Terry
Creative Director
Fantastic Plastic Entertainment, Inc.
fantasticplastic.com