How to analyze local real estate competition

local real estate competition analysis

Start from the ground: precisely map your competitive area

Before opening a spreadsheet or looking at listings online, start with a simple reality: competition is never the entire city, but a set of micro-areas where buyers and sellers actually compare offers. Your first mission is therefore to define an operational catchment area, then break it down into coherent sectors (neighborhoods, corridors, school zones, proximity to transport, employment hubs, suburban residential areas vs. historic center, etc.).

Work in three circles. Circle 1 groups your core activity (where you have the most listings, customer reviews, and brand awareness). Circle 2 is the direct competitive area (where the same sellers solicit multiple agencies). Circle 3 is the expansion area (where you can gain market share in the medium term). This segmentation prevents you from comparing your agency to players who are not operating on the same field and allows you to identify pockets of opportunity.

Next, draw up an exhaustive list of competitors within this perimeter: independent agencies, franchised networks, agents, property managers who are highly visible locally, and even certain developers when they capture primary-residence leads via new builds. Also add indirect players: very active notaries, buyer’s agents, property traders, valuation sites, platforms for sales between private individuals. Their influence on the seller’s decision can be significant, even if they are not agencies in the strict sense.

Measure competitive pressure with useful indicators (not impressions)

A good analysis relies on measurable signals. Start with the market indicators that explain why competition is intense (or not): transaction volume, average time to sell, price trends, share of properties with markdowns, rental tension, most sought-after property types. The greater the tension, the more the battle is about speed, listing quality, and the ability to reassure (sellers) and secure financing (buyers).

To structure this part, you can rely on a summary of indicators and methods, notably via this external guide: Analyze the local real estate market: key indicators. The idea is not to collect numbers, but to select those that have a direct impact on your decisions: which properties sell quickly, at what level of negotiation, and in which micro-areas.

Then add competition indicators: number of active listings by sector, turnover rate (listings that come off quickly), frequency of a same property reappearing (reposting, price drop), proportion of exclusive listings vs. open listings. These elements can be read through regular observation of portals, storefronts, and local agencies’ social networks. The goal: turn a feeling (they’re everywhere) into tangible elements (they dominate a given neighborhood in older 2-bedroom apartments, but not in suburban houses).

Build a reading grid for your competitors (offer, proof, process)

For each significant competitor, create a standardized sheet. Without a standard, you’ll have heterogeneous information that’s impossible to compare. Your grid can fit on one page and include:

1) Positioning: high-end, volume, first-time buyers, investment, rentals, property management, new builds.

2) Promise and differentiation: free valuation, sale in 30 days, buyer network, home staging, virtual tours, pro photos, premium distribution.

3) Proof: Google reviews, number of reviews, average rating, video testimonials, client cases, fee transparency.

4) Sales process: appointment setting, scripts, valuation tools, seller follow-up, reporting, visit management, buyer qualification.

5) Marketing assets: site quality, neighborhood pages, blog, seller guides, presence on Instagram/Facebook/LinkedIn, local advertising.

6) Product: dominant listing types, price ranges, specialization (buildings, houses, luxury, life annuity).

If you want a more methodological approach focused on competitive analysis (notably applied to commercial real estate, but transferable to residential), this external content provides useful angles: What are effective techniques for an analysis ….

Analyze competitor listings like a quality audit (and not just prices)

Many agencies compare fees or listed prices, but neglect the quality of the marketing. Yet this is often where lead conversion and obtaining exclusive mandates are decided. Conduct a regular audit (monthly, for example) of competitor listings in your area and note:

– Photo quality: lighting, framing, order of rooms, presence of outdoor spaces, consistency.

– Information: DPE, charges, property tax, co-ownership, work needed, orientation, detailed areas, floor plan.

– Narrative: hook, text structure, use-oriented arguments (schools, transport, neighborhood life), transparency about flaws.

– Proof of professionalism: virtual tours, 2D/3D floor plan, video, precise geolocation or not.

– Pricing strategy: aspirational price then reductions, market-aligned price, or underpricing to generate a high volume of viewings.

Then classify the listings into three categories: premium (hard to beat), average (can be improved), weak (where you can clearly win). This reading helps you prioritize: there is no point in pushing hard against a player that lines up a far superior marketing pack on a micro-area you don’t yet master. It’s better to look for segments where the competition is weak or inconsistent.

To go deeper into the idea of structured analysis and points of comparison, this external content can complement your approach: Competitive analysis in real estate.

Carry out a comparative market analysis like a buyer

Local competition is also understood by putting yourself in the shoes of the end customer. A seller compares: Who sells best in my neighborhood? Who inspires trust? Who has a buyer base? A buyer compares: Who offers relevant properties? Who responds quickly? Who gives me reliable information?.

Build mystery-shopper journeys: you contact 5 to 10 competitors as a seller and then as a buyer, with a credible scenario. Measure response times, the quality of questions, the ability to qualify, the clarity of explanations, the offer of an appointment, the sending of a valuation opinion or a selection of properties. You will get an operational truth: sometimes, a very visible player is actually slow, poorly structured, or weak on follow-up.

In your sector, the key tool remains comparing similar properties (competing properties, sold or for sale) to read agencies’ real positioning. For a more complete framework, you can consult this external guide: Comparative analysis of the real estate market: a tool ….

Decode the digital strategy of local players (where many leads are born)

Part of the competition is now played out even before the first call: Google visibility, reputation, content, website conversion. Analyze:

– Local SEO: does the agency show up for agency + neighborhood, valuation + city, buy apartment + area?

– Google Business Profile: review frequency, responses, photos, posts, consistency of services.

– Website: speed, mobile ergonomics, clarity of CTAs, forms, neighborhood pages, valuation pages, social proof, lead capture.

– Advertising: retargeting, local sponsored ads, presence on Meta, YouTube, or Waze/Google Maps depending on areas.

– Content: seller/buyer guides, local news, renovation advice, taxation, financing.

To make your observations more objective, run a simple audit: rate from 1 to 10 the perceived quality, usefulness, and trust the website inspires. Then compare with your own materials. If you want to go further regarding your current situation, you can launch a diagnosis via Take advantage of one of your current site.

Compare local brands: promise, tone, proof, and consistency

Two agencies can offer the same sales/rentals service, but not inspire the same confidence at all. Yet locally, brand preference weighs heavily: a seller often signs with the agency that feels serious, even if the fee gap is real. So analyze the competitor’s brand as a whole: tone of the messages, visual consistency, quality of materials, regularity of publications, and above all the clarity of the promise (Why them?).

Assess the consistency between messaging and proof. Example: “neighborhood expert” must be supported by ultra-local content, on-the-ground presence, reviews mentioning the neighborhood, visible recent sales. “Premium” must translate into imagery, virtual tours, seller follow-up, an impeccable experience. When the promise isn’t supported, it’s an opportunity: you can position yourself more clearly.

To structure your own differentiation (and thus better read others’), this internal resource is relevant: Brand strategy for real estate agencies: what to do?.

Study differentiation tactics in the offer: mandate, service, guarantees

Locally, many players look alike. Those who pull ahead often do so through clear packages: pro photo shoot included, virtual tour, floor plan, boosted distribution, weekly report, financial pre-qualification, notary support, or even guarantees (means commitment, deadlines, framed price adjustments). Your analysis must therefore focus on the real offer, not the stated offer.

List the offer elements that keep coming up among competitors, then spot what’s rare. For example: renovation support and 3D projection, investor specialization (profitability, cash flow), condo expertise, or the ability to source buyers from outside the area (network, expats, major cities). Then identify the level of proof: a competitor who claims a quick sale without numbers or detailed reviews leaves a gap.

For a more direct reflection on differentiation in your profession, you can consult: How to stand out from the competition in real estate?.

Observe operational effectiveness: timelines, process, tools, and customer experience

Two agencies can have similar communication, but very different performance depending on execution. Look for signals of effectiveness:

– Speed of lead handling (response, follow-up, appointment).

– Quality of qualification (need, budget, financing, timeline).

– Organization of viewings (time slots, grouping, post-viewing follow-up).

– Quality of seller reports (frequency, content, recommendations).

– Document management (KYC, documents, preliminary sales agreement, notary exchanges).

A lever that’s often underestimated: administrative smoothness. An agency that reduces friction inspires trust, speeds up signings, and secures sales. On this point, you can analyze how competitors digitize their journeys (files, approvals, signatures). To go deeper with a concrete tool, this internal resource can help you: Usefulness of electronic signature in real estate.

Compare content production: who captures attention before the need arises?

Locally, content serves two purposes: gain visibility (Google, social networks) and build trust (proof of expertise). A competitor that regularly publishes useful content can capture prospects very early on, then convert them when the project matures. Analyze: frequency, topics, quality, and obvious links to local life (neighborhoods, schools, transport, urban projects, local taxation, price trends by micro-area).

Don’t just look at who publishes, but who converts. Clues: presence of simple forms, downloadable guides, valuation/estimate, appointment booking, neighborhood pages. An agency that produces a lot but doesn’t convert also leaves an opportunity.

To identify the formats and topics that really attract prospects, you can rely on: Real estate blog: the topics that attract the most prospects.

Assess the impact of new technologies: listings, AI, automations

Some agencies gain ground because they produce faster and more regularly: better-written listings, variations by portals, automated follow-ups, email nurturing, buyer segmentation, etc. In your analysis, identify players that publish very consistent, structured listings adapted to local expectations: this can signal a solid editorial process or the use of advanced tools.

Without copying, you can draw inspiration from the best practices observed: clear listing structure, lifestyle benefits, transparency, condo/co-ownership information, highlighting truly differentiating strengths. To understand how to industrialize writing without losing quality, this internal resource can be useful: How AI can write your real estate listings automatically.

Read the institutional competition: developers, new-build programs, and communication

In some areas, local competition isn’t limited to existing homes. A well-established developer can capture a significant share of leads thanks to effective digital communication, highlighted financial schemes, and awareness campaigns. Even if your core business is different, these players influence customer expectations (presentation, transparency, visual quality, reservation tools, reassurance).

Observe: which programs dominate sponsored results, which pages rank for local queries, which promises are highlighted (eligibility, reduced fees, guarantees). This read also gives you ideas for presentation standards (floor plans, projections, neighborhood storytelling) that can be applied to existing homes.

To understand the challenges and levers of this digitization, you can consult: Why developers must digitize their communication.

Summarize: turn findings into an action plan (priorities, tests, tracking)

An effective analysis ends with decisions. Group your observations into a simple matrix:

– Threats: competitors very strong in your core micro-areas (exclusives, reviews, speed, ultra-local content).

– Opportunities: segments where listings are weak, where reviews are rare, where the promise is vague, or where response times seem poor.

– Internal strengths: what you already do better (seller follow-up, neighborhood expertise, buyer network, property presentation).

– Priority initiatives: max 3 actions for the next 30 days (e.g., improve the valuation page and the Google Business Profile, standardize listings, set up weekly seller reporting), then 3 actions for 90 days (e.g., neighborhood pages, content strategy, tested paid acquisition, qualification process).

Finally, set up tracking. Local competition moves fast: new independent agents arriving, team changes, new ad campaigns, quality drops linked to volume. Schedule a monthly review (30 to 45 minutes): share of voice on portals, customer reviews, new offers, listing quality, and local SEO positions. With this rhythm, your analysis becomes a continuous advantage rather than a one-off exercise.