The Top 4 Best Real Estate Lead Generation Tools
Lead generation is the practice of generating new clients. In the case of real estate, it is the process of forming relationships with buyers and sellers who utilize your expertise in property transactions. Unlike typical careers where you are paid by the number of hours you work, real estate is based on commission from closed real estate transactions. And if you don’t have leads to close, your opportunity to earn money is squashed.
Some of the best real estate lead generation tools are also the most obvious and undervalued. When an agent runs out of free time, prospecting can get put on the backburner. The agent prioritizes showing properties and working with their current buyers and sellers, rather than reaching out to people who might be eventually interested. As a result, the agent’s business becomes unpredictable with business booming in some seasons and scarce in others.
The reality is that prospecting, or generating leads, has to be a constant practice that keeps fresh clients incoming. Here are some lead generation tools for real estate agents that you should always utilize:
Experienced and successful agents all agree that your database is your best real estate lead generation tool .in lead generation efforts.
What is your database? It’s the collection of everyone you come in contact with and their contact information. Your family, friends, renters you’ve worked with, people you’ve shown properties to, people you’ve met at trade shows, the email list for the local chamber of commerce you’ve joined — these are all people who should be in your database.
When you’re looking at your database, your information should be as complete as possible. You should have their full name, email address, phone number, address, as well as any other relevant data in there. Without a successful database, all of your other lead generation tools are meaningless. A database allows you to follow the life of a client and keep them in your pipeline.
Social Media Platforms
With over 2.8 billion people on Facebook alone, social media platforms are a huge component of everyday life for people everywhere. We know that people rely on social media platforms as a source of information, news, and recommendations for products and services, and real estate is no exception.
At a basic level, people who are looking for your business should be able to find you and read about the basics of your business, a few testimonies, and a brief biography. Having a social media presence allows you to put your contact information out there and share content that will be useful for potential leads. This will allow for organic, or naturally occurring traffic and exposure. Social media platforms are also helpful in launching your paid advertising efforts. If you don’t have a large sphere of influence or are just getting started, paid marketing might provide the initial exposure required to kickstart your business. And check out our guide to Facebook marketing.
With real estate lead generation tools specifically designed to narrow your focus on specific geographical areas, interests, and more, social media marketing is a lucrative way to engage people you’ve never met before. This might mean more engagement on your content, which is measured in likes, shares, and comments. It might also result in people reaching out to you to see a property that you’ve listed, or to evaluate their home to create a comparative market analysis and identify how much it is worth in today’s market.
Social media can mean investing marketing dollars or it can serve as a purely grassroots effort with your existing sphere of influence. When you set up your page initially, invest in inviting your friends and family to like your page. Send personalized messages inviting people to check out your business and support your endeavors.
One of the oldest yet best real estate lead generation tools agents utilize is the open house. Putting signs around the neighborhood, balloons outside the front door, and inviting the neighbors and public to walk through a house that’s on the market and available to buy. And for those who are doing virtual events, see our virtual open house guide.
Before the event, you should walk around the neighborhood and invite the neighbors to come and check out the house. Oftentimes, they will have a vested interest in how the house sells – as it will potentially raise the value of their own property if it performs well in the market. You can even offer a few minutes before your publicly advertised hours exclusive to neighbors.
During the open house, you might find someone who is unrepresented and would like to explore purchase options on the house. Maybe the house you’re conducting the open house on isn’t the perfect home for them, but that doesn’t mean you couldn’t show them other houses on the market.
After the open house, plan on doing a fair share of follow-up. Were there people who stopped by and expressed interest in the home who might be interested in knowing that you’re looking at receiving an offer in the next day or so? Evaluating the people who visited your open house and how they fit in as a potential lead, adding them into your database, and marking them accordingly. Then, make sure to actually follow up!
Referrals and Word of Mouth
Without reinventing the wheel, referrals and word of mouth are an incredible source of attracting new leads and should not be overlooked as a lead generation tool. Just reaching out to your existing book of clients you’ve helped and asking them for a recommendation or share can help generate a number of additional leads for your business. According to the National Association of Realtors, nearly 64% of sellers found the agent they used from the referral of a friend, neighbor, or relative. With that statistic in mind, it is safe to say that most leads are referred by others.
This is another great tie-in to the importance of your database, as it helps organize the rest of your real estate agent lead generation tools. Investing in continued communication with closed deals is a meaningful method of lead generation that shouldn’t be overlooked or discounted. When people hear someone closed on a house, there is a good possibility they will be asked who they worked with. This works the same way with sellers who potentially sold their home for over asking price or in just a few days.
Boost Your Real Estate Lead Generation Tool Arsenal Today
Real estate is more than a job — it’s a personal business that feeds your family. Without a flow of sufficient leads, your business can’t function properly. If you find yourself in this predicament, consider a free consultation with our team.
If you’ve recently entered the real estate industry, or are struggling as the market changes in the wake of a global pandemic, consider engaging an experienced real estate coach. Our coaches have decades of refined skills and knowledge in the real estate market and can help shape your lead generation efforts to make them as productive as possible.