4 Ways to Find New Clients as a Real Estate Agent
Real estate agents benefit from a virtuous cycle. The more listings you have, the more well-known you become. The more well-known you become, the more listings you will get because you are a known quantity. How do you crack the code to get yourself into this cycle in the first place?
#1 - Tap into your network
According to the National Association of REALTORS®, “66% of sellers and 41% of buyers found their agent through a referral ... or used an agent they had worked with before”.
When you consider the financial, time, and other consequences from a property transaction, it isn’t surprising that sellers (and to a lesser extent buyers) favor people they know through the grapevine. After all, referrals have social proof based on the word of someone the buyer or seller knows and trusts.
This is why tapping into your circle of family, friends, neighbors, past colleagues, teammates, alumni groups, and others is the best way to get started. Connect with as many people in your community as you can, and let them know that you can help them with their real estate needs.
The earlier you do this, the better
If you’re in the process of becoming a new real estate agent, start reaching out to people now and let them know the career path you’re pursuing. Once you’re licensed, follow up and have a chat about your local real estate market, or offer to do a Current Market Analysis of their home. Then ask for a referral. By providing value and demonstrating your knowledge, you increase the odds that you’ll come up next time someone in your sphere is looking at buying or selling property.
For established agents, check in on your past clients. Provide any information and assistance that you can, and then (you guessed it!) ask for a referral. Drip marketing campaigns are a great way to automate this and stay in touch with a larger real estate client database. Read our tips on how to structure a drip marketing campaign that promotes client loyalty and referrals!
Be thoughtful
Don’t send off a generic e-mail blast to everyone and their uncle though. While you can absolutely work off of a template e-mail, take the time to add in a sentence or two that individualizes your message to each person.
#2 - Build Your Online Presence
NAR’s data shows that 75% of buyers and sellers contact just one agent to search for or sell a home. In a situation where the majority of individuals are going with the first person they get in touch with, staying top-of-mind becomes critical to getting quality sales leads. Your online presence also serves as additional social proof that will differentiate you from other real estate agents in your area.
Create a website with resources to generate leads
Basic real estate websites include information about you, a lead capture form, and links to MLS listings. Any listings you have are an opportunity to not only close that particular deal, but also to advertise your property buying and selling services to those in the market. Invest the time to generate a well-written real estate listing to convert your site visitors into clients.
Go beyond this by adding a blog or resources page where you answer common questions and provide links to relevant resources. This will drive sales by building your reputation as a knowledgeable real estate expert in your region. This may seem like a no-brainer, but consider that only 9% of real estate agents had blogs in 2019. A website with great content can really set you apart.
Have a social media presence
Social media is cited by REALTORS® as a source of high-quality leads for good reason. When thinking of leveraging social, many default to its ad-targeting power for selling existing listings. While this is true, don’t overlook the immense value of social when it comes to filling your sales pipeline as well. Post regularly across all of the platforms you use.
Check out community boards
Look beyond Facebook, Twitter, Instagram, Pinterest, and LinkedIn. What other places do people in your area look to? You may have access to alumni message boards and neighbourhood apps like Nextdoor where you can initiate a “local services” conversation to promote local businesses. Use your discretion here, and be careful not to spam your services.
#3 - Paid Leads
Another route you can explore is purchasing paid leads. This is typically done through online lead-generating services, or by purchasing a retiring real estate agent’s book of business.
Paid online lead generation
There are a variety of online lead sources that collect data from those interested in buying or selling their homes and forward it to you. If you don’t have much of a personal network, this is an alternative place to start out. The quality of leads vary widely, and you may find yourself cold calling for quite some time before you land a client. Prices for paid leads vary, but can cost several thousand dollars a month.
Purchasing a book of business
Another form of paid leads is purchasing a retiring real estate agent’s book of business. These leads are likely to be a lot warmer than the generic paid ones we discussed above, and you can negotiate to have the outgoing agent introduce you to their past clients so you’re not completely unknown when you reach out to them. It’s difficult to pinpoint a dollar amount for how much this could cost, but for a reliable book of business this can easily range into the high-10’s of thousands of dollars.
#4 - Going where homebuyers are
Attending open houses has been one way new real estate agents have gotten clients in the past. This is a method where real estate agents have really variable success. While you may luck out, oftentimes you may not be welcomed by the agent selling the house. Certainly during the pandemic this is not a method we would recommend.
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