ONE of the questions we hear most frequently by both experienced professionals and those new to the industry is…” Where do I find the best leads?” And in a shifting market, the frequency of the question increases. The question always resolves into the discussion of “how to buy real estate leads” and “who to trust” as a resource.
There are many philosophies…there are even more opinions on buying real estate leads. And the opinions are often influenced on the tenure of the professional. We’ll address that a bit later in the Blog. Make no mistake, leads are expensive, yet the return can be very rewarding. More often the return is costly and frustrating. In addition to the financial investment, the time, energy, and efforts may be exhausting. Let’s explore!
Should I buy real estate leads?
This is a professional choice and should be driven by multiple factors as it relates to today’s individual real estate professional. Purchased leads should always supplement the professional’s business. For purchased leads to be the sole resource for income is costly and risky.
The experienced professional will find that to buy real estate leads potentially strengthens and increases their market share and provides dimensional resources outside of their existing scope of business. Typically, rainmakers provide purchased leads to team members to keep the pipeline full. The well-trained buyer’s agent can track down the purchased leads and invest the time required to convert the lead to a successful sale.
To get real estate leads that are purchased to the closing table takes a specific, refined skill. Not only does it require patience and follow up, but it also requires training. Training for lead conversion is essential. Realty ONE Group focuses on delivering lead conversion training, thus ensuring the success of the spend. Buying leads without the skill to convert the leads is like brushing one’s teeth while eating Oreos…lots of energy, lots of effort…little results.
The key to profitability when buying real estate leads is conversion. The key to conversion is accountability. The key to accountability is tracking. With all the other roles, responsibilities and requirements demanded of today’s real estate professional, it is impossible to manage the conversion rate effectively and efficiently without comprehensive, fail-proof systems in place for tacking and accountability. Put your systems in place before making the spend.
Before spending money on leads, invest in a CRM. Realty ONE Group provides an industry leading solution for the professional with a suite of tools to ensure tracking and accountability is at your fingertips. The proper CRM is your greatest resource to build your business and ensure sustainable income. Whether you buy real estate leads, or your leads are from your sphere of influence (and purchased leads should resolve into your SOI), the right CRM is essential.
ONE additional benefit of the proper CRM is that it provides today’s professionals with tomorrow’s solution. To build a business that can be transferred and sold to the next generation. Only properly managed data bases are marketable, so get your data in order today to provide a succession solution tomorrow! We will discuss this in a future blog!
- Follow Up:
In every aspect of all sales practices, follow-up is vital. Purchased leads are frequently long-term (especially in a shifting market with low inventory). Conversion success is determined by the strength of the follow up system.
How and where do I buy real estate leads?
This is truly a dance. And the dance is local and fluid. The best advice is to know which providers are providing desirable leads for your market. As a rapidly growing, international company we hear varied reports for results in our network. We recommend that you aggressively vet each provider and only sign short-term agreements (preferably month to month) if the dynamic change as the market shifts.
Currently all providers are flexible and will agree to short term agreements that can be evaluated and renegotiated. Don’t get locked into a relationship that will be a financial burden to you.
ONE last thought on buying real estate leads:
I would be completely remiss and irresponsible if I did not share that buying real estate leads may be a great alternative and resource to build and grow your business. However, it should be a supplement only. Yes, real estate is global. Yet successful professionals who are building and maintaining sustainable real estate businesses today are leaning into their wisdom, knowledge, and most of all their influence.
Regardless of your experience in the industry, the ONE thing that buyers and sellers need today is a navigator who can successfully guide their journey. Therefore, do not underestimate your power, your influence.
A reminder to the experienced professional; over 85% of both buyers and sellers report that they would use their REALTOR® again, yet less than 15% of real estate agents report their business is a result of repeat buyers and sellers. What? Yes!
The challenge is simple. A great real estate market (which we have all experienced) creates really bad habits. Lack of systems, lack of discipline and the urgent need to “buy real estate leads” rather than doing our job.
That is why as an industry leader, Realty ONE Group provides the most efficient and effective tools available in our ONE Suite. We empower our professionals to tap into those they have previously influenced, remind them who they are; where they are and that they would be honored to serve them again…
As a lesson for those new to the industry; begin with the end in mind. Build your business with a legacy mindset. ONE day, you will want to sell your database. Prepare now to make that happen then. It’s about influence and communication more than buying lead after lead after lead.
Keep in mind, it’s the small things that will set you apart from your competition. Pay close attention to the details, listen to understand, not respond and always, be a resource, not a sales pitch!
Realty ONE Group offers Real Estate Professionals 100% Commission AND the best training, support, technology, and tools in the industry! Learn more on how you can grow your business with Realty ONE Group!