Real Estate Lead Generation
The Ultimate Guide to the Top 13 Real Estate Lead Generation Sources
Written by: Jason White
Whether you are a new Realtor fresh out of real estate school or an agent who has closed several transactions, experimenting with and learning which real estate lead generation sources work for you is vital to your business.
A successful lead generation strategy will attract potential clients and position you as a trusted expert in the industry.
If you're wondering how to get real estate leads, you're in the right place.
I've closed hundreds of transactions over the last 20 years (without buying leads) and learned that finding sustainable methods will help scale your business and create income stability.
Staying on top of the latest ways to keep your phone ringing can be overwhelming. I get it. Just know that some of the best ways to generate buyer and seller leads have been around for decades.
Below, we've compiled 13 real estate lead generation strategies to grow your business and stabilize your income stream. From leveraging your database to hosting engaging events, we'll provide lead-generation tips to help you succeed.
The Importance of Lead Generation
Real estate sales is a highly competitive industry with pretty high expenses. To keep your business going, you need a consistent flow of clients coming in, and that's where a lead generation strategy is necessary.
Staying Updated on Lead Gen Methods
In the past, cold calling and door-knocking were effective. Today, few people even answer the phone and forget about knocking on a door—Ring and Nest cameras will keep you at bay. Another downside to these lead-generation strategies is that they are time-consuming.
More effortless and modern techniques exist to generate buyer and seller leads.
Benefits of Effective Lead Generation
Building Relationships: Proactively searching for new leads allows you to build relationships with new potential clients and audiences, enabling you to grow your personal brand and build trust.
Increasing Profits: Generating leads brings more awareness to your business. Once you have tested methods of generating leads, you can keep the ones that work and cut the methods that don't work well or come at a high cost per lead. Testing and refining your lead gen methods results in increased net profits for your business.
Growing Your Business: Attracting more prospects is crucial for increasing the number of closings. Effective lead generation can build your brand through word-of-mouth referrals and brand awareness.
Now that we've established why lead generation is essential let's look at how to generate real estate leads using our top strategies.
Get a Feel For Your Style of Lead Generation
The great thing about being a real estate agent is that you can build your business around your strengths and aspects of the business that feel comfortable to you. Creating your lead generation strategy is similar.
There are many ways to track and improve lead generation. Run a campaign for several weeks and gauge the response rate and cost per lead. If one isn't working, pause to adjust the creative or pull it all together.
Remember: Keep what is working and add one new method to test the response.
Creating a solid strategy isn't complex. Creation just requires requires time, research, and patience while testing.
To test a strategy, you'll need to let it run for enough time (On social media, that may be running daily for a week. For email or direct mail, that may be at least 3-6 months). Why? It's because the cycle time for real estate sales is long. People usually start looking at homes to purchase or prepare their property for sale months in advance.
The marketing rule of 7 applies to real estate advertising. According to the University of Maryland, Baltimore, consumers need to see your service offer ads at least seven times to notice who you are, understand your service offer, and make a decision to contact you for a buyer rep or listing of their home.
In short, advertising takes time and repetition—the chances of you running an ad one time and receiving a solid lead are low. Your patience and consistency are what will bring you new clients.
Top 13 Sources for Real Estate Agent Leads
As you explore the following strategies, consider trying these proven methods for lead generation.
If you are a new agent, pair this information with our free new real estate agent checklist to KickStart your career.
No. 1: Your Existing Contact List
Staying in touch with your past clients and sphere of influence (SOI) is one of the top lead generation sources for agents.
It's time to go through your phone contacts, spreadsheet, or CRM to connect with your clients and SOI —they hold the key to connecting you with more clients!
Here are a few tips on how to leverage your existing contact list:
Email: Send an email with a referral program to encourage past clients to refer friends, coworkers, and family.
Text or Call: Staying in touch with your closest friends and best past clients with a quick call or text to say "hello" can be effective. Spend a few minutes asking them how their family or work is going for them. Questions around these two topics are a great conversation opener. Most people love to talk about themselves and for someone to listen even more. The brief conversation will warm their hearts and keep you at the top of their mind when they hear of someone looking to buy, lease, or sell.
Real Estate Newsletters: Regularly send newsletters updating your contacts on your business, new listings, and domestic repair or decorating tips, and gently remind them that you are accepting new clients.
Social Media Followers: Encourage your existing followers and friends to like and share your content on social media to amplify your reach across the channels. Posting a new listing, a picture of clients at closing, or a screenshot of a 5-star client review can be very effective in reminding them that you are selling real estate.
By nurturing your existing relationships, you can turn past clients into valuable referral sources.
No. 2: Open Houses
Open houses, done well, can provide you with a dozen or more prospective buyer and seller leads from just one open house!
Pop Quiz: True or false? After the new NAR settlement rule changes, an open house attendee must sign a buyer representation agreement before you talk about the home with them. Answer: False
Here's how to maximize your open house events:
Incentives: Advertise that you'll provide food, drinks, and entertainment to attract the crowd.
Make it highly visible: Advertise several days in advance online and use multiple "Open House" signs.
Mingle:
- Invite the neighbors and your contacts to attend.
- Build relationships, and establish yourself as the local expert.
- Offer a warm smile and helpful information.
Follow-Up: After the open house, follow up with attendees to thank them for attending your open house and offer additional information about your listings or other homes for sale in the area.
No. 3: Neighborhood Farming
Neighborhood farming means consistently advertising your real estate services to a select list of addresses. In most cases, farming takes 1-2 years to provide you with significant seller leads. So, you must have a sustainable budget and patience. Mailing 1-3 times is ineffective and a waste of your advertising budget. Don't do it! Additionally, the minimum recommended list size is 100 addresses.
According to Redfin's data analysis, homeowners in the US sell every 12.3 years on average. Interestingly, the number of years of homeownership has significantly increased over the past 20 years—the baby boomer generation accounts for it. In short, when they are ready to move, they might as well hire you. Stay in front of them!
Here are key strategies for successful geographic farming:
Dive Into the MLS Data: Identify a group of homes with sufficient turnover rates to justify your marketing investment. Do 100+ homes come up for sale every year? If not, move on to another area. Next, look at the listing agents who have listed homes in the area over the last 12 months. If you see a pattern of one or two listing agents listing 1/2 of the homes, this means they have a strong brand presence in the area—skip it and continue looking in another location.
Consistent Mailings: Send regular mailings, market updates, and local success stories to demonstrate your activity and presence in the area. What does consistency look like? Mailing at least quarterly is a good start, and monthly is best.
Branding: Position yourself as the local expert by consistently showcasing your knowledge and activity in the neighborhood. The imagery on your print pieces should clearly say you are the "neighborhood expert" or a Just Sold card with "another successful sale by (Your Name)." Yes, these types of mailings do work. I once had over 40% listing market share in a community.
No. 4: Referrals from other Agents
Taking referrals from other agents is another excellent source of leads. The warm handoff from one Realtor to another transitions into a successful closing at a high percentage rate.
Here's how to maximize agent-to-agent referrals:
Networking: Attend industry events, conferences, education classes, and local real estate meetups to build relationships with other agents.
Pro tip - Attend the events and classes OUTSIDE your market area and hand out your business cards to the agents after a brief conversation. Better yet, find out the cities where most of your relocation buyers are coming from and attend agent events and in-person classes in those cities.
Build a Referral Network: Identify agents in strategic locations and cultivate relationships. Be clear that you know your area well, offer exceptional service, and pay a generous referral fee to the agent. Build your network on social media or, better yet, research top producers in other markets, call them with a quick 1-minute introduction, and follow up after the call by texting or emailing them your contact information.
Educate and Share: Create a group where agents can share ideas and referrals. Sharing of information builds relationships and a sense of reciprocity.
For all these methods, staying in touch at least once a year is essential so you'll be remembered as the go-to referral agent in your market.
No. 5: Online Real Estate Platforms
As you can imagine, having a digital presence is vital in today's market. In fact, according to the NAR 2023 Home Buyers and Sellers Generational Trends Report (this report is a must-see), 96% of buyers percent of home buyers used the internet to search for homes. For buyers ages 24-42, it was 99%! According to the survey summary report, most buyers found the home they purchased online or through their agent.
Usually, your listing is syndicated to popular platforms like Zillow, Realtor.com, and Trulia. As of 2024, Zillow has the most website traffic by far, with millions of people using the website each month. However, did you know these websites sell your valuable buyer inquiries to other agents? Yep. So, you'll need to either pay the platforms to receive your leads or create your own advertisements outside the platforms to generate buyer leads.
Here are some listing tips for maximizing buyer interest:
Compelling Copy: What is copy? Copy is the written word in an advertisement. Create detailed, appealing listing descriptions that resonate with the target audience. Include key selling features of the property, convenience of the location, quality of schools, and a description of the neighborhood lifestyle. Spend time writing and editing the property description. Your clients will thank you.
Pretty Pictures: Everyone loves looking at gorgeous homes. Spend the money on hiring a talented professional real estate photographer. Guide your seller clients on preparing their homes for the photo shoot. The closer it looks to be "picture perfect," the better. You have about three seconds to capture the attention of a home buyer shopping online. Publish high-quality images!
Paid Placement: Use paid advertising features on these platforms to increase visibility and listing views to increase the number of leads you generate.
Respond Quickly to Leads: Respond quickly to inquiries (ideally within 3 minutes if possible) and engage with potential clients to build rapport and trust. Responding fast will significantly increase your likelihood of working with that person.
No. 6: Expired Listings
Pursuing expired listings can be a lucrative strategy for generating seller leads. After all, you already know they want to sell and are open to paying a broker a listing fee.
Here's how to approach it effectively:
Empathy: Remember that homeowners with expired listings are facing challenges. Approach them with a genuine desire to help. Often, the homeowner is frustrated with the market results or their list agent. So, offer valuable professional advice and a solution to their problem. After all, you both want the same thing, which is to sell the house.
Direct Outreach: Use direct mail, phone calls, or even door-knocking methods to connect with these homeowners. Note: other agents will be contacting these owners, too, so move quickly (ideally, make contact within the first three days after the listing expiration).
Showcase Success: Share with them your portfolio of successful closings. Consider sharing cases where you helped another expired seller, what the issues were, and how your approach fixed them, resulting in a successful closing. Your confidence as a listing agent establishes you as an expert.
No. 7: Seller-Specific Online Marketing
Online marketing to a seller audience will connect with sellers looking for a listing agent to sell their property.
Use these strategies to attract leads who are contemplating selling their homes:
Make Your Service Clear: On your website and in advertisements, make it clear that you are a listing agent. Overview your service and what's included, detail your service area, and highlight your SOLD listings.
Engaging Content: Create blog posts, videos, and social media content that address common seller concerns, such as home value and market trends. Share enough information so they feel confident that you know your stuff and are successful at helping homeowners. Hiring a listing agent is a big decision for them.
Email Campaigns: Nurture potential seller leads by sending targeted email campaigns with valuable content and resources.
Call or text: Stay in touch with your seller leads at least every three months, even if they are considering selling in 1-2 years.
Finally, position yourself as a trusted resource for potential sellers by providing helpful information. Listen to their needs and offer a solution.
No. 8: Sign Calls
Utilize sign calls from listings to generate leads.
Here's how to make the most of your signage:
Visibility: Place as many "for sale" directional signs as local regulations allow.
Easy-to-read Signage: Ensure that people can read your sign from a moving vehicle. Font selection, size, and color pallet can improve visibility. Include your name, contact information, and a call to action, making it easy for passersby to reach you. A QR code on the sign that leads them to a contact page can work well.
Follow-up: Follow up with interested parties promptly and keep track of sign-call leads on a lead sheet, spreadsheet, or CRM.
Amplify: Want even more leads? Consider printing paper information flyers and attaching a flyer box to the sign.
No. 9: For Sale By Owner (FSBO)
Are you fearless and confident in your skills as an agent? Well then, FSBO properties can be a great source of business for you.
Here's how to approach FSBOs effectively:
Direct Engagement: Don't just drive by. Be confident and knock on the door. If there's no answer, call the number on the sign. After all, they are advertising the property for sale and should be ready to talk with people. Let them know that you work with a lot of buyers in the area and would like a tour of the property. Many FSBO sellers will gladly pay you for bringing them a buyer.
Provide Value: Offer a free market analysis or other resources demonstrating your expertise and willingness to assist them.
Build Rapport: After they know that you know your stuff, ask them if it's okay for you to advertise the property or hold an open house. If they aren't ready to hire you immediately as the listing agent, maintain the relationship and check in periodically. In most cases, they will end up hiring a broker. Hopefully, you!
Offering free insightful information boosts your credibility and helps turn them into potential clients.
No. 10: Real Estate Investors
With increasing interest in real estate investments, this segment presents excellent opportunities for lead generation.
Here's how to connect with investors:
Research: Identify local investors by asking your title rep for reports on property owners with multiple holdings.
Offer Value for Acquisition:
- Position yourself as an agent who can source off MLS properties.
- Offer free MLS data.
- Provide insights on market trends.
Build Relationships: Attend real estate investment clubs and seminars to network with potential investor clients.
Offer a Discount to Sell: Investors are all about saving money to increase net profits. If it's doable for you, offer an attractive price to list their properties for sale. Keep in mind that investors will likely be repeat clients.
By gaining visibility within the investor community, you can position yourself as the go-to agent for investors looking to buy or sell properties.
No. 11: Social Media Marketing
Social media has transformed the way agents collect potential leads. Engage with your audience on Facebook, Instagram, YouTube, and LinkedIn.
Here are the best practices for establishing your social media presence:
Engaging Content: Post regular updates at least once a week to share market insights and behind-the-scenes looks at your work to create an authentic connection with your audience.
Targeted Ads: Utilize paid advertising options to reach specific areas and gain extensive reach to generate leads.
Community Engagement: Participate in private groups and forums where potential clients connect. Provide value by responding to questions without overtly selling or saying you are the #1 agent...blaa, blaa, blaa.
No. 12: Video Marketing
Short-form and long-form video content are highly engaging media to connect with potential clients and advertise your listings.
Here's how to use video marketing effectively:
Virtual Tours: Create high-quality video tours of your listings to walk buyers through the home in an immersive experience.
Educational Content: Develop informative videos discussing real estate tips, market trends, and the home-buying or selling processes to establish yourself as an expert.
Live Streams: Host live Q&A sessions or live open houses on platforms like Facebook or Instagram to engage with your audience in real-time.
Utilizing video as part of your marketing plan can significantly boost your lead generation results.
No. 13: Educational Workshops and Webinars
The 13th and final lead generation source is hosting educational workshops and webinars. This strategy allows you to position yourself as an expert while attracting potential leads interested in learning more about the real estate market.
Here's how to implement this effectively:
Identify Relevant Topics: Choose subjects that resonate with your target audience, such as "Navigating the Home-Buying Process" or "Investment Strategies in (city name)."
Promote Your Event: Use social media, email marketing, and community bulletins to promote your workshop or webinar. Consider offering incentives like free resources for attendees.
Follow-Up: After the event, send thank-you emails to participants with additional resources or a call to action, encouraging them to reach out for personalized assistance.
By providing value through education, you can establish trust and credibility with potential clients, ultimately generating more leads.
Conclusion
As you can see, there are many ways to generate leads. A diverse lead generation strategy will provide you with sustained growth and success as a real estate agent. By testing these 13 sources, you can find what works to create a pipeline of potential clients.
From nurturing existing relationships and hosting engaging events to utilizing social media and educational workshops, each lead generation source offers unique opportunities to connect with prospects.
As you explore these strategies, remember that the key to your success lies in a relentless pursuit to improve your business processes and a genuine desire to serve your clients.
Start by choosing one lead-generation technique to try today!
P.S. Are you a buyer agent wanting to improve your skills and close more transactions? If you said yes, check out our 1-hour on-demand online buyer agent class.