You\u2019re a property agent generating real estate leads online. You generate a decent amount of leads, of which you manage to book a few appointments with. But out of those appointments, how many sales have you been scoring? And are you satisfied with the conversion rate? <\/p>\n\n\n\n
Well, if you want more leads, you may argue you can always run another campaign. <\/p>\n\n\n\n
Spending more to get more sales is common in marketing, and most businesses don\u2019t care as long as they\u2019re selling, even with a very low conversion rate. But unfortunately, it\u2019s inefficient and unsustainable in the long term, given real estate lead conversion is much higher than you think. <\/p>\n\n\n\n
Now, the question is, what is a realistic real estate lead conversion rate? <\/p>\n\n\n\n
Knowing the potential real estate lead conversion rate will allow you to know how you\u2019re doing, and more importantly, how much more opportunity there is to grow your sales. In this article, we explain why the real estate lead conversion rate is way higher than you may think and what you can do to achieve higher conversion. <\/p>\n\n\n\n
Table of Contents: Let\u2019s first keep in mind that you\u2019re one of many real estate agents competing in the same market. Therefore, statistically, the vast majority of transactions will go through someone else. Now, if you look at how many of your leads actually make a real estate purchase within the next couple of years, you\u2019ll best understand the conversion rate of real estate leads. They don\u2019t necessarily have to make the transaction through you. <\/p>\n\n\n\n Let\u2019s do the math<\/strong>: <\/p>\n\n\n\n Average People buy two houses in a lifetime, usually between the ages of 25 and 65, meaning the average person buys a house every twenty years. In other words, out of a random 100 people in the target age group, an average of 5 people buy a house every year, or 10 people purchase every 2 years.<\/p>\n\n\n\n When you\u2019re generating real estate leads online, you have the information of potential customers genuinely interested to buy or rent properties. Therefore, you should expect a much, much higher conversion rate from this group.<\/p>\n\n\n\n In reality, the real estate lead conversion rate is much higher than you anticipate. It can be up to 40% or even higher within a 2-year period.<\/strong><\/p>\n\n\n\n If your conversation is 1 or 2 out of a hundred, you\u2019re missing out on a lot of potential customers. But it doesn\u2019t mean you can\u2019t improve your conversion rate. If you consider a few important things and follow the right practices of a real estate sales process, it\u2019s actually easy to convert an amazing number of leads. <\/p>\n\n\n\n Now that you know a large number of real estate leads actually make a purchase within a certain period, you may want to know how to capture more of these transactions. Here\u2019s a list of a few tips and best practices you can follow to drastically increase your real estate conversion rates. <\/p>\n\n\n\n In real estate, almost all your leads are your potential customers because they\u2019re either planning to buy a property very soon or they\u2019re looking forward to it in the future. They will buy a property at some point in their life, meaning even though they don\u2019t purchase from you this time, they’ll remain your prospects for years to come. Unfortunately, most property agents don\u2019t understand this. As a result, they ignore the leads that haven\u2019t converted after a campaign is over, run another campaign the same way, and lose many potential customers in the process.<\/p>\n\n\n\n If you\u2019re running your sales process this way, you\u2019re missing out on a lot of potential customers who will eventually buy from your competitors. But the good news is that more leads will end up converting if you take them seriously, manage their data appropriately, follow-up properly, and communicate effectively, albeit after months or sometimes years.<\/p>\n\n\n\n You may not be excited about sending a new message to old leads but keeping in touch with them is fairly easy. They know who you are and why you\u2019re messaging them. Let them know about the latest benefits you\u2019re offering at times. And why not also send them personalised festive greetings if appropriate? <\/p>\n\n\n\n Proper outreach is crucial to get the attention of your leads at the right time. It also contributes to opening up a conversation and finally converting them. Once you generate leads, the first thing you should do is message them fast. Reach out to your leads within the first 15 minutes of them submitting their information for the best chances of getting a response. <\/p>\n\n\n\n How you compose your introductory message also plays a great role in getting a lead\u2019s response. For instance, people are more likely to ignore random promotional-looking messages as they receive such messages every day and find it annoying. Make sure you have personalised introductory messages for each of your leads so they know why they are receiving your message. <\/p>\n\n\n\n Your messages should be clear and concise. Plus, you should address each query of your leads in a simple and understandable way. More importantly, you should ensure that your messages look like they are genuinely helping the prospects. Therefore, talk less about your products and company and more about how they are specifically built to solve the customer\u2019s issues. <\/p>\n\n\n\n Read this article<\/a> if you\u2019re looking to create effective introductory messages. <\/p>\n\n\n\n Using appropriate communication channels to contact leads makes sense if you\u2019re looking to contact them as fast as possible. After all, the right channel ensures the prospects view your message at their soonest convenience. Today, more people prefer using mobile messaging apps such as WhatsApp, iMessage, and SMS over other communication channels like emails. Therefore, you\u2019ll want to communicate with your leads on these platforms. <\/p>\n\n\n\n However, the preferred communication channel may also be unique depending on your target audience. If you\u2019re an agent providing office spaces to B2B clients, your leads may want to see your message on their business email<\/a> inbox rather than personal messaging apps. That\u2019s why it\u2019s really important to know your target audience. Choosing the right communication channel is essential for timely and effective communication.\u00a0<\/p>\n\n\n\n Also, get updated with the communication preference of your target audience to ensure you\u2019re doing it correctly. A few years ago, the preferred communication channel was a phone call, today it\u2019s messaging apps like WhatsApp or iMessage. It\u2019s only a matter of time before something new becomes popular. The most important thing is staying relevant and keeping up-to-date with modern communication technologies. It affects your first outreach and with it, a chance to include your leads in your sales funnel. <\/p>\n\n\n\n Real estate leads and their data can be useful for years. You could be communicating with your leads for months and even years before closing a sale. Therefore, it\u2019s really important that you manage your potential customers\u2019 data effectively. It includes not just storing data appropriately for easy access but also managing a proper follow-up schedule. <\/p>\n\n\n\n Lead generation sources don\u2019t store your leads for a long time. For instance, if you\u2019re generating leads via Facebook Lead ads, it only stores information for 90 days. You need to build your own system to manage leads effectively.<\/p>\n\n\n\n Depending on how many leads you receive, you have different options to manage your leads. If you receive fewer leads, you can use good old spreadsheets, such as Excel or Google Sheets. However, if you receive hundreds of leads every month, you may need a more sophisticated tool or CRM to manage them. <\/p>\n\n\n\n One of the advantages of having a proper CRM is that apart from managing your leads perfectly, it automates many tasks that take a lot of time. However, keep in mind that not all CRMs and tools are built for the same purpose. Some only transfer data across platforms while others are built for specific devices. If you\u2019re a business with a small team and limited technical knowledge, you\u2019ll want a system that\u2019s easy to use and works on your smartphones. Privyr<\/a> is a great example of such a tool. <\/p>\n\n\n\n Even though you know the best practices to convert more real estate leads, integrating them to your system can be really hard, especially if you\u2019re handling things manually. For instance, even a tiny task such as manually downloading and managing leads generated online is really tedious and takes a lot of time and effort. You\u2019ll never be able to contact your leads on time this way. As a result, you\u2019ll lose many leads without hearing back from them. This is where Privyr comes. <\/p>\n\n\n\n Privyr helps you perfectly manage all the best practices you need to convert your leads. For instance, it automatically downloads your leads from lead sources in real time. Also, once you receive leads, you can send them personalised messages on popular messaging apps within 5 seconds within a few taps because the tool also integrates with popular mobile messaging apps. This way, you don’t just contact your leads quickly but also write and send them impressive messages on appropriate channels.<\/p>\n\n\n\n Moreover, Privyr lets you store your data in your account for as long as you like, meaning you can access your prospect\u2019s information anytime you want. It also helps you manage an effective follow up schedule, so you\u2019re always in touch with all your leads without missing none.<\/p>\n\n\n\n
What percentage of real estate leads actually convert into buyers?<\/a>
How to improve your real estate lead conversion rates<\/a>
How Privyr helps you convert more real estate leads<\/a><\/strong><\/p>\n\n\n\nWhat percentage of real estate leads actually convert into buyers? <\/h2>\n\n\n\n
How to improve your real estate lead conversion rates<\/h2>\n\n\n\n
Nurture each lead<\/h3>\n\n\n\n
Improve your outreach <\/h3>\n\n\n\n
Use the right communication channels<\/h3>\n\n\n\n
Manage your leads effectively<\/h3>\n\n\n\n
How Privyr helps you convert more real estate leads<\/h2>\n\n\n\n