Before we get into the actual topic, I want to provide a clear definition of what a real estate lead is for a typical realtor. Now about 60% of real estate leads are usually acquired through traditional methods, including working on the networks of your family and friends. There are a lot of successful realtors who do a lot of business within their network. The next type of leads that Jonathon and I focus on are leads that you get online. Now typically, a realtor thinks a lead online is just a name and a phone number. What they don’t know is that not all leads are created equally. That’s going to be the heart of this blog, the differences between the leads you get online.
Now one of the first lead types that we discuss is social leads. More specifically, Facebook leads a lot of online marketing companies to offer to their realtors. Now, these types of leads after talking to about 60 to 70 clients in different platforms have a conversion rate of 1 out of 60. Meaning out of about 60 leads that you get through Facebook, only one of them would be relatively good in terms of selling a home. The good news for you though, is that Facebook leads are relatively affordable, costing about $3 – $6 per lead. You have to consider though the cost of actually setting up a system to generate an effective Facebook Sales Funnel. For example, a Ylopo platform would probably set you back $4,000 to set up plus the high monthly maintenance cost and the actual cost of advertising on Facebook.
The second type of online leads is by using the Google Search Engine to get people into a specific landing page. There are two types of leads when it comes to Google, that’s organic search leads which you get for free after building a good page with excellent content that ranks on the first page of a google search term. And then there are paid Google leads which you get by paying a pay per click fee to get people to your page via an advertised listing on top of a search term. Depending on the cost of the keyword you’re targeting leads from Google typically cost four times of a Facebook lead. Leads vary here, depending on the keyword you’re targeting. For example, if you’re looking to target the search term “Homes for Sale Los Angeles” you can expect that these types of leads are further into the sales process and are more likely to convert into actual sales. You can expect, though, that there’s a lot of competition for this keyword, and you would have to pay a premium to advertise for it on Google.
Now the conversion rate for Google and Facebook leads aren’t that good, but that’s to be expected because you can get a lot of leads from those sources, but their interest rate varies greatly. YouTube, however, has a higher conversion rate as proven by our previous guest Malcolm who shares he converts one out of three good leads he gets from the platform. You won’t get that many leads from the platform, as people don’t really message from YouTube a lot, so all though conversion is high, the volume of leads is low. You also have to consider though that Malcolm does consistent content uploads on the platform and has built up his following for almost three years now. If you’re wondering how you can make time to build up your own real estate channel well, it’s all about finding some free time when you’re not calling leads up and doing the work to build your videos one at a time. A lot of the clients I’ve worked with have had tremendous success when they incorporate YouTube into their organic content marketing campaigns. Traffic jumps up a lot, and the SEO-value of your site will grow exponentially faster than if you build a website without YouTube videos.
So those are the three most effective online lead sources for realtors that we’ve found. If you’re looking to boost your lead generation by adding online sales funnel to your business, don’t hesitate to give us a call. Jonathon works particularly well with generating from Facebook while I work primarily on Organic Search Traffic and YouTube. If you want to learn more about these, schedule a consultation call, and let’s talk.