Whether you’re a new agent or a seasoned veteran, generating real estate leads remains essential to growing your business.
There are several ways to generate seller and buyer leads. Digital marketing and content creation are great options for organic lead generation.
On the other hand, buying leads is an easy, hands-off solution. Whether or not your purchased real estate list produces valuable leads depends largely on the lead generation company and the current real estate market.
Keep reading to learn more about paid leads and whether they’re worth buying.
What are paid real estate leads?
Paid leads are typically potential buyers or sellers pulled from a database and compiled into a comprehensive contact list. You can purchase a real estate lead list online from a lead generation company.
Researching the company before buying a lead list is important, as each lead generation company has pros and cons. For example, some lead list companies send the same leads to several agents, while others offer exclusive contacts to one agent.
How much are real estate leads?
The cost of these leads ranges drastically from less than $1 to over $1,000 per lead.
Many real estate lead list companies charge a monthly fee on top of the cost per lead. For example, you may pay $250 monthly to use their platform and around $3 per lead generated.
If you’re paying for leads, you must ensure it’s worth your time and money. Keep track of your results and set a monthly or quarterly lead list budget.
Is buying real estate leads worth it?
Buying real estate leads is a good option if you see a lull in your business activity.
Purchased leads are also usually worth it if they result in at least one real estate transaction. If you spend around $1,000 on a lead list and gain one client who closes on a house, your earnings will be 5x that or more.
That said, scraping through a lengthy lead list, making cold calls, and dealing with more dead-end leads than not takes patience and a lot of work.
You’ll have to decide if your sanity, energy, and time are worth the cost of securing a valuable lead from a real estate list.
Pros of buying real estate leads
When an agent buys a lead list, it alleviates the work of finding buyer and seller contacts.
Even if a connection doesn’t become a client immediately, having a solid list of potential buyers and sellers is a nice fallback in slower seasons.
Cons of buying real estate leads
When you purchase a lead list, several other agents in your farm area may also have those contacts. That’s right; your bought leads aren’t always exclusive to you. Buying two to three times recycled leads adds more stress and work for you.
Another con of buying leads is the risk of spending money on contacts that offer no value. You can blow your entire sales budget on lead lists only to walk away empty-handed.
Strategize your lead generation today
While purchasing leads can offer a quick influx of potential contacts and alleviate some initial legwork, it’s crucial to approach this strategy with careful consideration. The value derived from bought leads hinges on factors like the lead generation company’s quality, market conditions, and your own dedication to nurturing those connections.
Ultimately, understanding how to get real estate leads effectively involves exploring a diverse range of tactics. Don’t rely solely on purchased lists. Instead, consider them as one component of a broader lead generation strategy that includes organic methods like digital marketing, networking, and building strong client relationships.
By strategically combining different approaches, you can build a more sustainable and robust pipeline of valuable leads for long-term success.
Generate valuable leads with Virtuance
Buying real estate leads can help grow your business, but it’s only one way to secure clients. Top agents know that real estate marketing and professional real estate photography are two necessary ways to generate valuable leads. Virtuance helps real estate agents with lead generation through photography and marketing enhancements.
Agents who partner with Virtuance for real estate photoshoots see their listings bring more traffic, close faster, and for more money. Virtuance also provides lead generation tools like the Marketing Suite, single listing websites, and beautiful listing brochures.
FAQ
You can find real estate leads in a few different ways. You can generate leads organically through social media, content creation, gated content, and lead gen forms on your website.
You can also purchase lead lists. Both new and seasoned real estate agents should experiment with generating leads effectively—organically or through purchased lists.
Paying for leads for your agent business is worth it if your business is slower than usual or you’re a newer agent trying to build your network. A purchased lead is also worth it if they become a client and complete real estate transactions.
Potential buyer or seller contact information compiled into a list and purchased from a lead generation company.
The price varies significantly, ranging from under a dollar to over a thousand dollars per lead, often with added monthly platform fees.
It can quickly provide agents with a list of potential clients, saving initial contact-finding efforts.
The leads are often not exclusive and may be shared with multiple agents in the same area.
