Circle prospecting is a tried and tested method to find real estate clients. It allows you to tailor your approach based on your budget, time, and communication preferences. While phone calls to neighbors of your recently sold or listed properties are common, you can also incorporate door-knocking, mailers, and emails for a more comprehensive strategy.
Here are ten tips to help you master circle prospecting and keep your real estate lead pipeline full:
1. Create a solid follow-up system
Circle prospecting is a long-term and numbers game, with follow-up being crucial. Most homeowners you contact may not be ready to move immediately, but staying in touch ensures you’re top of mind when they are. Schedule dedicated time for follow-up in your calendar to stay consistent.
Tool to use
Consider using an automated system like Zurple’s lead nurture tool to simplify and streamline your follow-up process.
Tracking down contact information for homeowners can be time-consuming, so tools like REDX’s GeoLeads can help by providing leads, email addresses, and market data trends.
3. Build relationships
Circle prospecting isn’t just about generating leads; it’s also about building and nurturing relationships in your community. Focus on connecting with people on a human level, rather than just trying to sell them something.
4. Be patient and inquisitive, not sales-y
Ask questions and listen to understand the homeowner’s situation and needs. Patience and genuine curiosity will help you build trust and rapport with potential clients.
5. Offer valuable information
Provide homeowners with valuable insights and resources, such as hyperlocal market data, equity analysis, home improvement tips, and community event updates. Offering real value can help you stand out and establish credibility.
Most people find real estate market updates interesting and like to stay informed, even if they may not be directly relevant to them. It’s a good idea to share this information on social media or through print marketing materials to engage with your audience. Utilizing resources like NAR’s research account on Instagram can provide valuable insights that you can share with your clients.
When reaching out to potential leads, it’s important to vary your approach and not rely solely on cold calling. By mixing up your outreach methods, such as combining calls, emails, postcards, and in-person visits, you can create a more organic connection with your prospects. This multi-touch approach increases the likelihood that they will remember you and reach out when they have a real estate need.
Leading with a specific reason for reaching out, such as a just listed property or an open house preview, can make your communication more engaging and relevant to the homeowner. Planning your outreach ahead of time and keeping track of your interactions can help you avoid redundancy and ensure you are providing value with each contact.
It’s important to be mindful of regulations like the Do-Not-Call list and to respect homeowners’ preferences for communication. Door knocking and direct mail are generally safe methods, but it’s essential to be aware of any restrictions in your area. Using tools like Vulcan7 Neighborhood Search can help you stay compliant and target the right homeowners for your outreach efforts.
Practice and preparation are key to building confidence in your conversations with leads. Role-playing common scenarios and objections with your colleagues can help you refine your responses and think on your feet. Tools like the book “Exactly What to Say: For Real Estate Agents” provide practical phrases and questions tailored to the real estate industry that can enhance your communication skills.
Lastly, keeping your conversations simple and casual can help you establish a comfortable rapport with potential clients. By staying relaxed and approachable, you can create a more engaging and memorable interaction that resonates with your leads. To avoid being perceived a certain way, it’s important to follow the tips and strategies shared here. Keep your circle prospecting conversations simple and natural by preparing a brief introduction and letting the discussion flow organically. Remember that the key to a successful interaction is engaging the other person, so ask thoughtful questions and encourage them to share their thoughts.
Here are eight effective circle prospecting conversation starters that you can adapt to your style and market:
Script 1: Just sold announcement
“Hi, I’m [Your Name] with [Company Name]. I recently sold a home in your area above the asking price. Are you considering selling your home or curious about its current value in today’s market?”
Script 2: New listing announcement
“Good morning, I’m [Your Name] with [Company Name]. I just listed a property in your neighborhood and would like to invite you to a special open house for neighbors only. It’s a great time for real estate in [Area Name].”
Script 3: Market update pitch
“Hello, this is [Your Name] with [Company Name]. I recently helped a homeowner in your neighborhood sell their home and thought you might be interested in a quick update on our local real estate market. Would you like to know how the market conditions could impact your home’s value?”
Script 4: Neighborhood expert pitch
“Hi, my name is [Your Name] from [Company Name]. I specialize in helping homeowners in [neighborhood] get the best price for their homes. Have you thought about selling your home or are you curious about its current market value?”
Script 5: Home valuation offer
“Hello, I’m [Your Name] with [Company Name]. After selling a home on [street name], I’m offering free home valuations for homeowners in the neighborhood. Homes are selling well right now. Are you or your neighbors considering selling?”
Script 6: Expired listing approach
“Hi, I noticed your home was on the market but didn’t sell. I have strategies that have helped homeowners in your neighborhood sell their homes for top dollar. Would you be open to discussing a fresh approach to selling your home?”
Script 7: Community event invitation
“Hello! I’m [Your Name] with [Company Name]. We’re hosting a community event at [Location] this [Date]. It’s a great opportunity to discuss the local real estate market. Can we count on seeing you there?”
Script 8: Referral request
“Hi, it’s [Your Name] from [Company Name]. If you know anyone looking to buy or sell a home, I’d be happy to assist. Could I leave you with my contact information for future reference?”
Circle prospecting can help you expand your network and establish yourself as a local expert. Consistently using these tips will lead to positive results in your real estate endeavors. The sentence is already clear and does not need to be rewritten.