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Converting Internet Leads

By
Real Estate Agent with Re/Max Achievers

Wow! It's hard to imagine that just over 10 years ago real estate leads from the Internet probably sounded like science fiction. Even just about 5 years ago data suggested that Internet shoppers was only around 30%. Now in 2007 this number is approaching 90% or may have even surpassed that.

Still many agents believe Internet leads are mostly junk leads. Top agents have spent large amounts of money to capture this new type of business only to get frustrated on the small benefits they have obtained from it.

Well it seems that these leads are indeed good leads but need to be handled different from traditional leads such as sign calls, floor time leads, and referrals. The way Internet leads seem to differ is that they are just farther out from buying or selling. Instead of maybe 4-6 weeks away they could be 6 months away and as long as you keep your name in front of them when they get closer to buying or selling you should be able to capture this lead. It has been shown that these Internet customers are normally better educated, have higher incomes and view fewer homes when they do start to get out there. Therefore, when you do capture them they buy more expensive homes, have better credit for approval, and less time is spent with them.

The main point in staying in constant contact!!

If you can get their number and call them first and follow up with emails or snail mail and a very occasional call (maybe once a month).  Don't be pushy and smother them. Send short personal friendly emails. Offer them something of value (i.e. valuable facts, tips, etc). Offer services and don't be cocky with how great of an agent you are and how many millions of dollars you sold last year. Most clients will select the agent they feel most comfortable and connect with.

Since you have been in touch and the fact that about 75% of buyers and sellers select the first agent they meet with, you are a shoe-in.

 

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Bob Carney
Taylor-Made Deep Creek Vacations & Sales - Mc Henry, MD
Licensed MD/PA Real Estate Agent
You bring up some great advice...Internet leads may take some nuturing.  I hope they are working out for you. 
Sep 25, 2007 01:52 PM
Rob Lang
At Home Kansas - Shawnee, KS
Local Expert in NE Central Kansas Real Estate Home
Absolutely correct.  Great blog.  I have set up appointments to show a home and the people tell me they have been looking at my website for several months and feel like they know me.

Rob

Sep 25, 2007 01:55 PM
Terry Voth
Sutton Group West Coast - Vancouver, BC
Realtor - Vancouver
So far in my career, internet leads have been good for me.  Sometimes they're out of town folks wanting to retire or relocate to Vancouver in the short-term; sometimes they're in my city and ready to buy now.  I have had a couple of out of towners that will not be arriving for 6 months to a year but as long as I stay in touch with them and keep up with quality information I should be their first choice when they arrive.  I hope :-)
Sep 25, 2007 02:06 PM
Christopher Myers
Orlando Property Group - Orlando, FL
Greater Orlando and Central Florida Real Estate

You're dead on.  It's all about that first contact and making sure they "like you".  That's the two key factors...immediate contact and likeability.

But remember, not all are long term clients that need nurturing.  I've had two recently who were relocating.  They contacted me via my website and we had them down to view homes just two weeks later.  Two weeks after that we were at the closing table.  The funniest part is that one client called me a week after closing to let me know 3 other agents were getting back to him just then.  He had contacted them the same day he contacted me...but they waited 5 weeks to respond.  You've got to be on those leads!

Sep 25, 2007 02:07 PM
Ronald Gillis
Southwest Florida Notaries (Mortgage Notary Signing Agent) - Port Charlotte, FL
CNSA Southwest Florida. Notaries, Port Charlotte, 941-7-NOTARY

The Internet certainly has changed many of our buying steps altogether.  Keeping in contact IS so important, as my mom is going through that right now, and unless she makes the call, doesn't hear from the Realtor.  I wish she was selling in FL, I know many that would do a much better job, but in PA I don't know many.  If her contract comes up, maybe someone in the Bucks County, PA area can help! 

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Sep 25, 2007 02:19 PM
Jason Lopez
SmartRealty Solutions - San Diego, CA

This has been the biggest issue we face. Because we capture web leads so early in the process there is some nurturing that has to happen.  To me it's like money in the bank.  I also know that 70% of them go under contract with someone within 6 months, half of those within 6-8 weeks!  So it is really a question of, "How do I not screw this up?"  According to the NAR, over half of all Internet leads never even get a response to their inquiry...and when an agent actually does respond it takes on average 2.5 days!  That says a lot about our industry.  It also tells me that if I do a GREAT job of connecting early and I am great at building rapport and gathering info, then follow that up with great service, I have an excellent chance of being the broker of choice when they are ready.   

Sep 26, 2007 02:07 AM
Kathleen Marron-Amthor
AllPro Realty - Boise, ID
Persistence is key. I have not had the greatest success as of yet but will remember persistence!
Sep 27, 2007 01:59 PM
Danny Nappi
Zest Realty - Riverview, FL

The thing with internet leads it is a numbers game, of course not every lead is going to pan out and a lot of them are false leads but the more you drive to your site the more opportunities you have to aquire real leads that do pan out.  

We have had clients that were on our site for over a year and when they were ready they bought through us. You must always keep your face in front of them. Remember out of site out of mind. 

Great Post :)
Sep 30, 2007 03:43 PM
Ma Ne
Real Estate - Allen, TX
I agree, leads from the internet do take some time, but they will be worth it in the end. Great advice.
Sep 30, 2007 05:35 PM