Dave, I'm glad you asked that question. You know the old saying, there are active agents and there are passive agents. I do a bit of both. Web, phone, networking, etc.

I am going to check that little box to notify me of new comments so I can hear what others have to say.

I've been running some little classified ads that drive people specifically to my website.  Those tend to be nice lead generators for me.

I have trained agents for years as a way to grow and nurture relationships with them for referrals.  All I do is teach them what they don't know but I do.  I don't claim to be a know it all or guru, I just happen to know few basic strategies.

Although I work with some buyer's agents, my highest amount of business comes from listing agents.  And listing agents are a special breed that can go in and get someone to sign a listing agreement where they agree to a 6%-8% professional fee.  To do this, they've got to be relationship based.

Provide excellent service always.  Follow-up to see if your service provided is at a level high enough that they will refer family and friends.  Give free information so it passes on to other family and friends.

I will not work with an agent that purchases leads as both the agent and I have to do too much convincing to build up faith in our trust and authority.

Leads are great but the conversion rate and the time it takes to capture are just not worth paying for, in my eyes.  Join Buffini, Stump, Hopkins, etc. and learn to market to a sphere of influence.  If you don't have a broad enough base, sit an open house but market the neighborhood like crazy to get the neighbors to show up.  When they do, add them to a drip marketing campaign and follow the cycle.

Great question David..... I will park and see what others are saying. I need to revise my methods.

Dave,

I appreciate this question too.  Frankly, I spend $10,000+ every year marketing myself.  I've been on "pause" for the last 6 months or so, because nothing I've done really works well.  I'm on the sidelines studying right now.  This is one reason why www.activerain.com is so great.  I can get some really good ideas from agents around the country.

Jordan Mariano, ABR, REALTOR, Weichert Realtors

jmariano@weichert.com, www.jordanmariano.com, 215.896.0104, 215.643.7776 x182

Good questions. I will read all the comments to get some tips.

THis is an interesting question? I always heard agents saying I have beenin this office for 15 years and never seen a lead. I think most agents just figure that you will not get leads from your Broker and just find your own clients and referrals.

Leads begin with the internet.  You need a good website that has a tracking program that is able to attract buyers and sellers.  You need a good database and a follow up program.  You need to do open houses at least every other weekend.  Give your card to everyone you know.  Join the Chamber of Commerce and get involved with your local town.  Do some public speaking.  Join the PTA.  Ask for referrals.

Did I mention.......blogging?

Internet, FSBOs, Expireds, Sphere, then tracking through Top Producer calling, emailing and meeting. Also attending many social events. Finally work the referrals.

I use postcards of JUST LiSTED and Just Sold and mail them to potential sellers and buyers within a mile or two of the property.

 The leads have dried up in advertising. I feel blogging has really helped drive internet leads. That's mostly what I'm working these days

I have wondered the same thing. My techniques just are not working anymore. I have to figure out some new... I will keep an eye on the comments . Thanks

I personally buy my leads and am very successful. I have two closes this month and 2 next month from these leads. And, quite a few in the works.

Very good questions! They are good questions to review often.

Right now all my leads are coming from the internet.  It's cheap and it works.

Thank you all for your comments.  Also, please give us all information as to how to convert any leads that you get.  The conversion rate is just as important as getting the leads as the second step in the process.

I use HouseValues leads.  Seller leads.... many don't mature for 12 - 24 months, but once in awhile the phone rings and off I go to list the house.  Last year I did over $2 Million in leads from HouseValues! The followup system used is called Market Leader and is exceptional.  Clients are put on an email follow up campaign. Depending on their urgency, they receive automatic emails from me on a consistent basis of once - 3 times per month.  I went on a listing appt. yesterday that was a lead from 7/06!

Dave, thanks for commenting on my blog.  I like to return the favor by what little I know (which isn't too much).  I think I know more on what not to do, then what to do, if you know what I mean.  I think the internet is the best and proven method of where people are going.  Having that said, I tried Homegain (worked for a little while when it first came out.. now it is just too big and over rated in my opinion as these leads are from other internet providers as well).  I tried the yahoo approach with their fixed $$ amount if you put in certain words..(that didn't work).  I tried another exclusive web page that supposedly targeted Home Gardens magazine readers..that was supposed to target one city near me (that was even worse..  not 1 lead or even a bad one) plus much more I tried.  What I have found is that the "free" stuff is just as good if not better.  I looked into Number 1 Expert... very expensive and don't know if what they say is true.  Buyers/Sellers need to find us.  So  join every free group on the internet, directory, etc.  I'm still learning myself, but I think this appears to be the best way for the least cost that I have found.

I use call capture signs in front of my listings to generate buyer leads but the major source has been internet based referral engines like Lending Tree.

I have tried them all...Direct Connect, Home Gain etc but found that, even though LT can be expensive (since its 25-35% of the commission as a referral), their leads are more mature and they have a great system in place for capturing them into a drip system. 

They also have regional sales folks to help train and grow your business.  Plus they have great win/win marketing with a portion of the referral commission being paid back to your buyer client which is wonderul in securing their names on an Agency Agreement.

About 80% of our leads are past clients or past client referrals; however, we still do a website, Realtor.com, etc. I'm still farming, sending out Just Listed and Sold postcards, etc. I also try and keep up with the designations, which has been a good source of leads/referrals over the years.  Interesting question.

I have sold several homes thru my time on floor duty,  relationships are important and you can start building one on the phone.  So far this is my cheapest way of acquiring a lead, it only cost my time, a few hours a month.  Being in the office is very important when I can, I have gotten referrals from other agents because I was there!! 

Gail,

Floor time was a great source of leads & ultimately settlements in '05 & '06.  I spend just as much time on Floor time in '07, and it produced very little results.  The phone wasn't ringing nearly as much.  The reason, I believe, was people weren't in a rush to get the listing on the first day any more.  They felt like they had time to research it online first, and then pick the REALTOR of their choice, at a leisurely pace.  But I have GOOD NEWS - I've already gotten more solid leads on Floor Time in '08 than I did in all of '07, and I really see the phones ringing off the hook since the days got longer this week.

Jordan Mariano, ABR, REALTOR, Weichert Realtors

jmariano@weichert.com, www.jordanmariano.com, 215.896.0104, 215.643.7776 x182

I, too have had several deals from floor time but for the most part it's just a waste of time.  I guess its the luck of the draw. 

I've talked with many agents and they have said the lead generation companies are a good way to lose money, but I don't know this from personal experience.

Thank Dave,

I ponder that question probably 500 times a day." how am I going to get leads?"

After reading your post, I realized that I have to rethink this question and instead ask myself, what am I going to do or what can I do better to get the leads. It's hard being a new realtor. I host open houses whenever asked and work floor time. I also recenlty read the latestest issue of Realtor Magazine and learned about AR. The first thing I did better was joining AR. There is a lot of great support and information. Thank you