If you missed the second part of this four part series you can access it here - How To Succeed In Real Estate - Issue # 2.
The third way to succeed in real estate is to not be like the "average" Realtor regarding asking for referrals.
According to the NAR 2013 Profile of Buyers and Sellers the most common method of finding an agent is by referral. Yet the average Realtors spend more time prospecting for a new lead than they do asking past clients for referrals.
Referrals are the life blood of successful agents. One top producer, making over $250,000 annually, built their business almost exclusively by referrals. They did so by sending a customized monthly newsletter to over 5,000 people in their sphere of influence through traditional mail. A mailed newsletter is much more powerful than one that is emailed. Most people receive so many junk emails that we consistently go through and see what we can delete. Compare how many emails you get today versus how many letters you receive in your mailbox.
If you find asking for referrals in person or on the phone challenging try this….Go through all your past clients and connect with them on Facebook / LinkedIn / Twitter. Then, put it in your calendar to give them a call in a week. Ask how they have been while building rapport, tell them one positive thing about the real estate industry, and then ask if any of their friends, family, or co-workers have been thinking about moving. After the conversation, use a CRM like the one mentioned in the last issue to create a consistent follow up system.
When you do receive a referral, do something to immediately thank that person. Not at closing...but immediately after receiving the referral. One agent immediately sends them two movie tickets. Once they receive the movie tickets, they refer even more business!
Do you have any solid referral strategies? If so, contribute below.
P. S. If you do not have a customized monthly newsletter to send to your clients please send me a message. We offer all of our agents a free customizable and relevant newsletter AND our partners assist with the printing / postage costs.