Real estate agents use circle prospecting to generate leads by contacting homeowners surrounding a listing. This strategy requires a trusted CRM and power dialer to automate the calling process, speeding up the prospecting time.
This type of prospecting primarily aims to plant the seed for future business. Homeowners might not be ready to sell their houses today, but when they do, you want them to think of you first.
Automated Prospecting
The key to effective circle prospecting is understanding that it’s a long-term game. Even if a contact isn’t ready to sell today, they may be in the market for a new home at some point.
By consistently communicating with surrounding homeowners and keeping them informed of what’s happening in their neighborhood, you can stay top-of-mind when the time comes for them to sell. This can help to boost your real estate business and build credibility for your brand.
While this process can be labor-intensive, a tool can make it easier and more efficient. You can automate text, email, postcard, and call campaigns to reach your prospects with personalized messages tailored to their needs. Plus, you can track open rates, clicks, and downloads to see how each letter performs. And because it’s all logged in your CRM, you can easily see which messages are generating the most response and which aren’t. This will allow you to adjust your strategy accordingly. For example, you might need to be more empathetic in your messaging or provide additional value-add services such as a complimentary CMA.
Increase Lead Conversion Rates
Real estate agents are always looking for new ways to connect with potential clients and build their sphere of influence. One technique that has long been successful is circle prospecting, a method of reaching out to homeowners within a certain radius of a recently sold or listed home. This simple and effective strategy works on the principle that people living near a house that has just been sold want to know more about it.
Unfortunately, many real estate agents fall short when using this powerful tool. While following a script is important, it is even more essential to be empathetic toward your prospects and focus on building relationships. This will make them more likely to remember you the next time they consider buying or selling a property.
The best way to make circle prospecting more efficient is by using a tool that allows you to automate the process. There are several options for doing this. This tech-driven tool makes reaching homeowners within a specific radius around a listing easy while offering valuable data like market trend data and homeowner financial insights.
Reduce Cold Calling
In real estate, circle prospecting is a great way to generate leads and build relationships. It involves calling homeowners within a specific radius around a listing, letting them know the home has just been listed or sold. This strategy allows agents to become neighborhood experts and stay on top of mind with residents.
When a lead answers the phone, they can connect with the agent or listen to a pre-recorded message that allows them to decline or accept the call. Whether the prospect connects with an agent or declines, the system automatically moves on to the next opportunity. This eliminates the need for real estate agents to make cold calls and makes the process much more efficient.
Using the right tools is essential for successful real estate circle prospecting. These include a Customer Relationship Management (CRM) system, quality data, and an automated dialer. By combining these tools, agents can maximize their circle prospecting results and convert more leads into appointments and sales. Real estate agents must use upbeat, enthusiastic scripts and provide detailed information about the property to achieve a positive, neighborly connection with prospects over the phone.
Save Time and Money
Real estate circle prospecting is an effective lead-generation technique for neighborhoods. Typically, agents call homeowners who have recently sold or are FSBOs in a specific area. The idea is that they’ll be interested in selling their homes or know someone who will be. However, it’s important to remember that most people you speak with will not be ready to sell immediately.
The point of this type of prospecting is to become familiar with people in the neighborhood so that they think of you when it comes time for them to buy or sell. That takes a lot of conversations and consistent follow-up.
As a result, you need a high-tech dialer that can make these types of calls quickly and efficiently. Using lead generation techniques like Vulcan7 circle prospecting software, one of the best real estate dialers available, can save you hours and help you reach more contacts per hour. This allows you to spend more time on live conversations – and that’s where the money is made.
Increase Referrals
Neighborhood/circle prospecting requires time, strategy, and marketing savvy, but it can offer some of the best leads in real estate. It allows you to become the agent homeowners think of when they think of selling or know someone who is. This is done by being empathetic over following a script and offering information that builds your brand as an expert.
It is estimated that one out of eight contacts you make during circle prospecting will be ready to sell shortly. However, even if they are not, you can nurture them by providing valuable information on market trends and homes that have sold in their neighborhood, sending email updates of homes coming on the market or sold in their area, and being their resource.
While this takes some work, building relationships that will generate business now and in the future is worth the effort. Using real estate CRM software to automate follow-ups, keep in touch, and build your database is a great way to get started.
