Every real estate agent should use real estate farming as a lead generation method. But how does it operate, and how can you come up with a winning farming strategy?
We'll cover all you need to know about real estate farming in this piece, including what it is and how to get started with this lead generation method.
What Is The Definition Of Real Estate Farming?
Real estate farming is a lead generation approach in which a real estate agent focuses on a particular neighborhood or location in their market. Geographic farming is another name for this method.
The purpose of this method is to keep you at the top of people's minds in the neighborhood you select.
Real estate farming, as the name implies, is similar to traditional farming. You're sowing seeds so that you can reap the rewards later.
The seeds in this scenario symbolize your relationship with the local homeowners. You position yourself to be top of mind for these homeowners if you work hard to strengthen those ties over time by communicating and engaging with the neighborhood.
Even if these homeowners aren't looking to sell right now, your name will be the first one that springs to mind when the time comes.
Furthermore, by concentrating your marketing efforts in one local location at a time, you will be able to fully capture that market before moving on to the next.
Real Estate Farming's Advantages
When you specialize in a few of these areas, you'll be able to work with a steady stream of leads and recommendations now and in the future. You'll also progressively build your reputation, allowing you to begin to distinguish yourself from your competitors.
One of the most effective ways to generate leads is through real estate farming. You'll be able to establish yourself as the authority in that area if you keep a hyper-local focus.
In addition, rather than operating too broadly, you'll be able to build a more simplified marketing plan.
Your message has a much better chance of resonating with your audience if it is tailored to a certain demographic. The message will have a more personal feel to it. People will be able to relate to you more easily as a result.
When you're attempting to reach as many people as possible, though, it's more difficult to be personal.
Selecting A Target Area
You must first decide which target location you will work in before you can begin your farming approach. It's best to work with as small an audience as possible when using this method. The precise size will be determined by your budget and objectives.
However, a decent rule of thumb is that your chosen geographic area should have no more than 500 people living in it. If you're a beginner real estate agent, you might choose to start with a smaller agricultural area.
Do Your Research
To choose your target audience, you must first analyze where your money will be best spent. For example, within your chosen community, you might wish to target a specific age demographic or income range.
Instead of simply choosing a subdivision, think about the current residents and whether or not they would respond positively to your marketing. If you want to appeal to first-time home buyers, you'll need to relocate to an agricultural region that caters to that demographic.
If you want to deal with a specific income category, you'll need to look into which neighborhoods have people in that bracket.
When deciding on a real estate agricultural area to target, there are a few things to think about:
- The neighborhood's local amenities
- The area's desirability
- Your own enthusiasm and local expertise
- The boundaries of the neighborhood
- The number of houses in the neighborhood
- Other agents' competition
- The neighborhood's turnover rate is high.
- The average cost of a home
When choosing a target audience, consider the following demographic factors:
- Average age and income level
- Employers in the area
- Schools in the area and their rankings
- There are several transportation alternatives in the region.
- The various types of houses that can be found in the area
Take into account your present level of brand awareness and authority in the field as well. Is your name already known to a large number of people? Or are you starting from the ground up? This will influence how much effort you'll need to put in to properly farm the area.
It's also a good idea to pick a real estate farm region that's close to your home. This way, you'll have firsthand knowledge of the place and will be able to strengthen your bonds with the locals.
How To Make A Farming Strategy For Real Estate
Physical and online marketing activities are equally necessary for a successful real estate farming plan.
To begin, developing house search websites and getting them to rank high in search engines is a terrific approach to begin gaining influence in a geographic area.
You can either build a simple house search website or use your current website to provide fascinating, SEO-optimized material about your farm.
You may, for example, produce blog posts based on hot keyword searches in your area. Over time, these posts will generate organic traffic from potential clients who are specifically interested in your area. Furthermore, this content will establish you as a local expert in your market and raise brand awareness.
You can construct a home search website for each real estate farming region you wish to target if you chose to do so.
In-Person Marketing And Direct Mail
Because you're focusing on a limited, targeted area, sending direct mail and other tangible marketing material on a monthly basis works exceptionally well with geographic farming. Postcards, door hangers, and brochures are examples of this.
Use postcards to disseminate information about new listings in the region, open houses, price reductions, and other local real estate news.
You should send postcards with this information to the 50 homes closest to a new listing or recently sold property in the geographic farm region in particular.
When combined with an online approach, direct mail is quite effective. This is because people will become more conscious of your brand as they see it in different places, both online and offline.
If you see that a certain region of your website receives a lot of traffic, you may follow up by sending direct mail postcards to that location. This will help to promote your name and keep you at the forefront of people's minds.
Door knocking, like direct mail, is an effective real estate farming approach. Door knocking is an excellent way to practice your sales pitch, meet new people in the neighborhood, and raise brand awareness.
You can also host real estate-related events to help residents of your community, such as first-time homebuyer seminars. Alternatively, you can just hold casual activities such as barbecues, movie evenings, food drives, or school fundraisers. This will keep you top of mind in your community and help you establish yourself as a major character.
Real estate farming events are one of the most effective strategies to generate leads. Because you're connecting with your neighborhood and developing relationships with your neighbors face to face, this is the case. Giving back to the community shows that you care about the people in your town and aren't just a real estate salesperson looking to close deals.
Online marketing emails can also be utilized to gather leads and bring them into your CRM database in your geographic farming region. Also, after consumers have received your direct mail and agreed to join your email list, email is a good way to send them farther down your customer funnel.
In exchange for a quarterly report on the housing market in your chosen geographic agricultural area, encourage individuals to sign up for your email list. This will keep you in front of your audience's minds and keep them updated about the market until they're ready to sell their house.
Finally, you can produce leads in your real estate farming area by using sponsored ads and social media. Facebook, in particular, has excellent options for targeting specific geographic areas.
You can, for example, create a Facebook retargeting ad campaign. A customer funnel from your website to the lead's Facebook account can be created through a retargeting ad campaign. This will allow you to concentrate on attracting and retaining the potential customers who are most interested in your content. You can also run paid advertising on a regular basis to reach people in your neighborhood.
Sharing material that encourages your audience to interact with you is another method to use social media. Post useful information about your area's housing market, forthcoming events, and local news.
You may also create a Facebook group dedicated to your real estate farming community. Use this group to respond to people's questions and participate in discussions with them.
Overall, the ideal approach for real estate farming, communicating with your audience, and raising engagement rates is to use Facebook for real estate brokers.
However, whatever farming tactics you use, you must maintain consistency. Real estate farming is a long-term investment strategy. Results are unlikely to appear straight away, or even after a few weeks or months.
Concentrate on maintaining consistency in your messaging and content, as well as building your interpersonal ties. More individuals will eventually contact you to purchase or sell a house, or to offer you referrals, as a result of your efforts.
It's a good idea to update your website and social media accounts at least once a week. Once a month is a good target for mailing postcards or handing out door hangers.
Final Thoughts On Farming Real Estate
Real estate farming is a lead generating approach that every real estate agent should employ if they want to have a consistent flow of leads. You'll be able to totally capture one area before going on to another if you concentrate your efforts on a smaller area.
This can help you build a successful real estate agent reputation, establish yourself as a go-to resource in your area, and compete with other agents in the same location.