As these real estate referral services take wheelbarrow’s of money to the bank.
It’s hard to figure out what is happening and why so many of these startups are saying they need to be the go-to to find the best real estate agents.
They are making money. They are charging the agents who want to be part of their lead service.
Upnest – they charge the agents who are members of their site.
Angie’s list – they charge the agents to be posted on their site and when the transaction closes.
Homelight – they take 25% of the agent’s commission.
Trulia and Zillow – charge to have placement on their platforms and to receive leads. Some agents pay $10,000.00 or more a month.
Simple but true. But what is the agent is not willing to pay for placement on their website?
What then? Then the agent needs to get their leads another way.
Referrals – the best and most cost-effective lead strategy for a real estate agent. These are free. All the agent has to do to get a steady stream of referral business is to do a Great Job. And, of course, ask for them too.
PPC – Pay per click. These are those “[AD’s]” you see when doing a google search. The placement is prominent because Google wants to remain transparent and to notify you someone is paying to be placed there.
That – I like and appreciate. Google is doing it right related to PPC campaigns.
When watching TV you will see prime time commercials that show these companies. Those who will find you the best real estate agent in the world. A Realtor who is close to your home and is your neighborhood expert.
What if the “True” neighborhood expert is not willing to pay for space on one of those real estate referral sites? They won’t appear.
Why would they not pay? Because, if they are really the top real estate expert, they don’t need to pay for placement on those real estate referral websites.
When I train real estate agents. I make sure to give them the differences and the best way’s to obtain real estate clients. Interruption marketing is something that was of the “old timer” real estate agents.
Don’t interrupt, I explain to them. Be where those wanting to hire a Santa Clarita real estate agent are. That is online within the page 1 results beside the PPC and ads.
OMT – if you give up who you are to find a real estate agent on one of those websites I mentioned. You may have your personal and private information sold to more than one real estate agent. Good luck with that.