Generating referrals is often the difference between a highly successful real estate agent and an average agent. The best agents gain many referrals and might not even have to do much marketing for new clients.
Referral business is highly profitable because you don’t spend money on marketing to get it. This type of client comes from another client you are already working with or have worked with in the past. It can also come from someone that knows you well.
There are many great ways to gain more referrals as a real estate agent. Some are rather common and you should be using them, but others are a bit more unique. Let’s look at some of the common ways to gain more referrals and some of the more unique ways.
Common 5 Ways to Gain Referrals as a Real Estate Agent
1. Housewarming Gifts
When you sell a house, giving your client a nice housewarming gift can help you get more referrals. You can even include a card they can fill out with referrals for you if you want. Just make sure the gift offers something of value for a new homeowner.
2. Housewarming Parties
Some real estate agents step it up a bit and host the housewarming party for their clients. They ask the clients to invite all the people they want, and then, they are in attendance, too. This gives you, as an agent, the opportunity to mingle with the people your client knows.
You might find lots of new business at a housewarming party or just make connections for the future. This can be a great way to gain more referrals.
3. Attending Charity Events
From golf outings to galas, real estate agents should fill their calendars with a few charity events every year. These are great places to find referrals and they can help you gain a better reputation in the community.
4. Open Houses
Of course, an open house is a great way to gain new leads and some referral business. It can give you an opportunity to get leads for new buyers in the area. Plus, open houses have a very low cost and most agents should be using them to generate new leads.
The most common way to get referral business is to simply ask. You can ask your clients if they know of anybody else looking to buy or sell a home. This can be done after working with them at any time, and even multiple times.
You can keep your past clients on an email list and reach out a couple of times a year for referrals. While they didn’t have anybody for you six months ago, they might now. Staying in contact with your past clients can lead to a lot of referral business.
Sometimes, it’s all about when you ask, too. Asking when someone is in a good mood can make a difference.
5 Unique Ways to Generate More Referrals as a Real Estate Agent
1. Send Out Holiday Gifts
Past clients are a great resource for referrals and so are other agents in your area. You can send out holiday gifts to help foster better relationships. This can be a great way to gently ask for referrals from past clients and from agents in the area.
Use a simple gift that offers something of value. A consumable is always a good gift option. Then, include a personalized letter, along with a few business cards. Often, this can be a better way to connect than through email.
2. Host a Social Media Contest
Most of your past and current clients likely follow you on social media. You can use a contest to boost your social media presence and generate referrals. It can be rather simple, too.
Just ask a real estate-related or community-related question on your social media page. Then, choose the winner that got the question right from the comments, at random, or whoever was first.
You can give away something like a restaurant gift card or local movie theater tickets as the prize.
When you run a contest like this, people will share the post and you will better engage with your audience. It can lead to more referrals and help you grow your social media following.
3. Hold an Awesome Client Event
You’ll need to invest a little bit of money into this one, but an awesome client event can be a great way to connect and gain referrals. It can be even more powerful when you invite around 20 couples or families to keep it small.
You can rent out a movie theater and do a private screening of a popular moving with popcorn and drinks. There are many cool ideas you can use to create more buzz around your real estate business and gain more referrals.
4. Prospect Your Neighborhood
One of the best ways to get referrals is to prospect your own neighborhood. This could be done by sending out a postcard in the mail or through door-hanging flyers. Do this regularly and you’re sure to get more referral business from those living around you.
5. Hand Out Custom Magnets
Everybody likes something they get for free. If you want to give away something that will drive more referrals and business to you, use custom magnets. People will likely toss them on the fridge and your magnet will become a little billboard for all to see.
Any time someone visits a house with your magnet, they might just see it on the fridge. This can be a great way to brand your real estate business and gain referral business.
There are many great ways to get referrals as a real estate agent. When you’re looking to grow your business, use these common and unique strategies to gain more referrals.