How do you tap into your reputation, expertise, and recent successes to prospect effectively and generate even more leads? Circle prospecting. In real estate, circle prospecting is a powerful lead generation strategy. It starts by focusing on one of your listings or recent sales, drawing an imaginary circle around it, and then contacting the surrounding homeowners within that circle to see if they or anyone they know is looking to sell or buy.
Like cold calling, circle prospecting can come with challenges. But unlike cold calling, there’s a natural “hook” to play into—the people you’re contacting are likely already curious about the “for sale,” “sold,” or “open house” sign you’ve placed on their neighbor’s lawn. Circle prospecting allows you to tap into this curiosity. It’s your foot in the door.
Here are a few curated best practices for circle prospecting from the experts at Weichert®:
Keep your circle tight and focused
Resist the urge to make the circle too big. More is not better with circle prospecting. A tighter circle can increase your chances of creating a buzz among a micro-community.
Think of your recent listing as the main energy source. The further out you go, the more you’ll weaken its ability to power your circle prospecting strategy. According to The Close, a real estate industry information source, “Stick to 20 to 30 (no more than 50 total) homes in the immediate vicinity of your listing to get the best results. You know you’ll be reaching homeowners who have a similar home and a vested interest in your listing.”
Give it time and patience
When you circle prospect, use tried-and-true marketing tactics, including knocking on doors, making phone calls, sending mailers, and posting on social media. But keep the messaging sharp and focused with one theme in mind. With circle prospecting, you’re not just digging for leads, you’re spreading news. It’s like an awareness campaign for a select group.
Like real estate farming, circle prospecting is about planting seeds. If you drop seeds in the right places, and then take the time to water and nurture them, you’re sure to see results over time. Be patient, but also be highly proactive with your follow-up efforts and keep a laser focus on your messaging. Circle prospecting scripts can help you stay on point.
Practice your circle prospecting script
At Weichert, we believe that prospecting scripts can serve as a great tool to jumpstart a conversation. That’s why our team continually utilizes scripts when talking to potential new customers. Weichert’s expert scripts, which are part of the entire suite of solutions for affiliate brokerages, are designed to help brokers and agents start and navigate effective dialogue with customers while still sounding natural and conversational.
For example, here’s the beginning of a circle prospecting script:
Circle prospecting scripts, and scripts in general, can help you conquer your cold calling fears by providing just enough dialogue to jumpstart a conversation that may result in a lead. The Close offers seven real estate cold calling scripts, with many of them providing useful tips for circle prospecting too.
As a best practice, be sure to check with the Do Not Call Registry before making your calls. For those who have taken the time to put themselves on these lists, the last thing they’ll want is an unsolicited call, which can harm your reputation as a real estate agent.
Remember, who you are and what you know will drive a positive conversation. Like a roadmap, a solid script will help prevent you from losing your way. But also strive to always sound authentically like you.
Best practices for knocking on doors
Some say that door knocking is old-fashioned and outdated. At Weichert, we disagree. When done strategically, we know this approach works. In fact, circle prospecting and door knocking work well together. There are many tips for real estate door knocking. We also recommend you keep these pointers in mind:
- Show your ID. Let people know right away who you are and why you’re ringing the bell. Be prepared to say your name and quick one-liner before the door ever opens.Let your wardrobe match the moment. Is it a Saturday afternoon? Maybe a formal business suit is not the best attire to show up in.Be aware of their With the chance that your prospect has school-age children, don’t arrive at 3pm on Wednesday as the big yellow bus is pulling up. Late mornings or early afternoons might be better.Dial up your listening skills. Be prepared to listen well during this short conversation. Repeat their name when greeting each other and ask relevant, open-ended questions. Take mental notes and then quickly jot things down in the car while it’s fresh in your mind.Bring something to leave behind. Whether you get to converse or not, a door hanger, business card, or brochure is a smart tactic to bridge your next steps.
Weichert believes people buy people before a product or service, which is why we continue to put an emphasis on tactics that get agents face to face with potential clients. Our affiliate brokerages continue to see stellar results with circle prospecting. It’s a built-in strategy to highlight your selling skills, show your knowledge of a neighborhood, and help others see that you’re a trusted expert who cares about their interests.
Learn more about how an affiliation with Weichert can increase your brokerage’s impact in your market.