Real Estate Friday 5/14/2021

“HOW TO WIN LISTINGS USING GEOGRAPHIC FARMING”

Are you successfully farming an area for your real estate business?

What is Geographic farming?

Geographic farming, or geographical marketing, is the practice of making yourself well-known in a local area. There are a few ways to go about doing this.

Before we get into it, first we need to figure out…Is it Worth It? 

One thing to keep in mind that you should go after neighborhoods that have a high turnover rate. You don’t want to try to farm an area that only has a 4% turnover rate, unless the listing commissions are huge. If that’s the case, it might make sense.

It’s all about the math. How much are you spending to get the lead and get the listing? What is the commission you’re going to earn? If the math doesn’t make sense, you’re not going to be profitable. Therefore, always run the math before you go into a geographical farm to ensure you’re making a wise move. 

Another thing to consider is whether the area you’re planning to farm is convenient to your home or office. You need to do your homework and see if there is any pre-existing competition in the area. If there is too much competition in the area, perhaps the best approach would be to find a less competitive area to do business. 

Once you’ve established which area you want to farm, the next step is to BE VISIBLE. There are a lot of ways to do this. If you live in the neighborhood, you have the advantage of being able to attend HOA meetings, community events, block parties, etc. Even doing simple things like walking your dog, can get you in front of more people in your neighborhood and help you get established.

So, whether or not you live in the neighborhood you’re looking to farm, there are a few paths you can take to build a successful geographical marketing campaign.

HERE ARE SOME MARKETING METHODS FOR GEOGRAPHIC FARMING

• EDDM Postcards 

Every Door Direct Mail, or EDDM for short, is a wholesale way to mail postcards and other marketing materials, like flat mail or even magazines. The best part about this method is that you don’t pay the normal rate for those mailings. Which means, you would be able to print postcards in bulk, a flyer or a newsletter filled with information catered to that neighborhood. 

• Facebook Ads or Google Geo-Targeted Ads 

If you prefer online advertising, running geographically targeted ads on platforms like Facebook or Google is a great idea. Just like you would connect with potential clients using postcards, you can target them with ads on Facebook and Google. 

Here’s a good example of that – if you have listings in the neighborhood, run an ad and present your open house as a really BIG DEAL. Include a photo of the house with lots of balloons and a big “For Sale” sign in the front yard. That’s just one example of how to stand out and show the extra effort you take for your clients.

• Calls and Door-Knocking ***

When you get a listing in a farmed area, you should be knocking on all of the neighbors’ doors. Introduce yourself and ask them if they have any questions about the home or have any questions about the value of their own home. This is a great, casual way to get in front of people.

***Disclaimer: Due to many new changes in laws around the country, you need to take careful consideration with things like cold-calls, door-knocking, and door hangers. Check with your local or state government to ensure you are legally allowed to use these methods.