Are you just getting into the real estate industry and realizing that you may not know that many people who want to buy houses? Well then to get started, you may have to buy leads. There are many lead generating websites out there but Zillow seems to have the best name. I have been doing Zillow leads now for about a year and have had some success with it. It is not the kind of results that I was expecting for how much I am paying, but it is something. Here are my pros and cons of Zillow leads so hopefully, this may help you decide if you want to buy in.
How do Zillow leads work?
Zillow is a popular household name that everybody knows and goes to when looking for a house. If somebody is first deciding to look at buying a house, then they usually go to Zillow to so what is on the market. When they look around and find a house are interested in then they will click the “contact an agent” button on the page. This is where your leads come from, they put in their info then Zillow sends their info to you saying that they are interested in the house and then you go from there.
How do you pay for Zillow leads?
You will need to contact a Zillow representative and they will tell you what they have available. You pay by a zip code, and depending on how saturated the market is in your area then you will pay more for more popular zip codes. Example- You are going to pay more for a downtown Atlanta zip code than a suburban Nebraska zip code.
Then you get you pay for how many times Zillow will send you leads. You can pay for 15 leads a month or you can pay for 1000 a month.
When you first sign up, they are going to lock you into a 6-month contract so make sure you have enough to pay for that.
Here are my pros and cons of the whole thing
Gets you leads– no matter what, if you pay them then they will send you people who are interested in buying houses.
Good for if you want to jumpstart your career– if you do not know anybody house wants to buy houses then this will be able to send you people without having to do time-consuming activities like cold calling, mailers, prospecting
No work required to get leads– they will need your money, but other than that you do not have to work to get the leads but you will need to work to keep the leads.
Has a great app– Zillow has a convenient app that will automatically send you the leads straight to your phone and will give you all their contact info.
Far better than a lot of lead generators– I have tried other lead generators and Zillow is by far the best one that I have used. It has better quality leads and gets them from their own website. Most other lead generators steal them from other sources.
A lot of people don’t really know how being a realtor works.- Some people will think that you are a listing agent and demand pictures or want the listing agent instead. Some people are already working with an agent but want you to tell them what you know about the house. Some people want to call and lowball you on the house. And some people are scammers. A lot of leads that you receive will not be great
Each time you have contacted it counts as a lead no matter how useless it is.- If somebody says that they accidentally contact you or want the listing agent then that will still count as a lead.
You must contact the people within 5 minutes of receiving the lead. After that, your chances are 0 to none of being able to convert the lead. Sometimes I receive leads at 5 am or 5 pm and you have to contact them as soon as they are sent to you no matter what.
Fairly expensive– I pay 300 dollars for 15-20 leads a month but Some people spend 3000 for 100 leads a month
Low conversion rate– You will be able to get clients but not as much as you think you should. Sometimes people may never contact you back, sometimes they will ask you a question and sometimes they will want you to show them a house. I have only had a few clients of out the year that I have had the leads, but it has still paid for itself in the long run.
The leads are only buyer leads- these leads are for people who are looking to buy a house and not sell their house. You will be working as a buyers agent and you will not get any listings out of these leads