Buyer Leads Meaning

What are Buyer Leads?

As a Real Estate Agent, a buyer lead is a person who is interested in buying a home. This person can be a friend, family member, or someone you just met. Regardless of the method of meeting, if you are a Realtor who primarily wants to help buyers then you will need to have buyer leads. Let’s dive into buyer leads a bit more with detailed explanations.

Buyer leads are important to Realtors for Two Reasons

1. The Realtor could represent the buyer to purchase a home
   1. As a Realtor, you typically make the most money by either listing a home for sale or helping someone buy a home. If you are a Realtor that likes to show properties and help families find their ideal home, then buyer leads will be your marketing focus.
2. The Realtor could help the buyer purchase their listing
   1. On the other hand, if you have a home for sale also known as a “Listing”, you will still need a buyer to make the purchase. Typically when a home is listed on the market, an agent from the same or different brokerage may have a buyer for you.
   2. However, as the listing agent, you can still bring your own buyer to the transaction without the help of any other Realtors. As a result, a listing agent could still have a use for buyer leads.

Examples of Buyer Leads

• Renter
  • A renter is a buyer lead because typically, everyone has a natural progression in homeownership. First, you live with family, then you live on your own by renting, then eventually, you are prepared to buy a home.
  • As a result, renters are one step away from homeowners and will like appreciate the assistance of a Realtor, especially if it’s their first time buying a home.
• Pre-Qualified Buyer
  • A pre-qualified buyer is someone who already spoke to a bank or lender and has been approved for a mortgage loan. As a result, pre-qualified buyers are some of the best leads because they show that they are serious about taking the next step into homeownership. Moreover, it is an achievement in itself for families to qualify for a loan.
  • The best part about pre-qualified buyers is after you both agree to work with each other, you simply have to help them find the ideal home. Unfortunately, this can be a process that takes a year or as little as one day.
• Unqualified Buyer
  • The unqualified buyer is someone who has an interest in buying a home but they don’t have the money to make an all-cash purchase and they don’t know if they can qualify for a loan.
  • When you have an unqualified buyer, the next step is to help them find a bank or lender to apply for a mortgage loan. Once the application is complete and processed, the buyer can find out if they are now “Pre-qualified” or need to accomplish a few tasks to be approved by the lender.
• Random Person
  • Lastly, a random person you meet can become a buyer lead. As previously stated, you may not know what stage anyone is in with their living situation. As a result, anyone you meet can be interested in buying or selling a home.

Real Estate Lead Generation for Real Estate Agents

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