Know what a lead is worth before buying any
Work out your own numbers first:
- What share of leads from a given source ever respond
- What share of those become an appointment
- What share of appointments become a signed client
- What share of clients close
- Average commission
Run those through and you get cost per closing. Portal leads that look cheap per lead frequently land at a cost per closing that makes them marginal, particularly where the same lead goes to several agents.
Without this arithmetic every lead offer sounds reasonable.
Speed decides shared leads
If you do buy shared leads, response time is close to the entire game. The first agent to make contact takes a large share of them, and minutes matter rather than hours.
That is an operational commitment, not a marketing one. If you cannot respond within minutes during the hours leads arrive, shared leads are a poor purchase for you.
The channels that produce more reliably
Your existing database. Past clients, people who enquired and did not transact, and your general contacts. Consistent, personal, low-volume contact with this group outproduces almost any purchased source, and it costs time rather than money.
Referrals from past clients. Ask. Most agents rely on referrals and never actually request them.
Sphere and community presence. Pasadena is a market where local roots matter and where being genuinely part of the community is visible. Sponsorships, local involvement and long presence produce business that no portal replicates.
Content on local process questions. Property taxes, flood zones and insurance, homeowners' associations, what affects value locally. These bring in people at the research stage, which is earlier and cheaper than the portal stage.
Your own name in search. People given your name will look you up. Reviews, a real biography and an accurate profile decide whether the call happens.
Reviews are the cheapest lever available
Agents are selected personally, and review volume and recency carry substantial weight. Ask after every closing, consistently.
Most agents do this inconsistently, which is why it is still an advantage rather than a baseline.
Compliance is not optional
Real estate advertising is regulated, fair housing rules govern how properties and neighbourhoods may be described, and licensing disclosures apply to marketing material. Contacting people by call, text or email is also governed by rules on consent.
What applies to you is a matter for your broker and your own counsel. Never publish invented sales figures, fabricated testimonials, or claims about results you cannot substantiate.
A realistic order for an individual agent
- Assemble and maintain your database — everyone you have ever worked with or spoken to
- Contact it consistently, personally, on a schedule
- Ask every closed client for a review and a referral
- Build content on local process questions
- Keep your profile and biography accurate and current
- Only then consider purchased leads, with the cost-per-closing arithmetic done first
What outside help costs
Starter Presence — $2,500 setup, $750 a month for an individual agent. Growth Engine at $5,500 and $1,500 where you want local content and follow-up systems built properly.
Frequently asked questions
How should I evaluate a lead source?
By cost per closing, not cost per lead. Work through response rate, appointment rate, signing rate and closing rate against average commission. Shared portal leads often look cheap and land somewhere marginal.
What matters most with shared leads?
Response speed. The first agent to make contact takes a large share, and minutes matter rather than hours. If you cannot respond that fast during the hours leads arrive, they are a poor purchase.
What produces business more reliably?
Your existing database contacted consistently and personally, referrals actually asked for, genuine community presence, content on local process questions, and your own name searching well.
What is the cheapest lever available?
Reviews. Agents are chosen personally and review volume and recency carry real weight. Asking after every closing is still an advantage rather than a baseline because most agents do it inconsistently.
What compliance applies?
Real estate advertising rules, fair housing requirements governing how properties and neighbourhoods are described, licensing disclosures, and consent rules for calls, texts and email. Confirm the specifics with your broker and your own counsel.