Referrals: The Heart of Your Business

According to a Neilson study, 92% of consumers trust referrals from people they know and people are four times more likely to buy when they are referred by a friend.

That is reason enough for real estate professionals to keep their referral pipeline full, but too many agents neglect to ask for referrals for fear of being seen as 'pushy.'

A million-dollar producer from Blue Ridge, GA. sends prospective clients links to his reviews at the start of every relationship. It's a short step, he says, when a transaction closes to ask not only for a nice review but also for a few referrals.

A 24-year veteran agent from Boston buys 'I love referrals' stickers online and sticks them on every piece of mail she sends. She also sends a thank you note for every referral with a $5 or $10 gift card inside, and when the referral results in a closed transaction, she sends a more meaningful gift.

From real estate coaches and successful agents, here are four more ways to turn your client relationships into a steady stream of lucrative referrals:

• Provide exceptional service – Your biggest fans are the buyers and sellers you have helped to achieve their goals. When you know you have provided outstanding service, it's easier to ask for referrals.

• Send a handwritten thank you card – It's a great, old-fashioned and appreciated way to say, 'thank you for trusting me with your business.' Include a few business cards and a few words about how grateful you would be for referrals they send your way.

• Stay in touch – Add your clients to your list for your blogs, newsletters, social media, podcasts – and recognize birthdays, and other events with a handwritten card – perhaps with one of those 'I love referrals' stickers on them.

• Network with other agents – The more you network, the higher the chance other agents will think of you when they have a lead that is out of their area or that you are particularly suited for.

— Source: Neilson