Real Estate Farming: Lead Generation and Marketing Strategy

Rita Akekelwa | August 16, 2022 | Marketing

Generating leads can be difficult without proper strategy. Real estate farming has proven to be one of the most effective lead generation and marketing strategies for real estate agents. But this strategy only works if it is done right.

In this article, we’ll uncover the importance of real estate farming, including how it works and how to carry out this strategy step by step.

Quick links:

  1. What Is Real Estate Farming?
  2. How Real Estate Farming Works
  3. What is Geographical Farming in Real Estate?
  4. What is Demographic Farming in Real Estate?
  5. Real Estate Farming Step-by-Step by
  6. Conclusion

What Is Real Estate Farming?

Real estate farming is a lead generation strategy that targets one geographic or demographic area to specialize in.

This strategy allows the real estate agent to gain authority in the area and to be top of mind within the chosen neighborhood. The key is to stay professional, efficient, and consistent while utilizing the correct tools.

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Real estate farming is much like a real farm. For every move an estate agent makes in the market, they plant seeds to benefit from in the future.

Like with all crops, they take time and patience to be fruitful. With hard work and consistency, the agent will receive great results that make the payoff well worth their effort.

How Real Estate Farming Works

Real estate farming aims to plant and nurture real estate leads so that the agent may convert these leads into clients at a later date. Two main real estate farming techniques include the following:

  • Geographic farming. Geographic farming, or geo-farming, involves focusing real estate marketing practices on a specific neighborhood or area, including an entire town, subdivision, or ZIP code.
  • Demographic farming. Demographic farming, also known as niche farming, targets a particular demographic within the chosen geographic location. For example, targeting move-up buyers, doctors, or entertainers.

Choosing the right farming area is a crucial step to mastering this strategy. This should often be influenced by demographics, location, size, turnover, and competition. For the best return on investment, follow these six steps:

  • Choose a place close to home.
  • Conduct research on the chosen area.
  • Select a geographic farming area with defined boundaries.
  • Narrow down the size of the farming area.
  • Compare multiple areas.
  • Determine the cost of real estate farming.

Once the agent has chosen a suitable farming area, they must establish themselves as an authority.

This involves creating a professional website (while implementing effective SEO), gaining access to homeowner data, participating in real estate forums, and attending local meetup events and groups.

The agent can connect to locals through either practical methods, such as door knocking or sending postcards to promote their services, or digital means, such as promoting their services through automated direct mail services or social media like Facebook, Twitter, or Instagram.

What is Geographical Farming in Real Estate?

The goal of geographic farming is to market the agent’s real estate business to one particular neighborhood.

This technique effectively allows real estate agents to brand themselves as neighborhood expert. Simultaneously, it will enable realtors to connect with homeowners systematically.

Send Postcards

Sending out real estate farming materials such as postcards is essential to familiarizing a neighborhood with an agent. Showcasing knowledge about the area through postcards will demonstrate to its reader that the distributor is a real estate expert.

Join Local Community Organizations

Most local communities will have organizations and may even produce online forums for those organizations through a Facebook group or message board.

An estate agent can earn the community’s trust by introducing themself as part of the community and real estate agent and joining the discussion.

The agent may even provide the community with a listing or market update regularly so that their name becomes associated with the real estate in their area.

Host Client Events

Hosting local events informs the community on how to understand the value of their home or how to sell it. This is a great farm technique because it allows the agent to become recognized as the area expert.

By providing their email, website, and phone number, they gain a higher chance of earning potential leads following these events.

What is Demographic Farming in Real Estate?

Demographic farming, or niche farming, is the act of implementing marketing efforts on a particular demographic within the chosen geo-farming area.

An example of niche marketing may involve targeting move-up buyers, first-time buyers, downsizing sellers, investors, or buyers and sellers in a specific price range.

Deciding on the right farm area depends on many factors. Here are five factors to consider before choosing a demographic to focus on.

Income Levels

It’s important to compare multiple areas to ensure high-income levels. To determine the income potential, make calculations regarding the site.

These include the average sale price, average commission per sale, and turnover rate. Next, calculate the income potential by multiplying the total number of homes sold by the average commission.

Home Appreciation

Before settling on a demographic, it’s essential to research the home appreciation of the demographic or geographic area.

Focusing on a geographic area with increasing value houses allows a higher chance of persuading locals to sell and a larger income.

Number of Occupants in Home & Age Ranges

To ensure that an area can provide an agent with the income they need to reach their business goal, they need to consider the number of occupants in a demographic home, and the age ranges of demographic homes.

Employment Status

When niche farming, considering the employment status of buyers or sellers in the area is an excellent place to begin narrowing down the niche.

For example, if there are two hospitals in the area, the agent could concentrate on selling houses to doctors working at the hospital or working there.

Length of Homeownership

Knowing how long the target has owned their home may help to determine how long it will take to sell their house.

People who have owned their house for less than two years typically have more trouble selling their house.

Agents can access information about the homeownership periods of specific homes through Google or census data.

Real Estate Farming Step-by-Step by

Ready to start real estate farming? Here are four basic steps to follow that helped many agents master this powerful strategy.

1. Target the Right Neighborhood

To ensure success, target a farm of 500 homes or less. The area must have a healthy demand (a good absorption rate), and homes in this area should be listed for sale regularly (a solid turnover rate).

2. Plan How & When to Deliver Value to Your Farm

An excellent way to reach out to members of an area is through postcards, social media groups, market updates, and the neighborhood website.

Create a calendar to help plan out when each message should be sent and note the value it will provide the audience.

3. Make a Plan to Manage & Track Your Leads

Manage and track leads through a real estate customer relationship manager (CRM) like LionDesk.

CRMs allow agents to tag farm contacts, automate email and text messages, and track this communication to ensure that they follow up on every lead.

4. Execute Your Real Estate Farming Plan: Start Delivering Value!

Once you’ve mastered the last three steps, commence the automated communication plans and monitor and follow up on social posts, postcards, and market updates.


For successful real estate farming results, carry out long-term automated communication and daily personal follow-ups. This strategy requires constant monitoring, so if an agent treats it like a set-it-and-forget-it strategy, it won’t be as effective.

All in all, lead conversion is critical to every real estate business.

Our seller landing pages will not only help you generate leads, but we’ll also help you on the journey of lead nurturing until they convert.

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Rita Akekelwa

Rita is a professional real estate and finance writer who has built up a multi-disciplinary portfolio over the years. She has over ten years of writing experience, focusing on the U.S and Australian markets. Her topics have ranged from credit scores to home loans, mortgage redraws, and refinancing. She has a natural ability to dig deep into her subjects, crafting the highest quality informative texts.