Best Source of Seller Leads? Referrals & Past Clients

In real estate, there’s a saying that rings true no matter what the market is doing: “Your best next client is someone who already knows you, or someone who knows someone who does.”

That’s why referrals and past clients are hands down the best source of seller leads for real estate agents in Australia. They cost very little to generate, take less time to convert, and bring in high-quality listings.

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Let’s break down why they work so well and how you can tap into them more effectively.

1. Trust Is Already Built

When someone is referred to you by a friend or family member, that recommendation carries weight. Australians are naturally cautious with big decisions like selling a home, and they prefer to work with someone they know, or someone trusted by someone they know.

With referrals, half the battle is already won. You’re not starting cold. You’re not trying to convince them of your skills from scratch. They already believe you can do the job because someone they trust said so. That kind of trust is worth its weight in gold.

Tip
One simple way to uncover referral opportunities is by going back through your reviews on Realestate.com.au and Google. These reviews are often written by your happiest clients, the ones most likely to refer you. Make a list of everyone who left a positive review, then reach out with a friendly message or call to thank them again and let them know you’re available if anyone they know is thinking of selling. A quick check-in with these past clients can often lead to warm introductions and future listings.

2. It Costs (Almost) Nothing

Most agents spend money on flyers, Social Media ads, Google ads, or buying cold lead lists. While those methods can work, they also come with high costs and low conversion rates.

Referrals, on the other hand, are free. A simple check-in text, a thank you note, or a call to a past client can lead to thousands of dollars in commission with no marketing spend.

Even better, past clients and happy contacts are often happy to refer you, they just need to be reminded.

3. Faster Conversions, Less Chasing

When leads come from online ads or cold outreach, they often take weeks or months to convert. You might have to follow up again and again before they’re ready.

Referrals are different. Referred clients are more likely to list with you sooner because they’re coming with a built-in sense of confidence. There’s less need for long sales pitches or constant follow-ups.

You still need to show your value, but the trust bridge is already built.

4. Your Past Clients Are a Hidden Goldmine

So many agents forget to keep in touch with past clients. But the people you’ve already helped are often your best source of new business.

They’ve seen you in action. They’ve experienced your service. And if they were happy, they’re more likely to recommend you to friends, family, or neighbours.

Even better, many of them may be thinking about selling again in the future. All they need is a little nudge or a market update to get the ball rolling.

5. It Doesn’t Take Much Effort

You don’t need a fancy system to make referrals work. A few small actions go a long way:

• Sending a personal thank-you note
• Setting up an automatic sequence that schedules every few weeks an email and follow up SMS
• Sharing a recent sale with a quick “Know anyone thinking of selling?
• Offering free updated appraisals to past clients

These small touches take minutes, but they can lead to big results.

Final Thoughts

In a world where everyone is chasing the latest marketing trick, sometimes the smartest move is to go back to basics.

Referrals and past clients are your easiest, most cost-effective, and most reliable source of seller leads. They trust you. They like you. And they’re happy to spread the word, if you give them a reason to.

So, take the time to reconnect. Say thank you. Be helpful. Stay in touch.

Because when it comes to growing your business, the people you already know can take you further than you think.

If you’re wondering how to reconnect with your past clients or generate more referrals, we’re here to help. Book a quick chat with us and let’s explore how we can make your database work harder for you, with less effort and better results.