How to Generate Leads Using Facebook Ads for Real Estate Investors

Facebook Ads for Real Estate Investors
by Don Phelps

by Don Phelps

Don Phelps is an entrepreneur who focuses on digital marketing and more specifically "Search Engine Optimization" (SEO) for real estate investors. He is also a full-time real estate investor and focuses specifically on single-family rehabs and rental property.

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Successful real estate investors understand the importance of lead generation to the growth of their real estate business.

The more leads you have in your pipeline, the more business you will have coming your way and vice versa.

A study conducted by the National Association of Realtors shows that 52% of home buyers found the home they purchased on the internet.

They also stated that social media is among the top 3 tech tools that have generated more leads at 47%, than the MLS site at 32%, brokerage’s site, and listing aggregator site, both at 29%.

This shows you how powerful the internet is, how it has changed traditional marketing by dictating how customers search for and buy goods/services, and how social media is one of the major driving force for that change.

Social media is undoubtedly one of the best sources of lead generation when it comes to internet marketing and you need to pay good attention to utilize its benefit towards growing your real estate investing business.

With the power of social media marketing, knowing how to effectively use Facebook which is the biggest social media platform with over 2.45 billion monthly active users is essential to the success of your business.

In this post, I will be showing you how to effectively use Facebook ads as a real estate investor to grow and expand your real estate business.

This post is filled with practical steps you can start taking today to achieve great results when using Facebook ads for real estate investors to generate more leads.

Let’s dive in…

Why Facebook Ads for Real Estate Investors

Before we go ahead to show you the most effective ways you can utilize Facebook ads to generate steady leads for your business, let’s discuss why we choose Facebook out of other popular social media platforms for real estate investors.

When it comes to social media marketing, knowing the most popular platform is step one. The next step is knowing who is using the platform and how these users are engaging with the platforms.

This will help you to discover where your target audience congregates so that you can channel your energy on that platform, target them accurately, and get your message across to them in the most efficient manner.

Here are a few reasons why we consider Facebook to be the most effective social media platform for real estate investors? 

  1. 74% of high-income earners are Facebook users

    According to a study by Pew Research Center, Facebook is prominent among high-income earners making $75,000 or more.

    As a smart real estate investor, Facebook is the place to be putting your social ad dollars. It has your target market and a tendency for a higher Return on investment ( ROI).

    Facebook surpasses other social media platforms like LinkedIn which reaches just 49% of users making $75,000 or more. Only YouTube has a higher reach in this group, at 83%.

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  2. Facebook Ads are Laser Targeted

    With the numerous data and information Facebook has on its users, coupled with the super targeting option available for marketers, you can be able to show your ads to a specific set of people that would be interested in what you offer.

    This helps to make sure that your message gets across only to your target audience with higher possibilities to engage with your ads and take desirable actions.

This is one of the reasons while Facebook advertising is profitable and generate a good ROI when done right.

  1. The average cost per click (CPC) for a Facebook ad in Real Estate is $1.81

    A study by WordStream calculated the average cost per click for Facebook ads in the Real Estate industry and found $1.81 to be the benchmark number.

    This might look a bit too much at first glance, but when compared with other ads platform like Google ads with an average cost per click of $2.37, Facebook will be a better cost-effective option.

    The most interesting part of Facebook ads for real estate investors is the high conversion rate, which brings us to the next one,

  2. The average conversion rate (CVR) for Facebook ads in Real Estate is 10.68%

    Real estate investors have plenty to sweat about but finding prospects on Facebook doesn’t seem to be one of them.

    With the help of Facebook’s unique lead generation ads that have proven to outperform most other ad platforms for Real Estate investors.

    This helps them to convert at a remarkably high rate, averaging 10.68% conversion rates from Facebook ads.

    The real estate industry benefit much from Facebook’s lead generation ads and consequently, have higher conversion rates making it to be one of the most powerful ad platforms for smart real estate investors.

There are other several reasons why we consider Facebook as the most effective social media network to spend your social marketing dollars. But with the few I shared with you above, you can trust that Facebook can contribute to the massive growth of your real estate business.

Getting Started with Facebook Ads for Real Estate Investors

Here are the steps you can follow to set up and run a successful Facebook advertising campaign.

#1. Choose the right campaign objective

When it comes to Facebook advertising for real estate, one of the best performing objectives is “Lead generation”. This helps you to set up an ad where you can get the important details of your prospect (name, phone number, email, zip code, and so on). 

Whether you’re interested in buyers or sellers leads, getting your prospect’s details is very important as it helps to build your pipeline and proves to be beneficial in the long run.

#2. Choose the right targeting for your audience

This is what makes Facebook the most desirable advertising platform on the internet. The ability to narrow down your targeting based on people’s location, age, gender, demographics, behavior, and interest.

This helps you to hone into your target market and make sure your marketing campaign is been shown only to your target audience.

The “detailed targeting” option is what I considered the superpower of Facebook advertising. The ability to target people based on the actions they take online, what they are interested in, and much more.

Here are some of the Facebook targeting options available for Real Estate:

  • Target by “location”
  • Target by “zip code”
  • Target by “age range”
  • Target by “income”
  • Target by “homeownership”
  • Target “first time home buyers”
  • Target “lookalike audience” and more

#3. Ensure that your Ads Headline Stand Out & Capture your Target Audience Attention at a glance.

One of the best ways to capture your target audience’s attention is to call out your audience at the beginning of your ad copy.

For Example:

Bad Headline: Attention Homeowners

Good Headline: Attention Austin, TX Homeowners

Bonus: You can use emojis to grab people’s attention by adding them to your Ad copy.

#4. Write compelling ads copy

The goal of your ads is to get someone to take the next intended action and not to make them happy.

Your ad copy has to be compelling enough to get the person reading to click through to the next phase.

It’s always best to have a picture of your dream customer in mind when crafting your ad copy as it will help you to speak to him/her in the best way possible and they will resonate with you.

It’s true that thousands of people will be reading your ad copy but is well advised to always write with one person in mind (dream customer), as they will be reading the message alone and not in a group.

#5. Use Videos in your Ad Creative

There are so many benefits to using videos in your Facebook ads like increase brand awareness and trust.

The one that picks my interest more based on the context of this post is a study by Optinmoster (a lead generation software), which shows that video marketers get 66% more qualified leads per year.

This shows you how beneficial videos can be when used in your Facebook advertising campaign.

Using video in your ads also helps to bring your properties to life, making it to be more desirable.

#6. Use Carousel Ads to show multiple rooms in your properties.

Videos are great and one of the best performing visuals to use in your Ad creative, but nothing beats testing when it comes to marketing online and creating a winning marketing campaign.

The carousel ad format is also great as it allows you to display multiple images of your properties so that viewers can scroll through and view multiple images and listings been advertised.

Like I said earlier, nothing beats testing when marketing online. So go ahead and test the two different ad creatives (videos and carousel) and find out what works best for you.

#7. Start small and scale your ads budget

Last but not least, you need to understand how to scale your ads.

Before you start spending $100 or $1000 per day on your ads, it is important to start small, monitor the performance of your ads, and scale from there.

You can start with $10 or $20 per day depending on your marketing budget, then scale the ads when it starts performing well and shut it down if not.

This is to ensure you’re not losing money from your campaign but generating the desired results from your Facebook advertising campaigns.


Facebook is the biggest social media platform and one of the most profitable for real estate investors who are looking to grow their business.

But it’s a constantly evolving platform based on shifting demographics, the inclusion of new features, new tools, and algorithm changes, which can be difficult to keep up with and utilize effectively.

Effective Facebook marketing requires an understanding of what’s currently working on Facebook and how they apply to your social media marketing strategy.

For help with getting started with Facebook ads for your real estate business, contact us today. CTX Marketing provides Facebook advertising services for real estate investors in Austin, Texas, and surroundings.

Whether your goal is to get buyers or sellers leads to call you, we can help you launch a successful Facebook advertising campaign that will accomplish your goals at a very affordable price.

Let us work as an extension of your team, to keep up with the ever-changing technology and trends on Facebook when it comes to Facebook ads for Real Estate.

Contact us today for a FREE in-depth Facebook marketing plan for real estate investors.

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