Stay Paid Podcast Episode Summary
Title: CIRCLE PROSPECTING for Real Estate: How We Closed 25 Deals Using THIS Script!
Hosts: Luke Acree and Joshua Steich
Guests: Stephen Acre and Cody Smith of the Acre Brothers Realty Team
Release Date: March 24, 2025

1. Introduction to Circle Prospecting

In this episode of the Stay Paid Podcast, hosts Luke Acree and Joshua Steich welcome Stephen Acre and Cody Smith from the Acre Brothers Realty Team, the leading realty team in Lynchburg, Virginia. The discussion centers around the effective use of circle prospecting—a strategic lead generation method that has enabled the team to close 25 deals using a specific script.

2. Understanding Circle Prospecting

Stephen Acre begins by defining circle prospecting:

"Circle prospecting involves selecting a specific geographic area and gathering information on homeowners not listed on the Do Not Call list. You then initiate contact through calls to introduce yourself and provide value, such as a home valuation."
(01:24)

Cody Smith compares it to traditional door knocking but executed over the phone:

"It's the same idea as door knocking—reaching out to unfamiliar homeowners—but scaled up through dialing."
(03:37)

3. Selecting Target Areas

The selection of target neighborhoods is crucial. Stephen Acre emphasizes choosing areas where the team has substantial data and understanding:

"We focus on neighborhoods we are already farming and know well, including factors like higher prices and turnover rates. This allows us to provide relevant information, such as recent listing prices, which adds value to our outreach."
(02:03)

4. Data Sources and Tools

Obtaining accurate data is fundamental for successful circle prospecting. Stephen Acre discusses their preferred tools:

"We utilize platforms like Deal Machine and Pioneer Data Solutions to gather accurate homeowner information, ensuring we filter out those on the Do Not Call list. This data is then integrated into our CRM for efficient management."
(05:01)

Cody Smith adds that circle prospecting can also be done for free using parcel viewers and the White Pages, allowing agents to manually filter and call without incurring costs:

"You can perform circle prospecting without paying for data services by using publicly available resources and your brokerage's Do Not Call list."
(05:40)

5. Dialing Strategy and Metrics

The dialing process involves significant effort, with Cody Smith outlining their approach:

"We employ two Inside Sales Agents (ISAs) who each make 200 calls a day, including double dialing. Our goal is a 5-10% conversation rate and securing at least one appointment daily."
(06:31)

Cody Smith further elaborates on their metrics:

"So far this year, we've made 12,000 calls to 3,000 unique individuals, resulting in 300 conversations and 12 closed deals."
(14:30)

6. Effective Scripting

A well-crafted script is vital for engaging homeowners. Stephen Acre shares their script approach:

"Our script centers around offering a home valuation without being overly salesy. For example, 'If you've received an offer on your property, would you be open to looking it over?' This soft close invites homeowners to consider their property's value without feeling pressured."
(07:16)

During a live role-play, the effectiveness of the script is demonstrated:

Stephen Acre:

"This is Stephen Acre from the Acree Brothers Realty Team. I have a lot of buyers looking in your neighborhood for a property like yours. If you've received an offer on your property, would you be open to looking it over?"
(09:57)

Luke Acree:

"Yeah, but what are you saying? You have somebody that wants to buy my home?"
(10:16)

Stephen Acre:

"Absolutely. Zillow is showing a price range of about $250,000 to $310,000. Does that sound about the range you're looking for?"
(10:39)

This interaction showcases how the script transitions from introduction to offering value and setting up an appointment.

7. Handling Objections and Building Relationships

Not all conversations lead directly to transactions. Stephen Acre acknowledges the presence of unmotivated sellers but emphasizes focusing on those ready to sell:

"The goal is to identify motivated sellers through consistent outreach. While not everyone will respond positively, the motivated ones are the gold in a challenging market."
(11:37)

Cody Smith discusses strategies for nurturing relationships when immediate transactions aren't possible:

"If a homeowner isn't ready to sell, we shift the conversation to their dream home and future plans. We offer value by inviting them to events or sending helpful information, keeping the relationship warm for future opportunities."
(22:26)

8. Measuring Success and Results

The team's persistence in circle prospecting yields tangible results. Cody Smith provides detailed statistics:

"With 12,000 calls to 3,000 individuals, we've had 300 meaningful conversations and closed 12 deals. Additionally, we've set 18 off-market listings and secured over 50 appointments through these efforts."
(14:30)

Stephen Acre highlights the importance of consistency, especially in a "mud market" with high interest rates and low demand:

"In a tough market, circle prospecting is essential to maintain a steady pipeline. Even though the conversion rate might be low, the volume ensures that we find motivated sellers who can lead to successful transactions."
(13:40)

9. Leveraging Circle Prospecting for Investment and Off-Market Deals

Beyond direct sales, circle prospecting opens avenues for investment opportunities. Cody Smith explains:

"Circle prospecting helps us find off-market properties ideal for investors. By supplying investors with exclusive inventory, we create additional revenue streams and opportunities for both the agents and their clients."
(17:16)

Stephen Acre adds that securing off-market listings enhances their value proposition for buyers:

"Having exclusive off-market listings allows us to offer unique opportunities to our clients, differentiating us from other agents and building stronger relationships."
(19:54)

10. Transactional vs. Relationship-Focused Approaches

The discussion contrasts transactional scripts with relationship-building methods advocated by experts like Ricky Carruth. Stephen Acre and Cody Smith present a balanced approach:

"While our script initiates with a transactional offer, we seamlessly transition to building a relationship by offering additional value and staying in touch for future needs. If the immediate transaction isn't feasible, we nurture the relationship for long-term opportunities."
(21:46)

Cody Smith emphasizes the importance of understanding the homeowner's motivations and dreams:

"By asking about their dream home and offering resources, we shift the conversation from a single transaction to an ongoing relationship, ensuring we remain top-of-mind for when they're ready to sell."
(22:26)

11. Conclusion and Final Thoughts

As the episode wraps up, Luke Acree underscores the necessity of combining passive and proactive marketing strategies:

"Top producers not only leverage passive marketing like postcards and social media but also engage in proactive activities such as circle prospecting. This dual approach ensures a robust pipeline of leads and sustained business growth."
(23:46)

He encourages listeners to adopt consistent, action-oriented prospecting techniques to differentiate themselves in the competitive real estate market:

"If you're not actively prospecting, you're missing out on potential deals. Embrace the 'mud' of circle prospecting to uncover the gold of motivated sellers."
(24:08)

Notable Quotes

• Stephen Acre:
  "Circle prospecting involves selecting a specific geographic area and gathering information on homeowners not listed on the Do Not Call list. You then initiate contact through calls to introduce yourself and provide value, such as a home valuation."
  (01:24)

• Cody Smith:
  "We employ two Inside Sales Agents (ISAs) who each make 200 calls a day, including double dialing. Our goal is a 5-10% conversation rate and securing at least one appointment daily."
  (06:31)

• Stephen Acre:
  "Our script centers around offering a home valuation without being overly salesy. This soft close invites homeowners to consider their property's value without feeling pressured."
  (07:16)

• Cody Smith:
  "Circle prospecting helps us find off-market properties ideal for investors. By supplying investors with exclusive inventory, we create additional revenue streams and opportunities for both the agents and their clients."
  (17:16)

• Luke Acree:
  "Top producers not only leverage passive marketing like postcards and social media but also engage in proactive activities such as circle prospecting. This dual approach ensures a robust pipeline of leads and sustained business growth."
  (23:46)

Connect with the Guests:
Stephen Acre: Text or call at 434-2165
Cody Smith: Available for presentations on circle prospecting and investing

Additional Resources:
Visit staypaidpodcast.com for show notes and episode videos. Follow Stay Paid Podcast on Apple Podcasts and Spotify, and connect via social media at @StayPaidPodcast.