Spending less on ads can yield better results. One expert says cutting waste, auditing expenses and improving conversions drive sustainable real estate growth.

NEW YORK — Spending more on advertising isn’t always the path to growth. In fact, agents may see better results by trimming waste.

Josh Ries, a real estate broker and lead generation consultant, told Inman there are five cost-cutting strategies that can improve profitability without reducing lead flows:

  • Auditing expenses and eliminating unnecessary costs, even small ones
  • Moving away from generic boosted posts on platforms that include Facebook and Instagram
  • Leveraging open houses for free national marketing on Zillow, Realtor.com, Redfin and others
  • Testing content organically before paying to promote it
  • Fixing conversion systems before investing in more leads

The true cost of lead acquisition includes not only the cost of generating the leads but also getting a buyer to the closing table. In some instances, weak processes and poor follow-up can erase the gains made with additional advertising expenditure.

Referral-based lead services can generate more leads, but they also can cost more and reduce commission checks in the long run. Using these five strategies can help a real estate firm have leaner, more sustainable businesses.

Profitability depends on discipline, smarter testing and efficient systems, not simply bigger ad budgets.

Source: Inman (08/26/25) Ries, Josh

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