iLeads again use their parent company and their very useful data to launch a new product, RealTAG.
The press release is here.
RealTAG essentially tags added data to a lead in hopes of giving the RealTAG user an increased chance of qualifiing the lead prior to the first contact.
“RealTAGTM allows a Real Estate professional to instantly pull a complete property and financial capabilities report on an individual, in 5 seconds or less,” says Drew Warmington, CEO and managing partner of iLeads.com®.
What questions will be answered to help you prequalify the consumer?
Questions that RealTAGTM answers include:
• Does the prospect own the property that they represent?
• What was the last sale date and sale amount?
• What is their estimated household income?
• What is the prospect’s propensity to transact in the next 90 days?
• What is the property value and equity on the home?
• What are the current liens on the property?
• What are the physical characteristics of the property?
• Does the property have a Notice of Default or Foreclosure filed against it?
• What foreclosures are active in the neighborhood?
• What are the market sales trends within the neighborhood?
• What are the most recent comparable sales in the neighborhood?
The cost of the service $.25 to $.5o per look up depending on the amount of loan officers or real estate agents are on the plan. I agree that added information is always nice and beneficial, however I am curious to know what you think. Is the added information valuable enough to you to pay the added $.5o per lead? In todays market we all know the consumer, in many cases, does not completely know their own information and RealTAG can give you that prior to the first call.
So what do you think?
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Sounds like a great service. I am interested though, if the result comes back undesired, does that mean that the buyer can return the lead? If not, (and I would assume not if this is a standalone operation), where does the 50 cents come from? Is that the value placed on the reps time? Is it related to the cost of appraisals that come back wrong? What is the ratio of leads that this will “save” a buyer from?
Thoughts?
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LeadTwit,
Drew can confirm, but I don’t think, unless the lead is purchased through iLeads, that lead or service can be returned.
RealTAG is an added service just like TargusInfo is an added service. If a lead is rejected because it doesn’t pass Targus validation service you still pay for the service.
Drew, am I off here?
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Also, if Drew could comment on the economics I mentioned that would be great as well.
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Lead Critic, you’re right. If a customer of iLeads.com purchases a lead from us, and RealTAG confirms for example that the consumer doesn’t actually own the home (or any other filter that you have purchased), we would replace the lead. That being said, if you purchased a lead from another lead provider, I would think that since you would have the proof that the lead is outside your filter set, you would be able to get a replacement. I guess the ultimate proof is based on whether or not they stand behind their product.
RealTAG works with any lead, (Internet, Mail, Telephone call in, Hot Transfer), from any provider. It essentially allows you to prioritize, (we include predicative lead scoring) as well as identify prospects that can actually close, on or before the first phone call. The service is not like Targus in that we are actually looking at things that affect the funding capabilities of the borrower, (vs. Targus only identifying the contact information). In short, if with Targus you can make sure that there’s a good chance that the phone number works, with RealTAG, you can actually make sure that there’s a good chance that you get paid.
Cost on the program starts at .50 per report for a single Loan Officer, and quickly drops down depending on the number of Loan Officers and pulls in your shop. We find that the cost argument is not too much of an issue, once we ask how much time and money is spent with leads that fall apart due to LTV, income, or foreclosure status, etc. The bottom line is that RealTAG allows a lender to not spend capital on deals that will die in the pipe.
My bet in building RealTAG is that the era of “no backup” leads (consumer and / or lead provider generated forms) are over. Loan lead generation will survive on the Internet, but since lending requirements will be tight, (no more liar loans for the foreseeable future), and cost per funded deal will be big issue, lenders are going to need the ability to work only the good ones.
The bottom line is that we know have the ability to lower that cost per funded deal by pre-qualifying the lead. That to me is a key new ability in this new world that we find ourselves in.
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