What's your benchmark lead to lease conversion ratio?

Team Multifamily - I need some assistance. I am currently researching benchmark conversion ratios. We use the 10:4:1 ratio - For every 10 leads, our goal is to set 4 tours and generate 1 lease. Thus, our benchmark lead to lease conversion ratio is 10%. What's your benchmark lead to lease conversion ratio?

10% seems low. I want my teams in the 35-45%

Our goal is 100%! That way if a few get away we are still exceeding our goals. Right now our closing ratio is about 85% of on site tours and with everything (Internet/phones) we are at 72%. We leased 28 apartments last week. Think Big!

We use 10-5-2. 20% lead to lease, 40% tour to lease.

Games of ones ... if you answer the phone correctly and book the appointment, slide into an assumptive close. You should be one for one.

Varies based on the team and having the right tech stack in place, but across the board, we're seeing about 340-10-3.6-1.5. Adding an online appointment scheduler with real staff availability can increase the 3.6 by 40-60%, and adding smart lead nurturing can increase the 1.5 by 25-42%.

I'm gonna agree with Mike Whaling that so many factors play into these numbers and vary wildly across our I Love Leasing CRM user base. You can measure all kinds of metrics, but we typically see between a 20% to 60% conversion from tour to leases across various clients. Lead to tour conversion can be as low as 10% to 40% and if the source that generated the lead doesn't have good property detail, then the quality of the lead affects that conversion.

I think yours is reasonable, given the number of internet leads generated that are just "kicking tires". Making a higher closing rate can result in some traffic not being reported by employees who don't want to show a closing rate lower than what is expected from them. I'd rather have them show more visits and fewer leases - at least you know they are following up on the leads.

I work in a very competitive market and our closing ratio is literally 1-10%. At times it's under 1%. For example, in the last 30 days, we've had 78 leads and 1 lease at one of our locations. How can we improve this?

Hi! My name is Lavon Simpson and I’m the Director of Digital Marketing at PERQ. PERQ is an AI marketing solution for multifamily and has been in the space for almost 10 years, so we talk to lots and lots of PMCs about their benchmark conversion ratios.

To answer your question, we’ve found that most of the multifamily professionals we work with are looking for a lead-to-lease conversion of anywhere between 15%-30%. Frankly though, there’s not a one-size-fits-all benchmark, per se, because of factors like seasonality and submarket location, etc. 

Certain strategies and multifamily technology solutions can help properties increase their lead to lease conversion. We find that our clients have increased their lead to lease conversion by focusing on automated and personalized lead nurture. It may be important for you to hone in on your lead follow up and ensure it’s working effectively. Hope this helps!