How To Organize Your Real Estate Database
Relationships Are The Key to Real Estate
Ask any top producing real estate agent and they will tell you that having a real estate CRM or organized contact database is essential to building and growing a successful real estate business. But knowing how to organize your real estate database and work it in your client management system is just as important.
Here’s how I like to think of it:
Your database is the heart 💓of your real estate business
Your relationships are the blood 🚀 that keeps it alive
You've got to keep the blood flowing for past clients, sphere-of-influence (SOI), leads and active clients
It takes work, but it’s essential to your success
If you don't feel building relationships is or worth your time, you might want to consider a career change
The first step in explosive💥relationship marketing is to recognize and organize your clients in your real estate database or CRM by relationship type.
What are the 5 database categories every REALTOR® needs? See below.
Overhead view of hands sorting color-coded cutout people into different trays to illustrate a real estate agent organizing a contact database by different relationship types
Why Organize Your Contact Database?
Are all relationships created equal? No, definitely not.
Is your time 🕐 valuable? Massively. So you need to work smarter and use your time most efficiently. To do that, you must have an organized database system with smart workflows and client follow-ups to keep connected.
Some clients are a dream to deal with and will reward you with loyalty and referrals, while others leave a bit to be desired. The relationship category types below will help you organize your clients and realize who really is a "client" rather than just a "contact".
It will also help you identify who you should focus on first to keep in contact with.
The 5 Essential Database Categories
The easy guide to categorize real estate contacts based on relationship strength.
Not all contacts are equal in your real estate database. By sorting everyone you know into contact categories A, B, C, and D, you can prioritize your time and nurture each relationship appropriately. Here’s a breakdown of each category, including who fits in, how likely they are to work with you, and how to approach them for maximum benefit.
A-List: Closest Relationships (“A” is for All-Stars)
Your Inner Circle of Guaranteed Clients
Includes: Immediate family and lifelong best friends – the people dearest to you.
Likely to Use You: ~95% (extremely high probability) plus referrals!
Benefit to You: They trust you completely, will almost always choose you as their agent. And often referrer others to you.
Your Goal: Keep these VIP contacts feeling appreciated on a personal level so they remain loyal and send you referrals.
A-List contacts are your absolute inner circle. These folks – your parents, siblings, children, and closest friends – will work with you no matter what. They know and trust you deeply, so when they or someone they know needs real estate help, you’ll be the first person they call. In fact, personal referrals from friends and family are a huge source of clients in real estate (around 40% of buyers found their agent through a friend, neighbor, or relative (Source: National Association of REALTORS®). This means your A-List can be a goldmine for word-of-mouth leads.
To nurture your A-List, treat them with genuine care (as you already do) and keep them in the loop with your business in a casual, helpful way. Share your expertise when it’s useful, but avoid coming off as salesy to your closest pals. The key benefit of A-List relationships is unshakable loyalty – these people will stick with you and happily recommend you to others because they truly want to see you succeed. Make sure to thank them for any referrals they send. Using a CRM like RealOffice360 can help you tag these top-tier contacts and set friendly reminders (birthdays, check-ins) so you never accidentally neglect your biggest supporters. By keeping your inner circle happy and informed, you’ll continue to earn easy business and steady referrals.
B-List: Close Relationships (“B” is for Besties)
Friends Who Need a Nudge and Occasional Contact
Includes: Extended family, adult friends, and buddies from clubs, teams, or community groups.
Likely to Use You: ~75% (high, if they know you’re an agent and you stay in touch).
Benefit to You: They respect and like you, and will likely work with you or refer others – but only if you remind them of your real estate expertise.
Your Goal: Proactively keep in contact and demonstrate your value. Make sure every B-List person knows you’re in real estate and would love to help them or their friends.
B-List contacts are your friends and relatives that aren’t in your daily inner circle, but you have a solid rapport with them. Think cousins, college friends, former coworkers, neighbors, or teammates from your recreational sports league. These people probably will choose you as their REALTOR® if they remember that you’re in the business and feel comfortable that you’ll do a good job. A B-List relationship might not automatically think of you, so a gentle nudge helps. For example, if you run into them or chat online, casually mention a useful real estate tip or update about your work. The idea is to ensure they connect you with real estate in their mind. If they don’t realize you’re an agent, they might end up hiring someone else by mistake – a lost opportunity that’s easy to prevent.
Staying top-of-mind with your B-List is key. Many people choose an agent who’s simply the one they spoke with most recently or remember first. Don’t be shy about occasionally asking, “If you hear of anyone looking to move, I’m happy to help.” These contacts can send you referrals too, especially when you keep the friendship genuine and lightly weave in your professional expertise. Just be careful not to overwhelm your social relationships with business talk – keep it friendly and helpful. A quick personal check-in every few months (by phone, coffee, or on social media) is usually enough to maintain the connection. Consider setting up periodic reminders in your CRM to reach out with seasonal greetings or congrats on life events. For instance, RealOffice360’s smart follow-ups can prompt you to say hello regularly without feeling pushy.
By actively nurturing these close relationships, you’ll find that most of your B-List will gladly turn into clients or refer you when the opportunity arises.
C-List: Personal Acquaintances (“C” is for Casuals)
Past Clients and People You Know Casually
Includes: Past real estate clients and professional acquaintances (e.g. old clients, coworkers, neighbors, your accountant, doctor, former classmates – anyone you know by name but aren’t close with).
Likely to Use You: ~50% (moderate – depends on your follow-up and continued communication).
Benefit to You: This group can yield a lot of repeat business and referrals if you put in the effort. They’ve seen your work or know your professionalism, but they won’t remember you forever unless you stay in touch.
Your Goal: Rekindle and maintain the connection. Provide ongoing value (market updates, check-ins, helpful advice) so these contacts remember you as their go-to agent when they or someone they know has a real estate need.
C-List contacts include anyone you have a friendly acquaintance with, especially past clients. Even if you haven’t spoken in years, you had a relationship at one time – and it’s worth reviving that connection now. Many in this group could use you again or send referrals, but only if you actively remind them that you care and are ready to help. It’s often said in real estate that while the vast majority of clients say they would use the same agent again, only a small fraction actually do. For example, 88% of home buyers report they would work with their previous agent again, yet in reality only about 17% end up doing so (Source: National Association of REALTORS®). Why the big gap? In large part, because agents fail to follow up. A whopping 91% of agents never contact their buyers or sellers after the sale closes (Source: rezora.com) so it’s no surprise that past clients drift away and find someone else next time. Don’t let that happen to your C-List.
To unlock the value of your C-List, make a plan to keep in periodic contact well after the transaction. Send a friendly email or text a few times a year, share market updates or home maintenance tips, or even drop a personalized note on birthdays or home purchase anniversaries. Little touches like these keep you fresh in their minds. When they’re ready to move again – or have a friend looking for an agent – you want them to think of you immediately. Also, don’t overlook your other acquaintances in this category (like your barber, child’s teacher, or insurance agent); any of them could refer business your way if they remember you’re a knowledgeable REALTOR®. Maintaining these lighter relationships can be as simple as the occasional check-in or offering help when appropriate. Leverage tools at your disposal: for instance, RealOffice360 CRM can automatically remind you of important dates and prompt you to follow up with past clients, making it much easier to stay engaged.
The benefit to you is huge – agents who consistently keep in touch with their database enjoy much higher repeat and referral rates than those who don’t (source: rezora.com). By caring for your C-List, you’ll build a loyal community of clients who come back to you and send others your way, which is essential for a thriving long-term business.
D-List: Online & Social Network (“D” is for Digitals)
Leads and Social Connections You Haven’t Met Yet
Includes: People in your orbit whom you don’t know personally – for example, social media followers, internet leads (website inquiries, Zillow leads, etc.), open house sign-ups, and casual acquaintances you’ve never really spoken with one-on-one.
Likely to Use You: < 10% (low by default, since there’s little to no relationship yet).
Benefit to You: These contacts represent new growth opportunities. They can expand your client base beyond your immediate network – but they require effort, as most won’t convert unless you actively engage and qualify them.
Your Goal: Start a conversation and build trust. Try to move D-List individuals into the C or B category by establishing a real relationship. Prioritize the promising leads (and discard the truly cold ones or anyone outside your market area).
Your D-List is essentially your bucket of raw, unverified leads and distant connections. They might know of you (e.g. they follow your Facebook page or filled out a form on your website), but they wouldn’t recognize you on the street and haven’t personally interacted with you as their agent. Until you have a one-on-one chat or meeting, these people are considered just contacts, not yet clients. Naturally, the likelihood of a D-List contact turning into a deal is much lower than with your other categories – typical online leads in real estate convert at roughly 1% or less on average (Source: followupboss.com). In other words, you might only get 1 sale out of 100 random internet leads, so temper your expectations. However, don’t write them off; with the right approach, some of these cold contacts can be nurtured into loyal clients.
Success with D-List contacts comes from quickly identifying who is genuinely interested and building a connection with them. Respond promptly to inquiries (speed-to-lead matters), and whenever possible, try to personalize the interaction. For example, if someone registers on your website, send a friendly welcome message or give them a quick call to introduce yourself. The goal is to shift from an impersonal online exchange to a real conversation. If a D-List person is willing to meet for coffee or attend a buyer consultation, take that as a win – it means you’ve effectively moved them up into your sphere. (As the saying goes, sometimes a single face-to-face meeting is all it takes to turn a “cold” contact into a warm prospect.) On the flip side, don’t be afraid to purge leads who are completely unresponsive or outside your service area. It’s okay to “D-list” (or delete) those that truly go nowhere, so you can focus on the ones with potential.
To manage this group efficiently, use your CRM and other tools to capture and organize incoming leads. For instance, RealOffice360 can automatically import and track leads from your website or lead sources so that new prospects show up in your database right away. This ensures no inquiry falls through the cracks. From there, you can assign appropriate follow-up actions. Many agents set up drip email campaigns for D-List leads, which is fine for basic engagement – but be ready to step in with a personal touch as soon as someone responds or shows interest. Your main objective with D-List contacts is to establish rapport and credibility. Even though most won’t pan out immediately, the few that do can turn into valuable clients and even future referrers. Every great client was a stranger at one point! By diligently working your D-List (and not neglecting them in a drawer or database), you give yourself the chance to grow your business beyond your current circle. Remember, today’s anonymous online lead could be tomorrow’s loyal client who ends up referring three friends down the road.
E-List: Exclude Bad Clients (“E” is for Exclusions")
These people are time wasters. They distract you from spending time working productive relationships.
Do you have any past clients that were a nightmare? "Friends" who are continuously causing you more headaches than friendship? Contacts on Facebook that just want to vent or be validated? We all know these people and have them in our lives. Save yourself the headache and remove these people from your list of clients or flag them in your .
You can do this now, because you have ranked your clients. Allowing you to focus your time and resources on our best people.
Building Relationships Is Your Business
We all have limited hours in a day, so we hope by organizing your database it will help you take the first step in focusing on your best potential clients and where you can have the most impact to grow your business.
Organizing your real estate database into A, B, C, and D categories helps you focus on relationship marketing in a smart way. It ensures you spend your energy where it counts: staying close with your A’s and B’s, nurturing your C’s for repeat business, and cultivating your D’s into new clients. By leveraging a system (like grouping contacts in a CRM and setting up follow-up reminders), you won’t let important relationships slip away. The payoff for this organized approach is huge – agents who prioritize relationships generate a large portion of their business from repeats and referrals (Source: nar.realtor).
When you know who your best contacts are and treat each group appropriately, you’ll build a sustainable pipeline and a network of loyal clients that grows over time. It’s all about keeping that “relationship blood” flowing in your business; and now you have a clear plan for every contact in your database to do just that.
Ready to get started? RealOffice360™ CRM is a free tool for real estate agents to help you organize your database and assign client relationship types.