The Most Effective Instagram Ad Strategy for Realtors

Running a successful ad campaign is about more than just hitting “launch.” A good strategy uses human psychology and buying behavior - we need to use 'positive manipulation'. Positive manipulation is about guiding your potential customers in the right direction—building trust, connecting with their needs, and gradually leading them to take action, rather than pushing for a sale right away.

Maybe this sounds logical to you, but most people who run ads completely forget they are targeting a cold audience and expect them to convert straight away. This strategy is very ineffective and will lead to a lot of wasted money and no results. How can we reach those same people for a lot less money and with an effective strategy? That is what this blog is about.

Instagram Ads

Videos vs. photo's

Instagram used to be a photo only platform. With the rise of other platforms, such as TikTok, Instagram is following up with what consumers want, and being more and more video focused. Video ads consistently outperform photo ads, grabbing attention faster and driving more engagement. Most realtors get scared off by making videos, either because they are not comfortable in front of the camera, don't have the budget to create a video or don't know how to create a video. Very understandable. But that is about to change.

It is not about you, nor your business

Before we getting into the real strategy and explain step-by-step how we are going to create an effective Instagram strategy, I want to point out one mistake most realtors make.

We often fall into the trap of thinking from our own perspective, assuming that saying, “We’re better because we use X instead of Y,” will resonate with our audience. But consumers don’t care about X or Y—they care about how your product solves their problem. For example, Instead of saying, “We use cutting-edge technology to market your home,” focus on what matters to them: “We help sell your home faster, so you can move on to your next chapter without stress.”

During all of the following steps. Keep your ideal customer in mind. Even better, write down right now what your ideal customer looks like. Take a moment now to define them:

• ‍Who they are: First-time homebuyers? Sellers downsizing?‍
• What they need: A smooth selling process, help finding their dream home, or guidance navigating the market?‍
• How you can help: Showcase solutions to their specific challenges.
  

This customer-focused mindset will keep your Instagram ads relevant and ensure your messaging truly connects with your audience.

Step 1: Magnet Ad

A magnet ad zeroes in on your ideal customer’s biggest problem or challenge. The goal isn’t to promote your service immediately—it’s to show your audience that you understand their struggle. By addressing their pain points directly and with empathy, you establish trust, making them more likely to turn to you for a solution.

How to do this?

To create a magnet ad that connects with your audience, start by understanding their biggest challenge. Speak directly to that struggle in a way that feels human and relatable—no sales pitch.

Identify Their Problem: Understand your ideal customer’s most pressing challenge. For example: “Is finding the right home in [City] stressing you out?” or “Overwhelmed by the thought of selling your home?”

Speak Relatably and Humanly: Share a story or ask a question that resonates emotionally, without jumping into a sales pitch. For example: “You’ve seen five houses, and none feel like home—sound familiar?”

Offer a Helpful Tip or Insight: Provide value upfront, like a quick solution or actionable advice: “Discover the top three tips to stage your home for a quick sale” or “Here’s how to find hidden gems in the housing market.”

We think we know what potential clients want - but the only way to be sure is through testing. Create always a few different sets of your ads, for example change the hook, change the location or CTA. Try to record the same video in 3 or 4 different way. If you are using Roya, the testing will be done automatically by AI. AI will automatically optimize your ads for the best performance without any extra effort on your part.

This magnet ad is about getting more traffic and connecting with potential customers, the ad settings should reflect that. The setting your are going to choose are the following:

• Objective: traffic.
• Location: put in the target location, as a local business this is very important, so you don't waste your money on people who are not in your service area.
• Interests: make sure to keep it broad for this ad, we want to get traffic and we are not selling yet.
• Budget: about $10 to $15 a day.

Step 2: Nurture Ad

While your magnet ad is running, it’s time to create a nurture ad to deepen your connection with your audience. This step goes beyond addressing their pain points—instead, it focuses on offering value, insights, and building trust. Like the magnet ad, it’s essential to test multiple versions (ideally 3 to 4) to find what resonates best with your audience.

There are several types of nurture ads you can use to build trust and keep your audience engaged. Here are some examples:

1. Advice and Tips Ads

• What it is: Provide practical advice or actionable tips related to real estate.
• Example: Share tips like “3 Simple Ways to Boost Your Home’s Curb Appeal Before Selling.”
• Why it works: People appreciate free, actionable advice that addresses their needs, positioning you as a helpful expert in your field.
  

2. Educational or Tutorial Ads

• What it is: Teach your audience something valuable or show them how to navigate the real estate process.
• Example: Create a tutorial on “How to Prepare Your Home for a Quick Sale” or “Understanding Closing Costs: What Sellers Need to Know.”
• Why it works: Educational content helps your audience solve a problem or gain insight into the process, making your brand more memorable and trustworthy.‍
  

3. Customer Testimonial Ads

• What it is: Highlight real client testimonials or success stories to build credibility.
• Example: Showcase a story where a client shares how you sold their home above asking price or found their dream home quickly, along with their feedback.
• Why it works: Social proof builds trust. When potential clients see others’ positive experiences, it reinforces confidence in your services.

4. Case Study or Success Story Ads

• What it is: Highlight specific results or successful outcomes you’ve achieved for past clients.
• Example: A realtor could showcase a case study of a client who sold their home within days and above the asking price, thanks to your marketing expertise.
• Why it works: Demonstrating tangible results provides proof of your service’s effectiveness, motivating potential clients to trust and engage with you.
  

5. Inspirational or Motivational Ads

• What it is: Share stories or content that inspires and resonates with your audience’s goals and values.
• Example: Share a story of a family who found their dream home with your help, or a motivational message like “Your next chapter starts with finding the perfect home.”
• Why it works: Emotional connections are powerful. These ads associate your brand with positive outcomes, encouraging your audience to take action.
  

6. Q&A or Problem-Solution Ads

• What it is: Answer frequently asked questions or present common problems with expert solutions.
• Example: Address a common concern like “What’s the best time of year to sell a home?” and follow it with practical, expert advice tailored to your audience.
• Why it works: Providing helpful answers positions you as an approachable expert, reducing uncertainty and building trust with your audience.
  

The nurture ad is all about building relationships and keeping potential customers engaged. The settings you’ll want to focus on are:

• Objective: Engagement, to get more interactions with your content.
• Location: Use the same targeted location as your magnet ad.
• Interests: Retargeting. We are narrowing down your audience by targeting those who interacted with your magnet ad, visited your website, or showed interest in your business.
• Budget: $10 per day.

Step 3: Conversion Ad

The final step in this Instagram ad strategy is the conversion ad, designed to prompt your target audience to take a specific action—whether it’s booking a consultation, signing up for a service, or making a purchase. At this stage, your audience is already familiar with your brand thanks to the magnet and nurture ads. Now, it’s time to focus on the benefits of your service and use a strong, direct call-to-action (CTA) to encourage immediate action.

Jumping straight into a conversion ad without running magnet and nurture ads often leads to poor results. This skips the crucial steps of building trust and establishing a connection, making your audience less likely to convert. By following the full strategy, you’ve guided your audience through the customer journey, increasing the likelihood of success.

Examples:

• ‍“Ready to sell your home? Schedule a free consultation today and get a custom market analysis!”‍‍
• “Find your dream home—Book a private viewing now and take the next step toward homeownership!”
• “Curious about your home’s value? Get a free home valuation today—no obligation!”
• “Thinking of moving? Schedule a call with [Your Name], your local real estate expert, and get started!”
• “Don’t miss out on the hottest listings in [City]! Sign up for exclusive alerts today!”

Ad Settings for Conversion Ads

• ‍Objective: Conversions, to drive people to take specific actions like making a booking or signing up for a consultation.
• Location: Same as your previous ads—target your specific service area to ensure you’re reaching local customers.
• Interests: Retarget users who have engaged with your magnet or nurture ads, visited your website, or interacted with your social media accounts.
• Budget: $15 to $30 per day to maximize your reach to people ready to convert.

Strong CTA and Offer:

This is where you want to be very clear with your CTA, whether it’s “Call Now,” “Book Your Consultation". Adding a sense of urgency can also help drive conversions, such as “Limited time only,” or “Offer ends soon.”

By the end of this step, you’ve guided your audience from awareness to action, turning cold leads into loyal customers. This strategy not only brings in more qualified leads but also helps you grow your revenue—giving you the freedom to focus on what you love, while your ads work effectively to drive results.

Tips

1. Hook Them in the First 3 Seconds

Grab attention right away with a bold statement, question, or striking visual. The first few seconds are crucial for stopping the scroll, so make sure your hook directly connects to your audience’s pain point or hints at a solution. Try different videos, with different hooks and see what works best (this is why A/B testing is so important!)

2. Focus on the Customer’s Problem, Not the Product

Dive straight into your customer’s frustration. Show them that you understand their struggle before introducing your service as the solution. Keep the focus on how your service improves their life.

3. Highlight a Transformation or Solution

Show the transformation your service provides. Use real-life examples, before-and-after shots, or testimonials to illustrate the results your audience can expect.

4. Include a Clear Call-to-Action (CTA)

End your video with a strong, clear CTA, make the next step easy for viewers to take.

5. Use Subtitles and Captions

Many Instagram users watch videos without sound, so make sure your message is still clear by adding captions or on-screen text. This improves both accessibility and engagement, helping you get your point across even in silent mode.

Conclusion

By following this 3-step Instagram ad strategy—magnet, nurture, and conversion ads—you’ll not only build trust and engagement with your audience but also convert the target audience. By following this method you’re not wasting money targeting cold audiences with sales pitches but instead, creating a structured approach that turns leads into loyal customers. The combination of engaging video content, effective testing, and strategic calls-to-action will help your business grow while freeing you up to focus on what you do best.