Last updated: November 2024
Facebook is still one of the top platforms for real estate advertising, and for good reason. With almost 13 millions of active users in Australia, it’s a powerful place to reach potential buyers and sellers, showcase properties, and grow your brand. What makes Facebook stand out is its ability to target ads precisely—by location, interests, and even behaviours—so you can reach the right people at the right time.
These days, most home buyers start their search online. Facebook has become a popular spot for checking out listings, exploring different areas, and getting a sense of the market. When someone comes across an appealing ad in their feed, it can often be the first step in their journey to finding a new home.
In this guide, we’ll walk you through the key metrics for Facebook and Instagram ads for the real estate industry in Australia—click-through rate, cost per click, cost per thousand impressions, and cost per lead. You’ll see how your ads stack up against the average benchmarks in the Australian real estate space and get tips for improving your campaigns. Whether you’re promoting new listings or just trying to boost your brand’s presence, understanding these benchmarks will help you get the most out of your ad budget.
Click-through rate (CTR)
The average CTR for real estate ads on Facebook in Australia is 4.28%. This means that, typically, about 4.28% of people who see these ads click on them. If your ads are hitting or surpassing this benchmark, it shows you’re engaging your audience well. But if you’re falling short, it’s probably time to tweak things—try clearer actions and urgency to drive clicks. Use local targeting and sharp visuals to catch interest and add social proof or pricing to build trust.
Cost per click (CPC)
With an average CPC of $0.24, this is what you’d typically pay for each click on your ad in the real estate space. If yours is below $0.24, great—you’re driving traffic cost-effectively. If yours is higher, it may be because you’re going after more competitive keywords or aiming at a crowded audience. To bring that cost down, consider refining who you’re targeting—narrow it to specific suburbs or buyer types. You can also make sure your ad copy is relevant to what potential clients are searching for, so you’re getting clicks from people who are genuinely interested.
Cost per thousand impressions (CPM)
For every 1,000 times your ad is shown, you’ll likely pay around $10.21. This average CPM helps you understand what it costs to get your ad in front of a broad audience. If you notice your CPM is higher, you could be bidding on a competitive audience or running ads during high-demand periods. To reduce costs, you might try slightly widening your audience, testing different bidding strategies, or scheduling your ads to run at off-peak times. Keeping your CPM in check helps ensure you’re reaching plenty of potential clients without overspending.
Cost per lead (CPL)
The average cost per vendor lead for on-Facebook lead generation ads is $48.71. Simply put, for less than fifty dollars, you can capture a seller lead directly through Facebook, making it an affordable channel for generating potential leads for listings. This low cost per lead shows that Facebook ads can be a cost-effective way to fill your pipeline, especially when compared to traditional marketing methods.
Who are your audiences?
Demographics data is vital for your advertising, helping you target the right audience. This ensures ads reach those most likely to respond, boosting ad performance and cutting wasted spend. It also guides ad placement on the best platforms for each group—Instagram for younger audiences, Facebook for older. Analysing performance across segments enables strategic tweaks for more effective campaigns, and segmentation aids retargeting, keeping prospects engaged.
So, let’s take a look at who are most likely to engage with your real estate ads.
Age groups
Perhaps unsurprisingly, the click-through rate (CTR) analysis for real estate ads on Facebook shows a clear pattern of increasing engagement with age, peaking at 4.53% for the 55-64 group. Younger age groups, such as 18-24 (3.00%) and 25-34 (3.41%), exhibit lower CTRs, likely reflecting less immediate interest in real estate due to factors like financial limitations, not being ready for home ownership, or prioritising other life milestones over property ownership.
Although the CTR slightly dips for the 65+ demographic (4.39%), older audiences remain highly engaged, suggesting ongoing interest in retirement planning, relocation, or assisting family members with real estate decisions.
Gender
The data indicates that real estate ads on Facebook saw higher engagement from female audiences, with a click-through rate (CTR) of 5.23% compared to 3.25% for males. This suggests that women may be more responsive to property-related content, potentially because the ad creative or messaging resonates better with them. It could also reflect the prominent role women often play in property decisions, making them more inclined to engage with real estate ads.
Ad placement
The highest CTR was achieved in feed placements, at 5.51%, suggesting that traditional feed ads are highly effective for real estate promotions. Users may be more engaged while browsing their feeds, making it a prime spot for attracting clicks.
On the other hand, Instagram reels are the second highest performers, at 4.72% CTR, reflecting the popularity of short-form videos and content discovery on this platform, given the visual nature of real estate ads.
Data sources
This report is based on a sample of 152 Australian Rex Reach client accounts, with a total Facebook ad spend of $285,658 between 1 October 2023 and 30 September 2024. The average values presented are median figures to mitigate the impact of outliers. The cost per lead reflects the median for all ads that had lead generation as their primary objective. All amounts are reported in Australian dollars (AUD).
