Tech Team: In the Trenches
Table of Contents
Keeping up with the Joneses
By Kerry Smith
Real estate pros that don’t keep current with their Internet technology may find themselves on the sidelines one day.
In the past five years, the number of homebuyers relying on the Internet for information has doubled, with about 70 percent doing research online, according to a recent survey conducted by the California Association of Realtors® (CAR). At the same time, a tech survey conducted by the National Association of Realtors® (NAR) found a direct relationship between the amount of money a Realtor spends on an Internet web site and the number of leads generated. The numbers tell the whole story: NAR found that the number of Realtors with web sites increased 129 percent over the past five years, with many sites displaying property listings. Seventy-one percent of Realtors now have a stand-alone business web sites not affiliated with their broker. So far in 2006, 16 percent of agents and 28 percent of brokers spend more than $1,000 annually on their web sites. Just a few years ago, most associates generated only a handful of leads through their web site, but that’s changing. Today, some Realtors use their web site as a primary tool for generating leads. Realtors who spend more than $5,000 per year on their Internet web site get 60 percent of their leads through the Internet, says NAR. What does the typical Internet-savvy buyer look like? CAR found that he or she was generally younger (39 years compared with a median of 42 years for traditional buyers); married (90 percent were married compared to 80 percent of traditional buyers); 73 percent had a college degree and 11 percent completed post-graduate work. Internet buyers could also afford more home. Traditional buyers had an annual income of $148,910; Internet buyers made $184,900. If you’re planning to boost your online presence, however, consider the following tips:- Respond quickly to inquiries. Internet users want, and expect, instant gratification. More importantly, most associates—your competition for listings and clients—now understand that. NAR’s survey found that over 50 percent of Realtors now get back to an e-mail inquiry in under two hours, a trend reversal from 2004 when only 27 percent of associates got back to an inquiry in less than eight hours.
- Consider a transaction management program such as TransactionDesk™. Internet users expect technology to help make their homebuying or selling process easier, and they don’t want the next step in the process to become a pen-and-pencil exercise. NAR found that 26 percent of associates used an automated transaction management system in 2006 compared to only 13 percent in 2005. At that rate of growth it’s more than a trend. In just a few years, it’s reasonable to assume that electronic transaction management will be the industry standard. A good transaction management system should allow you to create, monitor and edit the tasks, events and contracts pertaining to each of their transactions.
- Keep it secure, keep it private. “Less than a third of (NAR survey) respondents have received information security education from their MLS or brokerage,” says Mark Lesswing, NAR vice president. “Only one-third are aware of written security policies that they must follow and less than half have a written privacy policy.” NAR takes security very seriously and certifies web sites with the REALTOR® Secure certification. REALTOR® Secure recognizes organizations using the best security practices in the real estate industry. The REALTOR® Secure program certification demonstrates that an organization meets best practices to address the confidentiality, integrity and availability of real estate and consumer information. The program was developed by NAR’s Center for REALTOR® Technology and is based on security standards from the International Standards Organization and the National Institutes of Standards and Technology. Any association, brokerage or MLS is a candidate for the REALTOR® Secure program
- Give away the information. Consider your web site a client’s first visit. Internet surfers feel empowered in a way traditional buyers do not, so anticipate their questions and give the appropriate answers. Doing so won’t cut down on the number of leads you generate—it will increase them. Include a four-paragraph description of interest-only mortgages and most homebuyers will still have questions, so insert a “Contact me for additional information” link at the bottom. Avoid teasing a visitor with button that implies they’ll receive more info by clicking it, only to send them to a page saying, “Contact me and I’ll be in touch with a response.” If web surfers don’t find what they’re looking for on your site, they’ll go elsewhere.
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