Internet sites may be reaping better results than industry figures would indicate.

According to the National Association of Realtors recent homebuying and homeselling survey, "The Home Buying and Selling Process: 1997," homebuyers used a variety of sources in their search for a home, with 82 percent using real estate agents; 51 percent, newspaper ads; 39 percent, open houses; 38 percent, yard signs; 34 percent, home books or magazines; 24 percent, friends, neighbors or relatives; and 18 percent, on-line services and the Internet.

When asked where they first learned about the house they bought, 50 percent said real estate agents; 17 percent, yard signs; 9 percent, friends, neighbors or relatives; 8 percent, newspaper ads; 4 percent, open houses; 4 percent, the seller; 3 percent, home books or magazines; 3 percent, builders; and only 2 percent, on-line services or the Internet.

This is a 100% increase in Internet activity from 1995, the last date the bi-annual survey was held.

Mike Clancy, vice president of Security Pacific Real Estate Services says one transaction recently peaked his interest to find out exactly how much commerce his company does because of the Web.

One of Clancy’s agents Bill Finch received a phone call on Friday July 24th while sitting "on the floor" from Don Cudney, a direct marketing executive transferring to the Bay Area from Florida. Cudney told Finch he had searched the Bay Area's real estate sites, and decided Security Pacific's Web site (located at www.securitypacific.com) had the most thorough and complete listing information.

Finch told Cudney he would research current listings and mail him the information. "No, you don't understand," said Cudney. "I'm in my car heading towards your office on Highway 24. I would like to pick out a house with you today." The two set out together, and a week later, on the 31st, Cudney and his wife, a Division manager with Merrill Lynch, had an accepted offer. The escrow closed on the couple's new Danville home for $659,000 on Friday, August 14th, exactly three weeks later.

Clancy turned to his Intranet system S.P.A.N. (Security Pacific Active Network) to research exactly what percentage of sales leads were being generated by his Web site. He found a surprisingly high 23% of all incoming sales leads were being generated through the Internet. This percentage includes calls generated by webAgent, a free daily listing update service available on the site. Subscribers are informed of fresh listings as they come onto the market.

Other studies suggest Clancy is on the right track. A new study of Web users that links demographics of Internet users with qualified homebuyers reveals parallels between the home buyer and the typical net surfer. The report titled "The eOverview Report: The Net Has Become an Upscale Microcosm of America" was released in July 1998 by eMarketers. Included in the report's statistics: the average age of Web users is 38; the median age for U.S. homebuyers: male 39, female 38. The median household income of Web users is $58,000; the median income of all homebuyers is $64,000. Fifty-eight percent of Web users are college graduates; 62 percent of homebuyers are college graduates.

The Web is growing exponentially and it is possible that the NAR report, which covers home buying and selling activities from the second half of 1997, is simply outdated. For that reason, NAR researchers are considering updating the bi-annual survey to a yearly status.

Have you been noticing a better return this year from your efforts on the Web? How many transactions have you closed because of the Web? Share your results to .

Published: August 26, 1998

Use of this article without permission is a violation of federal copyright laws.