Research company Research and Markets has released its "2004 Analysis Online Real Estate Advertising Comes of Age" report.
While newspaper real estate advertising is declining (on a per sold home basis) internet media advertising is increasing. The report reveals that the internet is now the number two medium for reaching homebuyers (just behind yard signs). MLS listing databases were previously little threat to media advertising as they were closed systems.
However NAR's two year
old Internet Data Exchange (IDX)
now lets consumers access MLS databases online that are more comprehensive than newspaper and magazine listings.
The report notes the IDX policy is changing how agents and brokers are reaching consumers. According to the
report nine of the twenty most visited real estate websites are operated by traditional brokerage firms which include
extensive MLS data.
We previously reported on the increase in online local mortgage advertising.
1. I read part of the report and I would think that the internet is the number one place to find property... albeit indirectly. According to the NAR 71% of home buyers used the internet in the homebuying process and to view real estate. The report may indicate that a yard-sign was the last thing they saw before buying the house but the reality is that the buyers probably found the address of the yard-sign on the internet!
My thoughts are that real estate is changing fast and technology is making the information available and often times free... unknown markets like "For Sale by Owners" are now served by sites such as www.craigslist.com, www.forsalebyownercenter.com and www.owners.com to name a few. It's just a matter of time before a free national mls is made available that will replace realtor.com and the issues that surround it.
Posted at 6:29AM on Dec 19th 2005 by Jessie B.