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Buyer's Agents, Have Consumers Really Chosen Their House Online?

By
Services for Real Estate Pros with RealSatisfied

I'm fascinated by the conversation around REALTORS® and real estate on Twitter.

Going To Meet My REALTOR®I track lots of different key words and find the conversations that take place enlightening. The other day I saw this comment from PJ.

"Going to meet with my realtor. I don't know why as I've already picked out my house. GO AHEAD, TAKE MY MONEYS"

The timing of the comment was particularly interesting, since I had just had a conversation with Mariana Wagner about how her Internet clients "think" they know what house they want, based on their Internet searches, but more often than not end up buying something completely different.

In PJ's case, she put an offer on a house that same day, so she was probably right. But every REALTOR® I speak to tells me that the process is indeed made easier by the consumers search, in most cases, but that their local knowledge contributes greatly to what their clients end up buying. The stereotypical consumer thought, "why do I need to pay so much money if I've already done all the work?" is often incorrect.

So it leaves me wondering...

What percentage of Internet shoppers really find their home online? What percentage of Internet shppers end up buying something that you, as their buyer's agent, have shown them instead?

Comments(109)

Patricia Kennedy
RLAH@properties - Washington, DC
Home in the Capital
Most of my guys start off thinking they want something they say online, then they buy something totally different that I pull off a tree.  I love to do that!
Mar 25, 2008 06:22 AM
Susan Trombley
Trombley Real Estate - Wake Forest, NC
Broker/Realtor, Raleigh, Cary, Wake Forest, Youngs

They are few and far between on really purchasing that home that they shopped for on the internet. More times than not, I end up finding the home for them than them finding it on the internet.

 

Mar 25, 2008 07:07 AM
Leigh Brown
Leigh Brown & Associates, RE/MAX Executive - Charlotte, NC
CEO, Dream Maker - Charlotte, NC
Considering that as listing agents we are paid to take the most flattering photos possible....I've worked with many a client who came from the internet, who was highly disappointed that their ideal house was just a dressed-up pig.  and we all know that you can put lipstick on a pig, but it's still a pig.
Mar 25, 2008 08:38 AM
Christy Powers
Keller Williams Coastal Area Partners - Pooler, GA
Pooler, Savannah Real Estate Agent
Speaking of just myself, I thought I found our house online. But when we viewed it here, it DEFINITELY wasn't the house for us. Pictures can be a great tool, but there's nothing like going to see the area and the home.
Mar 25, 2008 03:12 PM
Midori Miller
Talk 2 Midori, LLC - Daytona Beach, FL
Online Marketing For Real Estate Professionals

Sometimes what you see online is nothing to what you see in the house.  I have known many agents who use photo shop.  While they may start their search..it does in fact help to narrow down the search.

I have had a buyer purchase through me sight unseen...does it happen often...no...do I see it happening more...yes...but the reality is our job is much bigger than P.J. portrays.....finding a house is simple but finding the right house to call home and actually closing on it...now that is an accomplishment.

If only our jobs were that simple..

Mar 26, 2008 04:25 AM
Anonymous
Agent Stealth

Great post.

I think the important part for Realtors here is that you have obtained a new client through the internet.

Whether or not they buy the place they saw online, or one you introduced them is irrelevant.

IT MATTERS THAT YOU HAVE A PRESENCE ONLINE AND THAT YOU ARE CAPTURING THE NEARLY 90% OF BUYERS THAT USE THE INTERNET IN THEIR PROPERTY SEARCHES.

www.AgentStealth.com

 

Mar 26, 2008 07:02 AM
#96
Anonymous
Rick Goates
I think they start on the internet and do the research and then end up purchasing something else about 90-95% of the time. WE offer knowledge and experience that can't be found on the internet alone!! Thanks goodness or we would be unemployed and outdated!!
Mar 26, 2008 12:13 PM
#97
Ron Bodden
Re/Max 440 - Quakertown, PA
Although some Internet shoppers may feel they have found their new home themselves, it's really no different than the days before computerized listings when you would allow the buyers to look through the MLS book. The only difference is the medium and the perception that they may have done it without us. In reality, we have always provided the listings in the first place.
Mar 27, 2008 01:02 AM
Cameron Keegan
RE/MAX Moves - Greenville, SC
Cameron Keegan

The interesting thing about the internet is the fact that it takes all confrontation away, that the buyer used to have to deal with when contacting a Realtor.  Now, they can just hop on the internet and see pictures and information without having to talk to anyone.  The buyer still has to rely on the fact that the listing agent took pictures of everything, and didn't leave out a picture of something that was less desirable.  I have had buyers say, "I found the perfect house online last night", and then we get to the house and, "oh, I didn't know that was there."

You can only see so much on the internet, or at least as much as the listing agent decides to show you.

Mar 27, 2008 03:01 AM
Ted Mackel
Keller Williams Realty Simi Valley - Simi Valley, CA
Simi Valley Real Estate Agent
Did anyone ever consider that these internet buyers could not do their research without the help of a Realtor?  Think of it this way.  The Realtors create a trade association.  The Realtors create MLSs.  The Realtors go get the listings to put in the MLS.  These buyers would not have much to look at with out Realtors!
Mar 27, 2008 08:21 AM
Carolyn Gjerde-Tu-Davis
Lyon Real Estate - Davis, CA
Ca Real Estate
The "raw data" or houses has been available for consumers for a number of years.  I think that a good amount of research done a head of time especially with out of town buyers does help people make a decision more quickly. 
Mar 27, 2008 11:06 AM
Tucson Real Estate Experts Anne McKechnie
Coldwell Banker Residential Brokerage - Tucson, AZ
Previews Property Specialist

I had a client a few years ago that wanted to put an offer on a home based on what they had seen on the internet.

I went to see the home and asked them if they would like pictures of the home and its surrounding area. 

They decided to wait until they came to town after seeing the pictures. They did not buy the home but bought one very different to the home that they liekd online. Some pictures can really flatter a home that looks nothing like its physical presence :)

Mar 28, 2008 12:50 AM
Lisa Marie Thomas
Prudential - Salt Lake City, UT
i believe tha the final decision rests on actually seeing the home and getting a feel for it, including the neighborhood  thet is something they cant put on the internet. 
Mar 29, 2008 03:42 PM
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

Jeff:  I've had a couple that bought one of my listings that they found online--however, they did take a look at several others before going back to that one!  In general, the VAST majority do see something online only to find that they don't like the neighborhood or the location's proximity to the city.  Regardless of the fact that those Buyers found the listings online and puchased the first one that they saw, our jobs are not complete when they FIND it--that is the EASY part!  The Sellers are paying the Buyers Agents here in NC and the Buyers are getting the advantage of our experience, knowledge and guidance for FREE!  I don't feel as though they should complain--it's not often that you get so much for FREE!!

 

Mar 31, 2008 01:34 AM
Elizabeth Cooper-Golden
Huntsville Alabama Real Estate, (@ Homes Realty Group) - Huntsville, AL
Huntsville AL MLS
Jeff, I have been fortunate a few times to sell the home my buyers found on the internet. Many more times, however, they didn't buy the one they "wanted" online. Great post! elizabeth
Mar 31, 2008 02:13 AM
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

Intriguing post, Jeff, and a great response with lots to ponder. The buyers I have worked with all seem to appreciate the value of the information in helping them to research areas, consider different homes (while ruling out some) and finding those they wish to tour. So often what you see is NOT what you get. I have had folks comment on how much more prepared they are, and how much time they saved in their actual physical search by going on-line first. Obviously the information on-line comes, in large part, from agents themselves. If our only value was in helping folks to identify a home, as it was in the past when agents controlled the MLS books, then I can see Pj's point, But there is so much more.

Jeff 

Mar 31, 2008 02:35 AM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Geez.  I sound like a broken record.

"IT DON'T TAKE NO RHODES SCHOLAR TO FIND A (*^%$^* HOUSE TO BUY."

It's what happens next that separates the experienced buyer's agents from the rest of the industry.

 

Apr 07, 2008 05:12 AM
Jeff Turner
RealSatisfied - Santa Clarita, CA
Lenn... just keep beating the drum. :) Broken record or not, somehow the message needs to get through.
Apr 07, 2008 06:26 AM
Dawn Tittsworth
ReMax Patriots 717-676-0189 - Stewartstown, PA
Realtor - Buyers York County

York County Pennsylvania Real Estate here !

 

Great blog! I am happy when consumers are proactive I think they like to know that they have a part in the process. Generally speaking NO they do not buy the home they had picked via an internet search. It empowers them to know they can help.

 

Dawn :)

Dec 16, 2009 11:38 PM
Anonymous
interstate

most prospects would probably only use the internet as a research medium when they want to buy properties. buying / choosing / making up their mind online ... probably far and few. perhaps if they have already seen other similar units in an apartment block and know of the layout and configuration, buyers might attempt to offer online

Jan 10, 2010 04:07 PM
#111