TECHNOLOGY is transforming how Americans buy and sell homes in unexpected ways, including how they work with real estate agents and brokers.

A study by the National Association of Realtors (NAR) showed that nine out of 10 home buyers use a real estate agent in the search process, but use of the Internet to search for a home has risen dramatically, increasing from only 2% of buyers in 1995 to 77% in 2005. It was 74% in 2004.

The next largest source, 71%, of information for buyers was a yard sign.

When asked where they first learned about the home purchased, 24% of buyers identified the Internet, up from 15% in 2004.

The 2005 National Association of Realtors Profile of Home Buyers and Sellers, based on more than 7,800 responses to a questionnaire mailed to a large national sample of consumers located through county deed records, was the latest in a series of surveys evaluating demographics, marketing and other characteristics of home buyers and sellers.

NAR president Thomas M. Stevens from Vienna, Virginia, said the findings underscored the complexity of the home-buying process.

''Buyers who use the Internet in searching for a home are more likely to use a real estate agent, and consumers rely on professionals to provide context, negotiate the transaction and help with the paperwork,'' said Stevens, senior vice-president of NRT Inc.

''The real estate industry today bears little resemblance to the way we did business 10 years ago. It is hard to find another industry that has adopted technology so readily to its customers,'' Stevens said.

''Realtors have invested a lot of time and money in building information technology, and because of these efforts, more consumers are using the Internet in their home search,'' he said.

The survey also shows that 81% of buyers who use the Internet to search for a home purchase through a real estate agent, while 63% of non-Internet users buy through an agent.

Non-Internet users are more likely to purchase directly from a builder or an owner they knew in advance of the transaction.

Realtor.com was the most popular Internet resource, used by 54% of buyers. This was followed by multiple listing service (MLS) websites (50%), real estate company sites (38%), real estate agent websites (31%), and local newspaper sites (15%); other categories were smaller.

Source : The Star 13/2/2006