The Internet’s power as a research tool is now firmly a part of the house-hunting experience. In March, nearly 3.4 million Americans used the Net to hunt for homes, double the number of three years earlier. More than simply browsing for fun, about 8 million Americans say that e-searches have helped them find a dwelling in the last two years. A recent study by the National Association of Realtors found that 41 percent of all home buyers used the Internet for research.

In response to these findings, home developers have begun to spread their marketing dollars around so that traditional advertising is complemented by an Internet presence. Nearly every newspaper, magazine or billboard housing advertisement now also includes a Web address.

Research conducted by Pew Internet & American Life shows that in 2002, 36 percent of the nation’s 111 million Internet users had done their house hunting online. A focus group for Newland Communities, which has five projects in San Diego County, found 80 percent of the people shopping for new homes used the Internet before going out to visit models. “People want to maximize their shopping time,” says Gina Nixon, Newland’s regional marketing director.

Newland, with projects in 11 states, carefully researched what its sites should emphasize. “People want locations and to see floor plans,” Nixon says. “Square footage means nothing when they are trying to see if their family will fit inside a place.” Fewer prospective buyers want flash intensive sites and virtual tours of model homes, Nixon says. Site introductions that play movies and music are not necessary and take time to load. Of key importance is a frequently asked questions section.


Ready to redesign its Web site and make it a successful marketing tool for its home development projects, Newland Communities will use feedback from focus groups to give online consumers what they want.

The Corky McMillin Cos. experienced so much success from its Web site, it has added the capability to track consumer traffic and added staff so it can update information daily.

Newland’s research also found very few shoppers interested in the amenities and recreation portions of home builders’ sites. “They were disgruntled with sites using amenities that were not yet built, like a school or golf course, to pitch a development,” Nixon says. “They want pictures of what is actually there. The point of having a site is to get buyers into their car to come see what you really have.”

Home developers are spending money to not only enhance their sites, but to direct consumers and make their names easy to find. “(Pardee) is reallocating advertising money out of print and into Internet,” says Joyce Mason, vice president of marketing for Pardee Homes. “When people are surfing, our name will come up.”

Pardee established its site in 1996, and a team of four monitors server action and updates information. The site is designed to be simple and easy. Floor plans and photos load quickly. “We had focus groups look at the sites and found time was the most important element,” Mason says. “If they had to wait (for something to load), they would leave the site.

“The Internet is the way people are getting information,” Mason continues. “More of today’s shoppers are using the Internet to condense the number of models they visit. It’s important to provide information where people are needing it. A newspaper ad is only effective if people pick up the paper when the ad is there. The Internet is available to them all the time.”

Corky McMillin Cos. has been marketing its housing projects online for about four years. As the effort’s value became apparent, so did its shortfalls, and about a year ago a major upgrade was completed. “It didn’t track where people were coming from or going to,” says Steve Moore, manager of software and Internet development for McMillin. “There was no budget for it a year ago. It was just being maintained.” Now the company has two people devoted to Web site development. A month-long overhaul had to meet Moore’s two requirements: Easy to use and chock full of information that would bring potential buyers out for a personal look at models.

The information includes lots of photos, floor plans, options and specs. “I’m hearing more and more people are coming through the Internet,” Moore says. “The paper can take time and people don’t take the paper to work every day. This is the best resource (buyers) can get without jumping around to hundreds of homes.”

The McMillin site also allows shoppers to take 360-degree virtual tours through models, something that is catching on but is not standard. Nixon says the focus group found virtual tours and flash intensive sites to be difficult because not all Internet users have high-speed connections at home. Loading these programs is a hassle and frustration for those with slow connections. “(Newland has) that available,” Nixon says, “and none of our builders have used it.” She says interest may increase as more people get broadband at home.

Standard Pacific Homes is just beginning to look at its site as a customer tool. Although it has a corporate site, the San Diego office has no control over content and cannot update its own projects. JUDDesign, a San Diego-based branding and marketing group, wants to change this.

“Studies show that year over year, more people are looking to the Web,” says Chris Hagan, client agent for JUDDesign. “What we are proposing is that we develop a site for each (Standard Pacific) community.”

In addition to using the site as a sales tool, Hagan is suggesting the developer make it interactive so the homeowner can submit a service request, and the developer can produce an e-newsletter to reach its community.

Some developers are looking at the possibility of allowing buyers to watch their home being built online, but the cost and difficulties have to first be overcome. “It would require wiring the whole neighborhood,” Moore says.

Newland’s research found that most Internet searches are conducted on Monday afternoons — presumably when people are at work with faster connections and are waiting out the commuter traffic. As more people get broadband in their homes, builders may add more interactive capabilities at their developments. Until then, Nixon says, a site with the answers to any and all questions is the best way to satisfy the online home-perusing crowd.

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