Technology: A Primer for REALTORS
By Dr. John Tuccillo, CAE

January 2005

Since it is an information business, real estate has been continually changes by technology. If you consider the tools you use in your business compared to the tools you used even five years ago, you begin to understand the differences technological change has wrought in the real estate industry. It doesn't stop there. Today, consumers are more empowered in the market place by the technology they command, and have used this empowerment to do parts of the real estate transaction by themselves. All this is a challenge to Realtors, one that they often view with some degree of fear and trembling. The reality is that using technology to increase the success of your business is no mystery, nor is it beyond your capabilities. It only takes a clear head and a systematic approach to the challenge. This article is meant to provide that approach.

So, here are the rules; master them and you will successfully become comfortable with the current technology:

Things in this life change slowly if they ever change at all. With appropriate kudos to the Eagles, this line tells
us lot about technology. Don't believe what you read in press releases. Taking an idea to the market requires a great deal
of time, effort and money. Don't jump at every new product in the market. Rather, watch and see. As the great basketball
coach, Join Wooden, put it, Be quick, but don't hurry.

Technology is a tool. Like any tool, it is only useful if you know what you want to do. Felling a tree can be done
with a hammer, but is better done with saw or ax. Before you consider any technology, put together a business plan. If you
don’t know where you’re going, you cannot begin to consider what tools you need to get you there.

Know what it does, not what it is. I have no idea how electricity works, but I do know that when I need light, there
is usually a toggle switch handy that will allow me to turn on the lights. This is how you should deal with technology.
Don't try to understand the technology. Just find out what the tools does for you and you can then match tool with needs.

Avoid the extremes. The ends of the technology spectrum are populated by faddists and phobes. The phobe is a very
logical person who understands that a technological tool becomes obsolete the minute you touch pen to credit card slip. So
he avoids buying anything, reasoning that he will wait until they perfect the ultimate tool. Don't be a phobe. Everything
you do can be enhanced by some technology tool now on the market. On the opposite side is the guy who has to have the most
up-to-date, cutting edge tool, whether he understands it or not. Why shouldn'tt you be a faddist? Refer to bullet 2 above.

Following these rules will get you comfortable with technology. Once you get there, you need to put together a technology
plan to really maximize the benefits you derive from the technological revolution that bedevils this business. The first
step in this process is to marry your business plan with available technology. This means cresting a business plan and then
surveying the market for available tools. When you match goals with tools, you're in business.

The next step involves getting your tools to work together. My own personal vision for the real estate industry is to have
a transaction in which (from first contact to closing) information on the buyer, seller and property must be entered only
once. Search the market for the systems that will enable you to achieve this connectedness. They're out there and there's
one right for you.

Finally, set up a timeline for replacing your tools. Since quality improvements happen so rapidly, this could be a very
short time line. For a laptop, it could be as little as eighteen months. For a cell phone, it could be perhaps a year. For
a desk top, it could be longer. The point is that you need to know when and how you will replace the technology you now use
so that you will always be working with the best tools to achieve you ends.

Ultimately, you need to demystify your technology. The business machines you use are the descendants of pen, pencil and
paper. If you can think of them in this way, it will allow you to improve the efficiency with which you do business.
Good luck!

Dr. Tuccillo was the former chief economist for the National Association of REALTORS from 1987-97. He is the co-author of the book "Click and Close: E-Nabling the Treal Estate Transaction". To purchase a copy of his book contact NSBAR at 847-480-7177.