More than half of all consumers now use the Internet when buying a home, according to a survey by the California Association of Realtors. The "2004 Internet Versus Traditional Buyer Study" also revealed that, compared to traditional buyers, Internet buyers spent more than twice as much time gathering information prior to contacting a Realtor. However, they moved much more quickly once they began to work with a Realtor, spending significantly less time previewing far fewer homes compared to traditional buyers.

"The Internet has complemented rather than diminished a Realtor's role in the home-buying transaction," said California Association of Realtors President Ann Pettijohn. "While Internet buyers considered online information to be valuable, they ultimately turned to Realtors both for their interpretation of that information and for their expertise and judgment throughout the home-buying process. The expertise and professional advice provided by Realtors creates value over and above the market and property information itself, even when the buyers obtain that information on their own.

"Internet buyers were more inclined to view their relationship with their Realtor as a partnership," she said. "They looked for speed and efficiency, and they valued timely communications. Traditional buyers, on the other hand, looked for more personal interaction and relied on their Realtors to lead them through the process."

For the first time since the survey has been conducting the "Internet Versus Traditional Buyer Study," more than half of the respondents were classified as Internet buyers. The share of buyers using the Internet reached 56 percent in 2004 and has risen steadily from 28 percent in 2000, the first year of the survey. By comparison, traditional buyers have made up a declining share of all buyers, down from 72 percent in 2000 to 44 percent in 2004.

The average number of homes previewed by Internet home buyers has decreased steadily in the past four years, while that of traditional buyers has changed very little over the same period. The upfront research conducted by Internet buyers has given them a better sense of market conditions compared to traditional buyers, enabling them to act more quickly to find, bid on and close escrow on the home of their choice.

Highlights of the "2004 Internet Versus Traditional Buyer Study" include:

* Internet buyers spent an average of 5.9 weeks considering the purchase of a home before contacting a Realtor, compared to 2.1 weeks for traditional buyers.

* Internet buyers spent an average of 4.8 weeks investigating homes and neighborhoods prior to contacting a Realtor, compared to 1.6 weeks for traditional buyers.

* Having done significantly more research than their traditional buyer counterparts, Internet buyers spent less time looking for a home once they began working with a Realtor, spending just 1.9 weeks on average, compared to 7.1 weeks for a traditional buyer.

* Typical Internet buyers also visited fewer homes with their Realtor than the typical traditional buyers. Internet buyers visited an average of 6.1 homes with their Realtor, whereas a typical traditional buyer visited 15.4 homes with their Realtor.

* Internet buyers tended to be younger than traditional buyers, with a mean age of 38.5 years, compared to 43.5 years for traditional buyers.

* Internet buyers had higher incomes and were better educated than traditional buyers. The median income of an Internet buyer in 2004 was $168,540, while that of a traditional buyer was $142,470. Moreover, while most home buyers in both groups had at least a four-year college degree, 14 percent of Internet buyers had completed post-graduate work compared to 5 percent of traditional buyers.

* Internet buyers were three times more likely to be first-time buyers than traditional buyers, with 23 percent of Internet respondents reporting that they were first-time buyers compared to 7 percent of traditional buyers.

* Internet buyers often conducted their home searches from afar, with a median distance of 100 miles between the homes they purchased and their previous residences, compared to 12 miles for the traditional buyer. More than four out of five traditional buyers purchased homes within 25 miles of their prior residence.

Real estate companies are responding to the boom in Internet activity by increasing technology and providing training for their agents. According to a recent survey, the vast majority of real estate firms, 88 percent, use email to communicate with clients, while 52 percent have a website and another 8 percent plan to have one in the future. In 2000, a separate survey showed only 56 percent of residential real estate firms used email.

In addition to increased use of the Internet, the knowledge and expertise provided by a Realtor supplements the online homework buyers are conducting before initiating the home-buying process. Whether the Internet plays a role in the process or not, using a Realtor ensures the entire real estate transaction will go smoothly.