When you walk into HomeSmart Real Estate’s office on South Alma School Road in Mesa, Arizona, just outside of Phoenix, the receptionist greets you cheerfully, as she would at any other brokerage. But there’s a logistical oddity: She’s actually several miles away at the company’s headquarters, and she talks to you via a wall-mounted plasma screen. Still, she can see, via camera, if the salesperson you’re visiting is there and announce your arrival. Once you’re inside, the technology at this fast growth brokerage really gets exciting. In the glass-encased conference room, the associate shows you a ‘mini movie’ of homes for sale – virtual tours that include aerial shots of neighborhoods transmitted via satellite technology. The movie’s projected onto a plasma screen, and the associate can choose to display the MLS or neighborhood information, an online contract, or a Web site. “Technology sets us apart,” says Matthew Widdows, broker-owner, who launched his company in 2000 and grew it from one office to four by 2004. He has two more Phoenix offices and one in Southern California slated to open this year. He’s also fixed his sights on Las Vegas for the near future. Tech wizardry has enabled him to expand rapidly without adding office space, he says. He’s been able to nearly triple his roster of associates from 250 in 2003 to 600 in 2004 and grow his transaction sides from 700 to 2,200 in the same period – all with about a dozen support staff.

The cost to outfit each office with virtual technology was about $25,000. “You’re going to spend [significantly] upfront for something like the virtual receptionist. But the savings from not having to hire people for each office, train and manage them, and provide benefits offset that,” he says. Souped-up conference rooms and virtual greeters aren’t the end of the company’s commitment to technology. Most associates operate remotely, from either home or car. To reduce their need to come into the office, the company posts documents online, and contracts are automatically converted to electronic TIF graphics files when they’re faxed to the office. When someone calls an associate’s work number, the associate is alerted by e-mail that there’s a message. Key cards enable associates to access all the offices so that they can work wherever it’s most convenient. And the offices are designed with open workstations and equipment that’s identical across branches, simplifying use. HomeSmart operates as a 100 percent commission company. Associates pay $25 a month plus a $250 per-transaction fee as well as a $50 pertransaction fee for errors & omissions insurance. Alternatively, they can opt to pay $75 a month and a $250 fee only on the first transaction each month. Those who want more services, such as marketing assistance or a dedicated desk, pay additional fees. The company also operates an in-house mortgage operation. The advantage of technology over hiring a lot of support staff: “Tech is a highly controllable variable,” says Widdows. “We’re counting on that to make us efficient and let us grow quickly.” RM