A different kind of MLS.

According to Ralph Barocas, one of the founders of Rent-Direct.com, he realized the potential of bringing Internet to real estate early on. In the 1980s, while working as a rentals agent, Barocas got involved in trying to create the first Multiple Listing Service for the New York region. The enterprise eventually failed, but the agent got an inkling of the change that was going to come along with technology.

"Back then, an MLS was really an idea that was ahead of its time. The business was going well, and the brokers were reluctant to share information that was the source of their income. But now, a few years later, we actually have an MLS that the biggest firms in the City are involved in."

However, what Barocas calls his "future-oriented vision" was realized five years ago when he got together with Laurence Rosenberg, a seasoned New York broker, to form Rent-Direct.com, a website that specializes in listing apartment openings in the City and surrounding areas. Both Barocas and Rosenberg are very careful to point out that they were not simply Internet entrepreneurs trying to make a quick buck, but experienced real estate professionals who knew what both the landlords and the prospective tenants were looking for.

"This business is really the combination of 20 years of accumulating experience and contacts in the industry," Rosenberg pointed out. "We are a licensed brokerage company, although we run our business as a rental information service. This is important because we know what we are doing."

"Going to a listing service that doesn't have a license is the same as going to a doctor who hasn't earned a degree in medicine," Barocas explained. "Do you really want someone who tells you that he is going to take care of you, but doesn't have the credentials to support his claim?"

Rosenberg and Barocas are certain that their serious approach to real estate is part of the reason the landlords feel comfortable using Rent-Direct.com. The website is charge-free for apartment-seekers since the founders' goal was to make the leasing process more suited to the owners' needs than the traditional brokerage has been.

"The need for this kind of service was always there," Rosenberg explained. "Having worked in traditional brokerage, we knew that it was a difficult process. First of all, the people looking for space in the City would have to go to several companies, since most of the firms had only local listings. In addition, the brokers were often inefficient and commission-oriented. So the landlords became contemptuous of the agents -- they wanted to meet the tenants directly, without a third party getting in between and coaching them on what to say."

Rosenberg and Barocas worked out a model that they thought would make apartment leasing easier and faster. Rent-Direct.com offers not only a traditional description of an apartment and a price -- the website provides the exact address of the property, a map of the neighborhood in relation to the building, and a panoramic view of the street on which the property is located. In addition, there's a list of available amenities such as laundry and security service and a brief description of owner requirements such as "No Pets Allowed" that comes with each building that is listed on Rent-Direct.com.

"One of the things that helps us stand apart is our commitment to visual information," Barocas claimed. For him, the presentation of visual images is a second nature -- he was originally studying to be a film director, but had to re-channel his ambition into real estate because of its greater financial returns. Directly prior to founding Rent-Direct.com he operated his own graphic design firm, creating pictures and floor plans for sales brokers. "Every picture you see on our website is done from stretch. We have our own staff photographer to make sure that the information is accurate and up-to-date."

In fact, the primary idea behind Rent-Direct has always been the visuals, as opposed to the Internet. When Barocas and Rosenberg first got together, e-mail hadn't taken off yet, so the entrepreneurs used the fax machine as a way of distributing information. "When Ralph first approached me about the listing service, it was very easy for me to see that any way that you can get graphic information to potential buyers would benefit the sale," Rosenberg recalled. "At the time, however, there weren't many good ways to do that. The email hasn't emerged yet, but everyone was using fax machines. I saw the opportunity in that and we began to build the company based on faxing technology, and then the Internet hit."

"We felt like the people during the gold rush," Barocas added. "We were the first ones to do the visuals, and no one is doing the panoramics even now."

At the same time, if we are to believe its principals, Rent-Direct.com has a far greater significance for New York City landlords than simply being a convenient way to market their product. "For the tenants, not having to pay a 15% broker's commission, means that they will have more money to spend on rent," Rosenberg explained. "Considering that almost all of new developments in Manhattan are luxury housing, that extra money goes a long way."

"It's very important to understand that we are helping to push the market up," Barocas added. "With our site people have more money to spend on rent. Plus, even from a landlord's point of view, there's no such thing as a no-fee broker."