Survey shows brokers doing well, but cautious.

Brokers today are doing well financially are growing their agencies and are vigorously embracing technology - but, according to survey conducted by Real Estate Broker's Insider, they remember the real estate recessions of the late 1980's and early 1990's, and are being prudently cautious about over-expansion.

Additional insights from the survey of broker/owners include:

* Brokers are jumping on the Internet bandwagon, ready to give it a try. Brokers are learning about the Internet, getting on the Internet and doing some business on the Internet, if the survey is any indication.

Almost all respondents (95 percent) have a Web site on the Internet or have Joined a group site. Interestingly, the respondents' assessment of the usefulness of the Net ranged from enthusiastic from California: "Many inquiries, six specific sales") to the disappointed ("It's working very slightly so far, after six months") from New Jersey.

One broker penned an interesting viewpoint on his questionnaire: "The largest missed opportunity for brokers and realtors alike is due to a fear and a lack of understanding of the Internet. The more you understand about the Net," noted this Texan, "the more money you will make."

* Brokers are concerned about shrinking profits. Some 68 percent of respondents said their biggest worries today were "retaining more of the company dollar," "shrinking profits," "rising business costs" and "declining revenue."

* Brokers continue to be concerned about recruiting good agents and retaining them. More than 8 third of survey respondents (36.8 percent) said this was one of their biggest worries. Some coupled this with the problems of rising commissions and retaining more of the company dollar.

* RESPA is the biggest regulatory concern. Though regulatory concerns of broker/managers ranged from "sign control" (in Washington state) to consumer fraud (a New Jersey respondent) to "Fair Housing Councils suing brokers about their ads" (Pennsylvania) - the largest number of respondents (16 percent) complained about the Real Estate Settlement Procedures Act (RESPA), now under investigation by the Department of Housing and Urban Development. A Pennsylvania respondent penciled in a plea that regulators should permit "one-stop shopping" in the real estate industry.

Where are the new opportunities in real estate? Again a surprise: "Commercial sales" got the biggest vote (16 percent). "There's a commercial resurgence," commented a New Jersey respondent. "Commercial real estate has less competition and less control by NAR," penned another respondent.

The second most cited opportunity was "making technology work for you." Niche markets also got a few votes from respondents as a source of new opportunities, notably the market niche catering to minority and immigrant buyers.

Most agencies have grown over recent years. Some 21 percent of respondents said that their agencies have indeed expanded in the past few years. Other changes in their businesses noted by respondents were: increased use of technology, lower net revenue, and increased specialization. A broker from Nebraska scribbled on his questionnaire what may be a clarion call in the future for successful brokers: "We've embraced one-stop shopping." More brokers may follow his example if RESPA reform clears the way for more bundling of services within the brokerage.

Brokers see the use of technology in their agencies burgeoning in the future. Brokers looked into their crystal balls and saw guess what? More technology.

Nearly a third (31.5 percent) of the respondents foresee what will apparently be a totally automated business. Or, as one Minnesota broker put it: "In the future, the real estate business will be run not from the seat of the pants, hut from a laptop."

For more information on survey results request a free copy of the February 1st issue of Real Estate Broker's Insider by contacting Jody Canning at 215 Park Avenue South - Suite 1301, New York, NY 10003, or fax your request to [phone].

Real Estate Broker's Insider is a twice-monthly newsletter written for agency broker/owners which provides information about how to run a profitable real estate agency.