Flashback: American Home Guides (.com)

RE: AmericanHomeGuides.com

"I should point out that the key to his success is not a type-in strategy, but a search engine one. This is one example of where such expertise can really pay off because prospects are looking for very specific things that can be expressed and matched not from one domain (home.com) but in lots of keywords (i.e. 4 bedroom, new, near school, king st, boynton.... ).

Looking back through the vaults I am wondering why "development" is such a "new" topic. On one of the most influential private forums of its day, we were talking development in 2000:

Now for the GOOD. A proposal. Everyday everyone find something positive to report here. An example of a business that is profitable and successful on the web that we can all learn and grow from.

Today I submit: AmericanHomeGuides.com

Its founder is a CPA who for years owned an ad agency that helped builder's market new communities. Having no technical skills, he discovered the web and moved his business online. Drawing upon his CPA insights, and focus on profit, he started small with no money or backing, and has built the business organically.

He financed its technical programming/development by charging 3 months upfront for home listings and used that revenue for working capital. He says that he provides leads to real estate agents and builders some of whom make $80-90K a year in commissions just working with his leads.

The key is that this website is just one big link in and out of the site's of others (like grand central station). He's using the search engine power of the technology to connect buyers with sellers and gets a piece of the action. Then he gets to make a commission on referrals to related services. He even recycles the home presentation templates and leases them back to builders as a turnkey way to plug-in a photo and their customized copy and have an instant showcase on web worldwide.

He pointed out that a competitor bought up all of the top domains (home.com, Realtor.com), got big VC money behind them, spent a fortune to sponsor the real estate association and $400 million on branding and banner ads everywhere, while this HOMEGROWN site out sells them 3 to one!. Now he's added a featured that for $39, an owner who rents (like seasonal condo properties in Florida and summer resorts) can market the property online, get all the paperwork and money exchanged and transferred electronically. Beats the realtor's 10%. And continues to churn PROFITS without upkeep as these customers have new tenants weekly, and the system runs itself.

owen frager, http://www.fragercreative.com
Tue Dec 5 08:21:55 2000 -