Recently, one of our newer employees at Dominion Enterprises was asking questions about how consumers make the decision to buy a home. When told that research consistently shows "the neighborhood" and "agent reputation" as key factors, he made an interesting observation: If the neighborhood is so important, why do people search properties first, only later checking out the surrounding areas?

It's an interesting question. Most homebuyers seem to go online, search by city or zip code and browse property listings until they find something they like. Shouldn't buyers identify the ideal neighborhoods for their needs and lifestyles first, and then search for homes within those areas? This approach may help people avoid buying the right home in the wrong place, or learning that the home they fall in love with is in an unsuitable neighborhood.

It also means that if buyers want to search "backwards" and learn about neighborhood characteristics before looking at specific homes, real estate pros should be prepared. Local school information, recreational facilities, household characteristics, home prices, crime rates, and commuting times are all key considerations for homebuyers seeking neighborhoods that match their lifestyles. For this reason, it's important that agents and brokers have a deep understanding of the neighborhoods in which they work.

Today, many homebuyers research extensively on the Internet before they ever speak with a real estate professional. In some cases, that is helpful, and in other cases, information overload merely causes confusion and uncertainty. As networking pioneer Bob Metcalf once remarked, dealing with information overload on the Web is like trying to drink from a fire hose with a soda straw.

It seems that the best way for real estate pros to meet the two most important criteria for homebuyers - agent reputation and neighborhood knowledge - is to maintain extensive neighborhood knowledge. Those agents who combine transaction, individual property and neighborhood knowledge are well-positioned to help buyers find the right home in the right place.

Backwards or forwards, neighborhood knowledge is a competitive advantage for real estate pros that can make all the difference in helping homebuyers meet their most important goals.