There is a portion of the consumer market that is going to use the
internet extensively as part of their real estate transaction(s). If you
are to believe NAR's stats, that means 70% or more use the internet in the
process of buying or selling a home.  Use of an internet real estate
company, like HouseValues, is likely to be PART of your overall strategy.
I have found HouseValues to be one of the best, albeit expensive.  

HouseValues' stats will tell you that, on the average, a seller makes an
internet contact with a realtor 9 months before they sell.  A buyer makes
an internet contact a realtor, on the average, 17 months before they buy.
This means that, in addition to being expensive, it is a long-term
proposition.

Definitely NOT for the faint-at-heart.  The trick is to turn the internet
contact in to a face-to-face relationship.  Once you learn to do that,
things will click.  You must be committed--once you are, it WILL work for
you! 
 

Rowland Fellows