HomeSmart plans expansion to Tucson

William Kenworthey, HomeSmart's vice president of business development, said the Phoenix brokerage is doing well during the current recession in part because of its business model, which charges agents a relatively small transaction fee - about $300 per sale - instead of taking a cut of their commissions.

Another reason that HomeSmart is doing well is that it employs a great deal of Web-based technology to cut costs and eliminate the need for additional staff.