Yes it does create heat, but whether your using drag brake, or controlling the brake manually, it would not make a difference in heat. I think at the track I run at (rcplus) it would be very difficult to be quick enough with the transition from throttle to brake and to continue to be fast. I'm not saying it can't be done, but from watching some of the fast guys, all they are using is drag brake, and are never actually using any manual brakes. I could see using brakes on a larger track.