I don’t know what this means yet for consumers, but realtors have been losing control of our destiny all year – at least News Corp might put up a fight.
From HW:
http://www.housingwire.com/articles/31540-news-corp-will-buy-move-for-950-million
“This acquisition will accelerate News Corp’s digital and global expansion and contribute to the transformation of our company, making online real estate a powerful pillar of our portfolio,” said Robert Thomson, Chief Executive of News Corp.
“We intend to use our media platforms and compelling content to turbo-charge traffic growth and create the most successful real estate website in the US,” Thomson added. “We are building on our existing real estate expertise and expect to leverage the potential of Move and its valuable connections with Realtors and consumers around the country.”
NAR puts their old-fashioned spin on it here:
http://www.inman.com/2014/09/30/news-corp-set-to-acquire-realtor-com-operator-move-inc/
So the people that brought a really cluttered Wall Street Journal website are going to out innovate a well designed high performing website like Zillow. They do have deep pockets though. 3 billion in cash on the balance sheet plus a lot of other assets. They can outspend Zillow. That’s for sure.
They will need to re-vamp or start over with the realtor.com website, but if they can sex it up and scandalize it like the NY Post they’d get some eyeballs.
It’s probably more likely to be a train wreck, especially if agents decide to withhold data from listing uploads.
To be honest I don’t think you can replace agents with a website, you may take out the helpUsell crowd but not main stream sellers who use agents.
It’s a lot of work to sell a home really (well unless frenzy is in effect).
But one day when the super intelligent robots take over watch out LOL.
Check the realtors commenting on the second link – what a group!
I’m not sure. Main stream sellers tend to do a pretty poor job of selecting an agent to sell their house. If you aren’t doing due diligence on selecting an agent how much value are they really bringing. If Zillow offers knowledgeable experienced people that can assist you through the process why not pick them to represent you. Of course you can go with the woman who’s a realtor at you wife’s yoga class or maybe that guy that left you a calendar on your doorstep.
The biggest thing most people tend to overvalue their own house. Everybody’s house is the best one in the neighborhood and deserves a premium price. Most sellers probably do need some assistance/convincing to get to the right price, but Zillow can probably do that.
Buyers may still want some independent representation and might not trust Zillow to do that. Maybe we still have buyer agents but the way they get paid changes. Rather than commission, flat fee services.
Dear NAR Member,
Today marks an extraordinary turning point in the history of realtor.com®.
The website pioneered online real estate and was No. 1 in that space for 15 years. In recent years, even as realtor.com®’s traffic grew, deep-pocketed Internet startups succeeded in eroding the site’s consumer mind share. One year ago, the National Association of REALTORS® altered its operating agreement with San Jose, Calif.-based Move Inc., operator of realtor.com®, to enable the site to compete more effectively. The site has already regained significant momentum since that change.
Move Inc. announced today an agreement to be purchased by News Corp. You’re probably familiar with News Corp as the publisher of The Wall Street Journal, Barron’s, and other business and consumer titles and websites. But you may not be aware that News Corp is a majority owner of the REA Group, which is the operator of the leading Australian residential property website. The company’s purchase of Move will help accelerate realtor.com®’s climb back to No. 1. News Corp’s ability to reach and engage consumers, combined with realtor.com®’s quality content and the real insights REALTORS® provide will transform the current landscape.
In August, we sent all REALTORS® an email reminding you of why we started realtor.com®—to ensure a REALTOR®-friendly, accurate, time-sensitive, site with explicit guarantees not to disintermediate you. We remain committed to that mission, and the stakes have never been higher. That’s why we’re excited about partnering with an entrepreneurial, global company that shares our goal of serving both consumers and our industry.
As the News Corp-Move Inc. deal moves toward completion, we will do everything we can to keep you informed. Already, we have posted an FAQ at realtor.org, and we will continue to add to that FAQ as details emerge.
Regards,
Are you sensationalizing Jim?
You know full well Zillow and the big online sites are great for informational observation but do nothing more than lather up not so price savvy neighborhoods for slaughter with skewed pie in the sky valuations.
I suspect you’ll agree that all real estate is local and you have done extremely well being an extremely well qualified and successful local Realtor.
Zillow and Trulia valuations are sinking and I am of the opinion while these sites are useful, most realtors are herd followers and will be slaughtered when they realize the ridiculous amount they have been paying these sites for very poor leads. This throw away money could have been better targeted for long term investment via some thoughtful originality and better planned marketing strategies…
It’s like wall street traders that bring nothing to the table, make quick and large money in a relatively short amount of time by nothing more than being fooled by randomness. Ultimately ending up in the trash heap of history.
I wish I had the audacity, deep pockets and fortitude (read: Ackman) to short zillow stock back to $30 a share which I believe is a very distinct future possibility.
Then again, deep recessions are forgotten quite quickly, aren’t they?
I trust you will likely still be selling tons of local real estate during that time because you are not only trustworthy but damn good at it.
I love Zillow – it is the best around.
But I told a reporter today that realtors are very fickle, and the minute they aren’t receiving good value for the money, they will stop paying.
I already quit wasting my money on realtor.com, and only have one month left with Trulia. Didn’t make a sale from either of them – tootaloo.
Zillow has it going good though, and I like the quality.
P.S. The only reason I make a living is because I bust my 90 hours a week steadily. Being good is a luxury that helps with my efficiency, but there are many knowledge agents who are broke because they don’t put in the time.
P.S.S. I don’t think anybody pays much attention to the zestimates. I go straight past those to see what the seller paid for it, and when – which the MLS refuses to put on the front page, even for realtor access.
NAR’s problem goes right to the core.
realtor dot org for the “us”
realtor dot com for the “them”
They sell ‘exclusivity’ just like the local country club, and all that matters is collecting dues.
The money funds a lobbying machine that we are told makes a big difference.
“P.S. The only reason I make a living is because I bust my 90 hours a week steadily. Being good is a luxury that helps with my efficiency, but there are many knowledge agents who are broke because they don’t put in the time.”
Except in very rare cases, success depends on grinding it out week after month after year after year. IQ is never enough, and often a handicap.
Totally agree – in most cases, the smarter you are, the more you feel entitled.