Rich Barton asking: “Why do some people take an instant dislike to me?”
My answer: “To save time”.
I’ll give Rich Barton and Zillow full credit for listening to the PR firm they must have hired. Just last February this is what Rich was saying:
Zillow’s Barton was quoted as saying that inevitably real estate services and fees will change as online services take hold. “I’m not implying that we have some new commission model figured out, but it feels like . . . Realtor services are going to be unbundled a bit,” he told Inman Real Estate News.
Nice, huh? Right out of the gate and the most important thing he has to say to the press is how HE is going to help drive down real estate commissions. Here is more from our new best friend, Rich Barton:
“People want Realtors,” he said. “But is it rational to pay Realtors what they are paid?” He says he thinks they are overpaid because customers are doing more of the work themselves.
Zillow, for instance, has a number of other features that do the work of the agent. Someone wanting to compare properties can use pull-down menus to estimate the value of remodeling projects that are not reflected in the price. Because of the Internet, agents are spending less time with clients, Mr. Barton said. “Agents have to ask, What kind of value am I adding?”
Mr. Barton does not exclude the possibility that the role of the agent, and his site, may change.
Good News Everyone! Rich added: “it is not our intent to dislocate the agent.” 
He wants us all to earn less but he is willing to let us keep our jobs. This is good news – especially in light of the way he is now (just 10 months later) being heralded as being on the verge of changing real estate for the better. It wouldn’t seem quite so wild except it is Realtors doing the horn blowing for him. What must have occurred in that boardroom in Seattle?
“Listen Rich, if we are ever going to take over the industry you are going to have to stop talking in public like you have. Even the totally dumb, complete moron Realtors will resent you. None of them have any real memory of anything, so you can get away with what you have said – just stop it now!”
“Maybe we are better off if we only hire really nice, affable people to meet with the Realtors and the press. Real bright, sincere, likable types?”
“Excellent idea. Lets do it. You know what else? Lets get the people we are trying to destroy to help us take their income away – get them to put our valuation tool on their sites.”
“Even better, since there are still less than a dozen on line sites where Realtors can place a free listing with photos – lets give them that and then act like its unbelievably unique. Get them to help sell us to the public!”
“They will never fall for something that outrageous – no one is THAT stupid!”
BloodhoundBlog’s team coverage of the Zillow.com upgrades:
- Greg Swann: 2006 is the Year of Zillow: The 900 pound AVM has been upgraded to be a free listing platform and the presumptive national MLS system…
- Greg Swann: Early morning Zillow news round-up…
- Greg Swann: Zillow redux: A post-diluvian retrospective…
- Kris Berg: Louis Vuitton and the French Revolution
- Greg Swann: You were saying…?
- Cathleen Collins: In the trenches with Zillow.com: A working Realtor’s first-hand experience listing a home…
- Greg Swann: Zillow.com versus Realtor.com: Nothing grows in the shade of great tree…
- Russell Shaw: Thank You, Mr. Barton, May I Have Another?
David G from Zillow.com says:
Hi Bernard –
We won’t be replacing agents at Zillow. As you know, advertising of for sale listings and automated valuations are not new real estate products — and they certainly are not competitive with the value added by a good agent. They can actually be additive to it.
I think your local market will dictate whether online advertising in general, and posting your listings on Zillow in particular, makes sense for your sellers. Remember that posting your listings on Zillow is opt-in and opt-out — agents can post or pull their listings at any time. Please judge us by what we’ve done and reconsider trying our latest features.
December 11, 2006 — 3:01 am
David G from Zillow.com says:
Sorry Russell – I meant to address that comment to “Russell”. No more midnight-blogging.
December 11, 2006 — 3:03 am
Spencer Barron says:
Don’t you feel deep down that Rich Barton may be right? Brokers get paid very well for their time. Though it’s not true of all areas, web services have made it easier on us. If your MLS is online, I doubt you can disagree. Not to mention we are the one of the few industries where we’ve have experienced growth of commissions to match the appreciation of real estate.
Barton is wrong though if he thinks that a computer will ever get it right when it comes to pricing. Their gimic is an excellent ball parking tool. (not in all areas though) Truth is, no one wants to leave their pricing to a model based on trailing indicators such as comps. No one is ever going to look at the Zestimate and say “That looks right.” Pricing is still too much of an art.
It’s hard to beleive that agents would welcome them with open arms after his comments. Maybe Realtor’s should hire their PR people to roll back some of that ill feeling we’re all getting.
December 11, 2006 — 9:14 am
HomeBuyer says:
Wait until a few people do something stupid based on information they find on Zillow, like buy a house for a ridiculous MakeMeMove price or sell their home for nothing based on the wrong Zestimate. Or wait until they buy a house that was completely misrepresented on Zillow and start suing the seller.
The idea is not new, the implementation is. But if this was such a great idea, the others who tried it would have succeeded by now.
December 11, 2006 — 9:39 am
New World says:
Russel,
Personally I think Zillow opens up the field to the agents that are willing to work more and separate themselves from the old crusty guard! Why would I want to ignore ~3-4MM visitors? Actually, within my territory why shouldn’t I just post missing homes for sale with my contact info on Zillow? This way I get direct buyer leads thanks to the lazy sell side agent…
December 11, 2006 — 11:13 am
GreedyRealtor says:
>>>Actually, within my territory why shouldn’t I just post missing homes for sale with my contact info on Zillow?
December 11, 2006 — 12:07 pm
GreedyRealtor says:
***Actually, within my territory why shouldn’t I just post missing homes for sale with my contact info on Zillow?***
You can’t do that because it’s against board rules to advertise other agent’s listings.
Just because they get millions of visitors doesn’t mean putting a home up there will do anything except generate some leads. What if we have 5 of these zillow type sites all claiming visitors, and then we have to spend 30 minutes on each one putting up a listing just because it’s available. It’s a waste of time. The MLS is what’ll sell it most of the time.
December 11, 2006 — 12:08 pm
New World says:
GreedyRealtor,
I think you are talking about Realtor rules, which are only useful if you are a member willing to pay all these fees… Can you point me to some state Real Estate Agency rule that prohibits this? Brokerage owns the MLS listing – this is NOT MLS! Zillow, just like Craigslist is not MLS listing so I can do what I want..
December 11, 2006 — 12:37 pm
Cathleen Collins says:
“New World” (why oh why do people hide behind false names?) asks
When we were talking about the new functionality on Zillow with David Gibbons last Monday, before the release discussed in this thread, I asked David about whether Zillow.com would protect home owners from agents listing homes without the owners’ authorization. He explained that Zillow.com would police the site much as Craig’s List does. They are obviously not in position to verify up front whether or not a lister has the owner’s permission to list the house, but when someone from the community sees a bogus listing, they can flag the site. Obviously, the home owner will be given the final word, and ownership is something that can be verified. After I asked the question, though, I hoped that I was being overly cautious… even licensees who aren’t Realtors have to answer to their state’s licensing authority. And I assume that Arizona isn’t the only state that has laws and commissioner’s rules that demand good character of its licensees.
December 11, 2006 — 3:56 pm
Doug Quance says:
Rich Barton asking: “Why do some people take an instant dislike to me?”
My answer: “To save time”.
I will be looking forward to your stint at the Improv, Russell…
December 11, 2006 — 8:38 pm
Brian Brady says:
Don’t you find it ironic that Zillow holds Realtors in such disdain, yet turns to them to bolster the credibility of their business model? (Z offers free listings to Realtors, now).
I can’t wait for Barton’s next quote: “Realtors, while claarly overvalued, are the ultimate source for the value of a property. That’s why we partnered with them”.
Realtosr who boldter he Zilow model are like domestic abuse survivors who habitually return to their spouse.
December 16, 2006 — 3:02 pm