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Old 01-18-2018, 11:21 AM
 
Location: Needham, MA
6,284 posts, read 8,848,706 times
Reputation: 5282

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Quote:
Originally Posted by pittsflyer View Post
Did you really think Zillow was going to shell out $500 a house for an “appraisal”? There buisness model was intended to break up the little cartels local areas had going on, and they are doing it to some extent.
Against my better judgement, I popped back into this thread after bowing out a couple of pages ago (I have absolutely no idea what's been said since then and have no desire to know). I spotted this gem of a statement though and laughed so hard at it that I feel compelled to respond.

Please hop in your car and take a ride to Zillow headquarters. Somehow gain access to the building and while you're there, sit in on a few meetings. Listen to a few conference calls. Maybe eat lunch with the good folks of Zillow (https://www.housingwire.com/articles...ssment-lawsuit). I can guarantee you that while you are there no one at Zillow will be talking about "break[ing] up the little cartels local areas had going on." I can assure you they are not looking to disrupt anything at all in the traditional RE industry.

You clearly have no idea what Zillow is. It's merely a marketing portal for traditional agents to advertise on. They provide listings and housing data (most of which is garbage) in order to bring in the leads. Then, they take the leads and sell them to RE agents which is the company's main source of income. They do own a few other companies like DotLoop which guess what . . . provide services to agents and get all their income from agents.

Zillow has no desire to break up the traditional RE structure because they get all their income from it.
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Old 01-18-2018, 11:50 AM
 
Location: Cary, NC
31,077 posts, read 54,374,528 times
Reputation: 29572
Quote:
Originally Posted by riaelise View Post
All of the real estate sites give estimates these days, not just Zillow. I just shrug them off. None of them had any impact on our real estate transactions. Our buyers paid more than the estimates. It's all about the appraisal...
I know many sites that don't provide valuations.
Yes, Zillow just made it a common item on ad sites.

Good for you. You shrug them off.
Many people do not.
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Old 01-18-2018, 01:38 PM
 
5,871 posts, read 2,353,664 times
Reputation: 3721
Quote:
Originally Posted by MikePRU View Post
Against my better judgement, I popped back into this thread after bowing out a couple of pages ago (I have absolutely no idea what's been said since then and have no desire to know). I spotted this gem of a statement though and laughed so hard at it that I feel compelled to respond.

Please hop in your car and take a ride to Zillow headquarters. Somehow gain access to the building and while you're there, sit in on a few meetings. Listen to a few conference calls. Maybe eat lunch with the good folks of Zillow (https://www.housingwire.com/articles...ssment-lawsuit). I can guarantee you that while you are there no one at Zillow will be talking about "break[ing] up the little cartels local areas had going on." I can assure you they are not looking to disrupt anything at all in the traditional RE industry.

You clearly have no idea what Zillow is. It's merely a marketing portal for traditional agents to advertise on. They provide listings and housing data (most of which is garbage) in order to bring in the leads. Then, they take the leads and sell them to RE agents which is the company's main source of income. They do own a few other companies like DotLoop which guess what . . . provide services to agents and get all their income from agents.

Zillow has no desire to break up the traditional RE structure because they get all their income from it.
I am talking about this whole circle of relationships between realtors, appraisers (when was the last time you heard of an appraisal coming in WAY under the deal, I mean like 40%), title companies, etc.


Its all a big game and everyone is getting paid, when someone like Zillow upsets the apple cart (whether intentional or not) it creates a big stink as you are showing.


Zillow is not going to pay an appraiser $500 for a sheet of paper with their opinion on it, that is what it boils down to.
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Old 01-18-2018, 01:47 PM
 
Location: Round Rock, Texas
9,838 posts, read 9,044,973 times
Reputation: 12653
Quote:
Originally Posted by MikeJaquish View Post
I know many sites that don't provide valuations.
Yes, Zillow just made it a common item on ad sites.

Good for you. You shrug them off.
Many people do not.
I guess I'm old school. When we bought our home, we trusted our realtor and took his advice as to what to offer. It ends up that the actual appraisal was right about what he thought/what we offered/what the sellers accepted. Not once did we look at a Zillow estimate as the basis of our offers. thankfully neither did our buyers. I saw valuations on redfin and realtor.com. amazingly they weren't too far off what we'd likely fetch for our home based on the sold prices (which redfin provides).

while i do shrug it off, i can see where you are coming from. i don't particularly like it but I don't think anything is truly private anymore if Redfin can advertise how much we actually paid for our house and show our listing pictures (so that they can be potentially randomly mocked ala McMansion Hell) !
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Old 01-18-2018, 01:49 PM
 
5,871 posts, read 2,353,664 times
Reputation: 3721
Quote:
Originally Posted by riaelise View Post
I guess I'm old school. When we bought our home, we trusted our realtor and took his advice as to what to offer. It ends up that the actual appraisal was right about what he thought/what we offered/what the sellers accepted. Not once did we look at a Zillow estimate as the basis of our offers. thankfully neither did our buyers. I saw valuations on redfin and realtor.com. amazingly they weren't too far off what we'd likely fetch for our home based on the sold prices (which redfin provides).

while i do shrug it off, i can see where you are coming from. i don't particularly like it but I don't think anything is truly private anymore if Redfin can advertise how much we actually paid for our house and show our listing pictures (so that they can be potentially randomly mocked ala McMansion Hell) !
Of course it was lol. If banks have to deal with a glut of forclosures in the future and don't get bailed out you better believe their internal appraisers will start bringing down the hammer and not qualifying people. When that day comes, sellers will either have to meet the real market demand (ie people who actually have money vs people taking out 0 or low down loans in order to artificially participate in the bid war).
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Old 02-08-2018, 02:19 PM
 
Location: Raleigh NC
7,393 posts, read 5,824,913 times
Reputation: 6561
I thought at least MikeJ would be interested ...

it's very interesting PROFESSIONALLY as follows:

I have 4 homes to mention under contract at the moment, where I represent the Buyer:

1. Zestimate about 3% low, house still active, the Zestimate doesn't appear below the asking price.
2. Zest about 3% low, house shows under contract, Zestimate right under price.
3. Zest about right, house under contract, zestimate right there
4. Zillow shows "Off Market" with no record of being for sale, Zest about right.
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