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Layoffs at Zillow
Inman news and several other sources are reporting that Zillow.com has laid off 25% of it's work force or about 40 people.
Rich Barton, Zillow CEO said in their company blog: "This week we are reducing our workforce by 25%. This was an incredibly painful decision for me and the leadership team, but, in the end, we concluded that we had no choice but to securely batten down the hatches as we sail into a major economic storm."
Zillow has been widely critized in the real estate industry for publishing online estimates of house values called "Zestimates" that were wildly inaccurate.
The Wall Street Journal did a study last year on the accuracy of Zillow's Zestimates using recently sold homes; here's what they found:
"Zillow came within 5% of the price in a third of the transactions studied by The Journal. It was more than 25% off target on 11% of them. In 34 of the 1,000 transactions, Zillow was off by more than 50%."
Personally I don't think any oneline valuation service anywhere is ever going to replace someone that actually goes into the subject house and knows property values in the area.
 
 
 
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