Is Zillow Unravelling?

By
Real Estate Agent with Allison James Elite CA. BRE 01501699

Chris B Johnson, REALTOR®, SFR®         More On Moorpark Real Estate

More on Ventura County Real Estate        There Is No Housing Bubble

     

If you have an advertising agreement with Zillow, you may want to review the conditions of the contract as Zillow appears to be in trouble, according to industry analysts.

 

Following two “downgrades” by Barclays there’s more troubling news for Zillow Group as they (Z and ZG) announced plans to sell Market Leader, a customer relationship management system, to the Perseus Division of Constellation Software, an international provider of software and services.

 

This couldn’t have come at a worse time as the CFPB has ruled the monies received from marketing service agreements (MSAs) violate RESPA section 8(a) while the BRE and IRS have quietly ramped up enforcement against both agents and lenders who fee split.

 

Trulia acquired "Market Leader" in August 2013 for $170 million in cash, plus stock considerations in 2013, the total purchase price was reported to be as high as $355 million.

 

Also included in the deal the other lead generation businesses housed within Market Leader, including HouseValues.com.

 

Trulia became a Zillow company when Zillow acquired Trulia in February of this year.

 

Trulia’s relationship with "Market Leader" began with much fanfare.

 

At the time, then-Trulia CEO Pete Flint said, "We are very excited we can now provide the real estate industry with the finest marketing and software tools”. 

 

But in June 2014, Trulia laid off 85 of Market Leader’s employees “primarily in the sales and administrative functions”, including four of Market Leader’s senior executives.The company spent between $4-6 million on the “reorganization.”

 

In the months since the Trulia-Zillow merger was completed, Zillow soldActiveRain, the social networking, blogging, and training platform, to theBen Kinney family of companies.

 

Zillow will continue to partner with "Market Leader" through Zillow Tech Connect, which sends its Premier Agents' leads into any CRM of their choosing.

 

The sale is expected to close early in the fourth quarter.

 

 ReBlogged from-Daniel Dobbs

Capital Mtg. Services

265 S. Randolph #165

Brea, Ca. 92821
Cell: 949 250-3981 Fax 949 716 2059
Dandobbs6@gmail.com

BRE # 00986886 …..NMLS# 307631

Posted by

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Topic:
Lending / Financial
Location:
California Ventura County
Tags:
zillow
your best real estate agent serving moorpark ca
your moorpark certified short sale specialist loan modification denied harp refi denied want to avoid foreclosure moorparks top listing realtor with allison james estates homes elite

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Rainmaker
713,239
Cheryl Johnson
Highland Park, CA

These are all certainly Very Interesting Developments.

Sep 16, 2015 03:46 AM #1
Rainmaker
560,502
Chris B Johnson REALTOR®
Allison James Elite - Moorpark, CA
5 Star Rated REALTOR® Quality, Not Quantity

Yes Cheryl Johnson ,  very interesting. I hope that Realtor.com keeps the advertising pressure on!

Sep 16, 2015 03:58 AM #2
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainmaker
560,502

Chris B Johnson REALTOR®

5 Star Rated REALTOR® Quality, Not Quantity
Is it Too Late to Short Sell My Home??
*
*
*
*
Spam prevention

Additional Information