Admin

"Zillowing" our way to anonimity

By
Real Estate Agent with Keller Williams Select REALTORS

I read an interesting article in Realty Times today. The article concernes  a seller who got "Zillowed" and is contemplating legal action.  It seems a seller pulled his home off the market after a potential buyer showed him a zillow report that showed a much lower estimate of value for his home. The sellers' note to Blanche Evans at Realty Times never mentioned that the seller or the buyer had advise from a REALTOR, therefore we are assuming that no REALTOR or agent was involved. Ms. Evans responded that this is "going to get worse before it gets better".

 Thank you, Ms Evans, for defending our industry! REALTORS need to step up and insure that the community at large realizes our net worth; that we DO bring value to the transaction. NAR stats show that REALTORS accuracy in valuation is 99%. Now I realize that a seller can get an appraisal from a licensed appraisor, but we all know that the appraisor is basically looking at "history" to value. As a practicing REALTOR, I am concerned with the same comps that the appraisor is, but I am also vry much concrned with the current market of "actives" and "pendings", in an effort to advise the seller where the market is so that we can get the home sold.

I once sat in on a seminar that was given by an apprasor who had a formula using the assessed tax value that he claimed could price a property very accurately. I used his formula and never really came to "trust" the value and scrapped the program and went back to my traditional way of pricing homes (I think with better accuracy).

My point is that we add value to the transaction, but allow the likes of Zillow, zipRealty, et al to simplify this very complicated transaction and minimize (or attemot to eliminate) our role. I am proud of my profession; our NAR has taken the lead in continuing with the PR campaign in an effort to highten REALTOR awareness, but we, as individual practitioners, need to demonstrate our professionalism through more education and ethical interaction.

Show All Comments Sort:
Jenny Lozano
Florida List for Less Realty,Inc. - Boca Raton, FL
This could get nice an ugly for zillow.. A few more of these and Hello Class Action lawsuit...
Aug 31, 2006 12:46 AM
S. Leanne Paynter ☼ Broward County, FL
United Realty Group, Inc. - Davie, FL
Davie, Plantation, Cooper City & Weston Specialist

In the RealtyTimes article, Blanche Evans writes:

"...Like the credit reporting bureaus can ruin your credit with inaccurate data, new companies posting public housing data have immunity from the responsibility of potentially harming individuals.

Get ready -- it's only going to get worse before it gets better. Companies like zipRealty are gleefully announcing that they will post reviews of your home for all to see. Great for buyers, bad for you..."

There are too many inaccuracies in their "zestimations".  I wouldn't be surprised if a seller takes legal action at some point.  This reminds me of the class action lawsuit for the 'bad boyfriends' website (Google it for more info).

Aug 31, 2006 01:04 AM
William Seufert
Florida List For Less Realty, Inc. - Pembroke Pines, FL

Zip Realty is a publically traded company on the Stock Exchange. Interesting, how their connected with Zillow.com

Aug 31, 2006 01:07 AM
Gary De Pury, ESQ.
Bay Vista Realty - Land O Lakes, FL

I use Zillow all of the time.  I get a print out of Zillow and take it with me to my listing presentation and I show the consumer how amateur hour works.  Then I explain that there is a reason it rhymes with Pillow.  Because it is stuffed with (Bull) Feathers.

 

Ummmm... Hummus

Aug 31, 2006 02:18 AM
Christopher H
REAL ESTATE - Shelby Township, MI
Good post.  Good info.  Value can not be replaced easily.
Aug 31, 2006 02:23 AM
Roberta Murphy
San Diego Previews Real Estate - Carlsbad, CA
Carlsbad Real Estate and Homes

Good blog and I awarded you a point!

I can see the day when buyers might base their offer on a Zillow valuation and overpay for the property. Legal exposure could run two ways--unless the courts rule otherwise.

Aug 31, 2006 06:10 AM
Eileen Landau
BAIRD & WARNER, NAPERVILLE - Naperville, IL
ABR, CRS, e-PRO

I think that in today's marketplace, an agent going out on a listing needs to Zillow the property too.

Why? So that we're not ambushed. So that we can come prepared.

Proactive.

Aug 31, 2006 07:40 AM
Ann Marie Pedevillano
Prudential Florida WCI Realty - Englewood, FL
I have seen zillow come out too high and too low at different times. I sometimes wonder where they get numbers. In an ever changing market, are they aware of what is really happening or are they taking the value of houses that sold 6 months ago??
Aug 31, 2006 08:10 AM
Brian Brady
Matthews Capital Markets - Tampa, FL
858-699-4590

Zillow is a joke.  If you look at my blog called I guess I'm a Predator you'll see how the concept of HUMINT (human intelligence) is far superior than automated valuations.

I know that I sound like a broken record but valuation models will never replace the human nuances that go into a market.  Program Trading didn't replace the bald, fat guys stuck with phones to both ears on Wall Street.  

Realtors are the ground troops in the marketplace.  Real estate is a local business.  I gotchur Zillow....right here. 

Aug 31, 2006 05:03 PM
Brian Brady
Matthews Capital Markets - Tampa, FL
858-699-4590

Zillow is a joke.  If you look at my blog called I guess I'm a Predator you'll see how the concept of HUMINT (human intelligence) is far superior than automated valuations.

I know that I sound like a broken record but valuation models will never replace the human nuances that go into a market.  Program Trading didn't replace the bald, fat guys stuck with phones to both ears on Wall Street.  

Realtors are the ground troops in the marketplace.  Real estate is a local business.  I gotchur Zillow....right here. 

Aug 31, 2006 05:03 PM
Lola Audu
Lola Audu~Audu Real Estate~Grand Rapids, MI Real Estate - Grand Rapids, MI
Audu Real Estate~Grand Rapids, MI ~Welcome Home!

I came upon your Blog while I was doing some research for the term "zillowing". I recently did a Blog post about my personal experience with Zillow on Active Rain at http://activerain.com/blogsview/31851/Zillowing-the-Zillow-A.  It was quite an education!  Now, I was a Realtor, pity the unrepresented and/or naive consumer (buyer of seller).

 

 

Jan 07, 2007 05:50 AM