Zillow’s Policy Change: A Challenge for Real Estate Professionals
In recent developments, Zillow Executive Errol Samuelson announced a significant amendment to the platform’s listing policy. Effective immediately, homes that are not submitted to the Multiple Listing Service (MLS) within 24 hours of their initial public marketing will be excluded from Zillow’s listings for the duration of that listing. This decision raises concerns among real estate agents and homeowners alike regarding the power dynamics at play in property marketing.
Understanding the Policy Shift
The new policy asserts Zillow’s control over listing practices, positioning the company as a decision-maker in marketing execution, even beyond the influence of brokers and agents. While the National Association of Realtors (NAR) allows for delayed IDX syndication, Zillow’s latest move can be perceived as a direct challenge to the autonomy of real estate professionals.
Concerns Over Consumer Protection
This shift is not merely a procedural change; it reflects a broader trend that could impact both agents and consumers. Critics argue that this policy prioritizes Zillow’s profit motives over genuine consumer protection. By withholding listings, Zillow may be diverting potential buyers away from the listing agents, ultimately affecting the selling process and consumer experience.
The Reaction from the Real Estate Community
Reactions from home sellers and real estate professionals have been overwhelmingly negative. According to focus groups conducted recently, many sellers are under the impression that inquiries made through Zillow would reach their listing agent. Upon discovering that leads may be passed to other agents, frustration and disbelief were common responses.
- Sellers believed they were contacting their agents directly.
- Reactions included shock and outrage at the potential diversion of leads.
Homes.com: A Different Approach
In response to these developments, Homes.com is championing an agent-friendly policy that emphasizes “Your Listing, Your Lead.” This approach ensures that the listing agent’s name, photo, and brokerage information remain visible, directly connecting potential buyers to the agent responsible for the listing. Homes.com distances itself from lead diversion practices, claiming that they do not take commission splits or funnel leads to competing agents.
Market Dynamics and Consumer Behavior
With Homes.com reported to attract over 110 million unique monthly visitors, the platform emphasizes the effectiveness of its model in promoting listings without diverting leads to competing agents. As real estate professionals consider their options, the implications of Zillow’s recent policy may catalyze a reconsideration of how listings are marketed online. If agents choose not to publish their listings on Zillow, this could influence buyer behavior, potentially leading them to alternative platforms.
Conclusion: Protecting Listing Agents’ Rights
As the real estate landscape evolves, maintaining respect and control over listings is paramount for agents. The move by Zillow to enforce tighter regulations highlights the need for a marketing platform that genuinely supports real estate professionals. Agents should convey to homeowners the ramifications of listing on Zillow and explore partnerships with platforms like Homes.com that align with their interests.
Ultimately, it is essential that real estate agents advocate for their rights and ensure that their hard work on listings is recognized and compensated fairly.
Sincerely,
Andy Florance, CEO of Homes.com
