The real estate industry is reeling now that Zillow has (finally) rolled out their own national real estate brokerage. The question is, what happens next? Listen to todays show as Tim and Julie Harris drill down on the 'Zillow Threat'.
What will probably happen next:- Zillow could undercut the listing commission structure to get market share and there is basically nothing you can do. They are being aggressive on their ibuyer offers to gain market share for their ibuyer.....they are losing money per flip. Why wouldn't they do that for the sake of gaining market share for RESALE non-ibuyer listings. Zillow claims they wont do this, but they will.- This will mostly effect midsize brokerages.- Big brokerages could choose not to participate in their local MLS (thus IDX) and start their own national portals. (eXp is doing this)- Zillow could easily effect the entitlement of buyer agent commissions as an automatic seller expense. Meaning, buyer agents commissions will be paid by the seller overtly.- Z