Zillow.com makes a splash

Zillow.com released its new web functionality and it has the whole real estate blogosphere electrified. There have been a bevy of posts with people weighing in on both sides of the argument. I don’t really focus too much on the real estate hubbub that goes on out there because a lot of it is rose-colored opinion from Pollyanna’s who don’t want to face reality; but the Zillow.com story has piqued my interest.

For those of you not familiar with Zillow.com and the metamorphosis that is its latest release, read an excellent post on the change here. The basic premise is that Zillow now lets everyone comment on homes for sale in their area. This is in contrast to the current structure where you can only learn about homes for sale ostensibly from the listing agent, or your buyer’s agent when looking for a home. I like this because it democratizes the conversation.

I have personally thought that the NAR has for too long monopolized the real estate market by hoarding MLS to itself to control who can and can’t list properties amongst its members. I like Zillow because it throws a big curve at that concept.

In a post on Rain City Guide a well-respected Realtor and real estate blogger, Ardell DellaLoggia blasts the platform and concept behind it.

Personally, I donâ??t think the news itself is all that big, even though much has already been written on it. I think the Bigger News lies in what people may do with this power to rag on everyoneâ??s house. …

But that Frink guy thinking heâ??s going to let the neighbors and bubble people loose as â??reportersâ?? to help the general public get their hands on the info trapped in the heads of local experts. That is just too funny for words.

This to me just smacks of pure egotism. If I were a member of the general public and Ms. DellaLoggia was saying that I wouldn’t bring anything meaningful to a discussion about homes in my neighborhood I definitely wouldn’t be listing or buying a home from her, ever. I like to think that I can contribute very well to the conversation about my neighborhood, the schools, the homes, the activity, etc. And I can share it from a very personal point of view. This attitude of the old guard and what they bring to the table that is so superior to the "reporters" who oh-by-the way live right next door to the property is offensive to me as a homeowner. I would think very hard about choosing someone who so clearly has a complex about their relative station compared to us "general public."

Secondly, I don’t regard all of my Realtors as "local experts," and I don’t think that mistake is made by too many other people either. I regard local experts as those that are long-time residents of the community who have knowledge about the dynamics of the neighborhood, schools, public services by actually utilizing the services, not pulling their ratings off of the appropriate web site. (Please note that I do believe some Realtors are local experts – just not the majority of them.)

Zillow.com is a natural extension of the micro-journalism wave taking over in the form of real estate blogs and networking sites. It makes perfect sense to bring homeowners in to the conversation about their neighborhoods instead of being spoon-fed over-hyped crap about the area from a salesperson. Will there be some extreme viewpoints about house values, to be sure; however, I would argue right now that the Realtor rose-colored view of "its a great time to buy" is far too extreme now as well. I wrote about this in my post on the NAR ad campaign.

Zillow.com makes a great push, whether it sticks or works remains to be seen. I think the opportunity is there for savvy professionals to jump on it. Those that deride it as useless noise in the important conversations about our homes only alienate themselves from the conversation – and ultimately the business.