Why Agents Don’t Trust Zillow and Neither Should You! -Part 2

Helpful Tips

Zillow Service Fees Passed On To Customers

Many real estate industries and agents use Zillow to show properties that are on sale. One of the major reasons why its so popular is because its online and mobile tools are for free. But it’s not free if the homebuyer or home seller is paying for it through a transaction

Real estate professionals are charged a 5-6% selling fee to advertise on Zillow and produce very few leads.  Real estate agents can only charge a commission rate which is paid to the brokerage at the close of escrow. But an agent competing against other agents for your business can only be so aggressive with the commission rates if they have to shoulder so much more advertising costs. While the internet gives an agent access to the world, that access comes at a steep cost that can rival the old fashioned printed ads.

 Not too long ago, Zillow launched an online property managing tool that enhances a landlord-renter relationship. In order to obtain this Zillow Renter Manager service, you must fill an online application that charges a $29 dollar fee. This rental application will allow a seller to get a tenant background check and a comprehensive credit report. This tool can also allow renters to apply to multiple properties at the same time.

 There is value in Zillow’s services, but it is recommend to take some of more pertinent information with a grain of salt.

 Up Next: Zillow Intends to Replace Real Estate Agents

Sources: 1, 2, 3, 4, 5, 6, 7, 8

 

 

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