Zillow Bought ShowingTime.. Yep.. That Happened.
Like so many other high techs, highly funded companies used this last year to reengineer the way they do business, focusing more on direct to consumer. Zillow has always been consider focus, but this year they doubled down, with their latest purchase of ShowingTime. (Remember, they also own Dotloop.) Zillow is creating the one stop shop experience for their consumers.. find a home, schedule a showing, get assigned an agent, get a loan, get under contract, and to the closing table… from search to home to loan to title.. they want to be the single resource. Meanwhile Zillow Premier Agent revenue is up 35% to $314M and their Mortgages segment was up a whopping 190% to $60.9M.. so between you and me.. we funded the $500M ticket for ShowingTime.
Here are my observations…
- Zillow Homes is open for business and just getting started. Their brokerage is now hiring in Phoenix, Tucson, and Atlanta.
- With ShowingTimes addition; Zillow has created additional value for the Realtors who pay them to be a “Premier Agent” with buyer leads ready to view homes.
- Clients will now be able to schedule their own showings, increasing unqualified borrowers taking up precious showing slots.
- Expect Zillow Mortgage and Zillow Title to start playing a bigger role with incentives similar to how builders currently operate.
- Expect Zillow agents to compete direct to consumer by offering Zillow only listings. NAR allows agents to share pocket listings prior to listing on the MLS via “in house advertisement”. Zillow will capitalize on this loophole
- Zillow is now officially making money! Their net income for forth quarter 2020 was $46M verses one year ago.. they lost $101M in the fourth quarter 2019.
This does not scare me. I have always said that I can’t do what Zillow does.. I don’t have the resources, money, or technology, but they can’t do what I do. They can’t provide the value I provide. Building a brand has never been more important. We will continue to see technology speed up access and the direct to consumer experience. And that’s okay. Do you know what makes you special? Do you know what you stand for and who you serve? Do you know why a client should chose to use you over the Zillow experience? If you don’t.. your clients don’t either. Don’t be afraid to be all in. You won’t be for everyone and you don’t want to be. What you want is to be undeniably perfect for the clients you serve
For over 20 years, Nicole Rueth has passionately advised clients on their wealth building and home financing strategies. Nicole’s past experience of managing 100 person teams and facilitating million-dollar solutions allows her the expertise to negotiate, analyze, and provide creative solutions for her clients where other lenders fall short. Recognized by Mortgage Executive Magazine as one of the top 200 Mortgage Advisors in the country, Nicole is the #1 Originator in Colorado, a Five Star Professional by Denver’s 5280 Magazine, and Fairway Mortgage’s #1 advisor nationally. Her team’s expert knowledge of the industry and high level of professionalism will work hard for you and your family.