Industry Relations EP007 

Greg Fischer Takes Us Back to the Future with NYC Brokers vs. Zillow

We’re feeling a little déjà vu at Industry Relations as controversy brews between Zillow and brokers in NYC. Everything old is new again with the launch of the premier agent feature on leading real estate marketplace StreetEasy. For the last ten years, agents across the country have dealt with syndication – and it seems New York real estate’s time has come.

Today’s guest, Greg Fischer, serves as principal broker at Fred Real Estate Group in Bend, Oregon, and author of the blog Next in Housing. His unique background also includes work in the tech industry with real estate software companies Move, Inc. in San Francisco and Doorsteps in New York City. This makes him uniquely qualified to discuss the bruhaha as NYC brokers decide whether to pay the Zillow tax or boycott it.

**Audio alert.  Robertson's audio track has an echo effect that we couldn't get rid of in post.  But Fischer and Rob audio (which handle the majority of the discussion) sounds great.***
 

What’s Discussed: 

How NYC brokers reacted to the premier agent feature on StreetEasy

How StreetEasy GM Susan Daimler justified the change

• Home shoppers deserve the option to connect with agent who represents only them

The explicit language used by the StreetEasy product to suggest a buyer agent

Why NYC should seek the counsel of brokerages around the country who have dealt with syndication

How Manhattan real estate does business differently

• Listing agents are used to owning all buyer leads

REBNY’s request for an investigation into the legality of advertising an exclusive listing

The potential to create an MLS in NYC

• Change in compensation model
• Dominance of top ten listing brokers
• Legal ramifications of only sharing data feed with REBNY

The differences among IDX, VOW and StreetEasy’s premier agent

The danger of dual agency

Fischer’s take on leads generated via third-party websites

• Inquiries rarely lead to sales

The evolution of Zillow’s playbook on generating revenue

Why brokerages need to get savvy on how ad tech works

The value of agents as local experts

Compass CEO Robert Reffkin’s concession to Zillow

Resources:

Greg Fischer’s Premier Agent Blog Post

The Real Deal’s Premier Agent Article

The Real Deal’s Premier Agent Video

Vendor Alley Job Board

Connect with Greg Fischer:

Blog

Twitter

This is an odd one.  Rob and Greg are back, and this time they are debating an unusual strategy real estate coaches and trainers might employ to establish credibility – using the techniques of the pickup artist community.

In researching the dating habits and family formation of millennials (for work – no, really!), Rob happened upon a company called Real Social Dynamics, the world’s largest dating coaching company. Among their promotional materials are YouTube videos called ‘infields’ in which their coaches demonstrate the company’s techniques for attracting women in real situations at parties and nightclubs.

This got Rob to thinking, “Why don’t we do that in real estate?” On this episode of the podcast, Rob and Greg explore the feasibility of real estate trainers generating similar footage to market their services.

What’s Discussed: 

How infield footage lends credibility to the trainer

The legality and ethics of filming interactions with clients

How Hear It Direct sought to give professionals an understanding of the consumer point of view

Why data (# of transactions) may not be enough to establish a coach’s authority

• Numbers demonstrate personal credibility (sufficient for the consumer)
• Infields would establish credibility for the tactics you are selling

The significance of training as a key value proposition for every association

The aspects of an agent’s work that could benefit from infields

• Listing presentations
• In-person lead generation
• Buyer negotiations
• Sphere of influence calls
• Customer relationship management

Resources: 

Real Social Dynamics YouTube Channel

Connect with Rob and Greg: 

Rob’s Website

Greg’s Website

Rob and Greg are back with yet another spirited debate. This time they explore whether fiduciary duty extends to listing on Zillow. With Zillow’s current dominance, Rob argues that to provide maximum exposure for your seller client, listing on the platform is a must.

Rob and Greg get into the perception of Zillow as a threat as well as the issue of buyer agency. Listen and decide whether the responsibility to act in the client’s best interest means that a realtor is obligated to list on Zillow.

What’s Discussed: 

The current dominance of Zillow

• Quarterly record Revenue of $227.6 million increased 34% year-over-year
• Full year 2016 record Revenue of $846.6 million, up 31% year-over-year

Rob’s argument that fiduciary duty requires listing on Zillow

• Must provide seller client with maximum exposure
• Only exception is when the client has other interests that take precedence (i.e.: privacy concerns)
• Brief your client and have them sign off if you do choose not to use the platform

The potential for lawsuits if agents don’t use Zillow

How the internet has changed the value proposition of the MLS from an advertising standpoint

Why the perception of Zillow as a threat is flawed

• Zillow is a vendor that relies on agents for its existence
• Their continued success depends on the model staying the same

The core complaints against Zillow

• Buyer agency
• Zestimates
• Access to information lessens realtor’s value

Resources:

Inman Report on Zillow

Rob’s Zillow Blog Post

Connect with Rob and Greg:

Rob’s Website

Greg’s Website