Episode 5 Show Notes:
Episode 5: Zillow Atlanta
In today’s episode we concentrate and dive deep into Zillow in Atlanta. Does it work in today’s market? How reliable is it? How can you use Zillow Atlanta to save time & search for homes?
Atlanta Quick Fact
If you’re coming to the area for the first time be prepared for this…
At Hartsfield-Jackson International Airport, on a daily basis there are 260k passengers, 2,500 flights, and 57 security lanes. The terminal building covers 45 football fields. Hartsfield-Jackson International Airport is the world’s largest airport.
Brief history of real estate and the internet
Early on real estate giants and other major brokerages failed to understand how the internet could help transform real estate. Brokers kept listings in a big book that were published every few weeks and it was important that agents be strategic when they listed otherwise your home wasn’t published for several weeks. Brokers controlled all the information.
How Zillow makes money?
Zillow makes money from paid advertisements from real estate agents. These advertisements show up when a consumer searches for real estate. If you are a buyer and see a home in your area that you want information about and want to speak to the listing agent, unfortunately you won’t be able to find that agent attached to that listing on Zillow. What you will find on the right side of the page after you enter your search are preferred agents who are paying Zillow to show up a certain number of times per month when a consumer searches in a specific area.
Zillow also requires advertising from strategic partnerships with moving companies, banks, and lenders. You will see these ads on their site regional and national.
Our team did our own undercover investigation where we pulled up one of our own listings. Keller Williams has a special agreement with Zillow whereby only the listing agent will show up in the search of a KW property, making it easier to find the listing agent if that’s the person you’re looking for.
Real estate agents typically do not run their business like a business. When the market slows down how do you advertise? You don’t! The first thing they shut down is marketing!
Zestimates – This is how Zillow puts a value on your Atlanta house.
These are very popular on Zillow – but how accurate are they? Here are the zestimates on a $200,000 home in Metro Atlanta.
- 51.7 % (+/- 10k)
- 73.8 % (+/- 20k)
- 87.7 % (+/- 40k)
- 4.8% margin for error
For the official margin of error in Zestimates, please click this link: http://www.zillow.com/zestimate/
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Where does Zillow get data? Local county records, recent home sales, multiple listing services, FMLS and GA MLS, independent sellers, & agents. Zillow information is only as good as the data that gets put in.
The biggest complaint about Zillow from agents and consumers is reliability.
Wrap it up
Consumers love Zillow because all the information is in one place. Realtors aren’t a fan because they know they can give consumers the direct information they want to know, specific wants and needs, etc and the accuracy just isn’t there.
UPDATE on June 2, 2017: Read about two homeowners who have brought lawsuits against Zillow for the accuracy of Zestimates.
Neighborhood Update- East Cobb
- East Cobb is known for its excellent school system
- Cobb taxes are lower than Fulton County
- Close to Historic Roswell, Alpharetta, Buckhead, Dunwoody, Sandy Springs
- Convenient to 75, 285
- SunTrust Park – Home of the Atlanta Braves
- Great shopping, restaurants, and things to do
- To search homes for sale in East Cobb, go to www.CobbCountyRealEstate.com
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