Once Again, Real Estate Professionals Go To War Against The Web

from the gotta-protect-those-margins dept

Last month, popular real estate site Zillow was enjoined from operating in Arizona because the site didn't have an appraiser's license. The action was a pretty bald-faced move by the state's real estate appraisers to keep a potentially disruptive service from messing with their business. It looks like another similarly disruptive real estate service, Redfin (which allows people to buy and sell houses at a fraction of a broker's typical fees), is under attack in Washington. Real estate brokers are upset about a Redfin-sponsored blog that allows non-brokers to post reviews of properties that appear in the area's Multiple Listing Service, a database that brokers use to get information on properties. Access to the database is limited to registered participants, which Redfin is. But one of the rules is that brokers are given the sole right to manage their marketing campaigns, and the brokers aren't happy that Redfin lets outsiders post housing reviews. The situation is a little different than the Zillow case in that it's the MLS that's threatening to revoke Redfin's access to the service rather than an official state agency. However, because the real estate industry operates as a state-blessed oligopoly, the MLS' threat basically carries the full force of the government. Because Redfin can't afford to lose its access to the database, the site has removed the offending blog. Chalk it up as another victory for professional organizations and their constant efforts to keep disruptive tech services at bay.

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  1. identicon
    Kam, 31 Jul 2007 @ 11:52am

    What a bunch of babies! The consumer's, that is.

    I've used a real estate agent twice now and was grateful I had someone up to bat for ME! Yes, thats right. That's really what a listing agent does...a good one, of course. I find it laughable that the people complaining are the ones who didn't have the common sense to hire a knowledgable agent and then got mad because they hired someone who was probably more like a used car salesman. Most people spend more time buying their groceries then they do deciding on the best agent for them. If you're silly enough to go with someone who only tells you want you want to hear instead of the truth...well...then you got what you asked for didn't you? Blaming it on realtors as a whole is ridiculous and immature. FACT: fsbo over price their home by 10-20%. FACT: The average FSBO home sold for $180,000 and the average Realtor listed home sold for $230,000.
    These consumer's spouting their baseless negativity against realtors don't have facts to back up what they say, only strong emotions. If you know what you're doing as a realtor and you work for it (most do) you don't need to discount. Realtor's don't get discouraged, most intelligent people know and appreciate the services you provide.

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