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Peter Mohylsky, Beach Expert, Call me at 850-517-7098 (PMI. Destin)

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Ambassador
2,162,898
Silvia Dukes PA, Broker Associate, CRS, CIPS, SRES
Tropic Shores Realty - Ich spreche Deutsch! - Spring Hill, FL
Florida Waterfront and Country Club Living

The real estate business is harder than they thought. 

Nov 03, 2021 05:33 AM
Rainmaker
587,348
Shayne Stone
HomeSmart - Fulshear, TX
"Your Rock Solid Choice Realtor" RETIRED

Well goes to show that you can't do mass buying and selling houses in this business. No matter real estate is a local business, not a national business. And even investors need to do more research and like the old saying in buying "Buyers need to See It, Smell It and Touch It - to Buy It!"  LOL

Nov 03, 2021 06:15 AM
Rainmaker
693,775
Ray Henson
eXp Realty of California, Inc. (lic. #01878277) - Elk Grove, CA
Realtor

I was surprised that they owned (or will own soon) over 17,000 homes that they will have to sell. 

We had a Zillow home for sale just a few homes down the street from our home.  It was priced way high when it was originally listed and they had to drop the price numerous times to get it sold.  I guess they were doing that on a very large basis. 

I wonder if other iBuyers will follow in the same footsteps.

Nov 03, 2021 08:00 AM
Ambassador
2,071,156
Alan May
Jameson Sotheby's International Realty - Evanston, IL
Home is where the hearth is.

Their business model of paying more than market value, and selling for less ... just wasn't sustainable.

Nov 03, 2021 07:15 AM
Rainmaker
5,112,471
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

And so many were worried they'd put us agents out of business... not so much, afterall.

Nov 03, 2021 06:29 AM
Rainmaker
1,571,490
Gary Frimann, CRS, GRI, SRES
Eagle Ridge Realty / Signature Homes & Estates - Gilroy, CA
REALTOR and Broker

Now I wonder if their purchases will have a negative impact on those markets they purchased in.

Nov 03, 2021 05:37 AM
Ambassador
4,717,359
Brian England
Ambrose Realty Management LLC - Gilbert, AZ
MBA, GRI, REALTOR® Real Estate in East Valley AZ

I saw this news on our Realtor forum, everyone was talking about it and sharing their opinion.  They said that 25% of the staff will be cut as well.

Nov 03, 2021 05:03 AM
Rainmaker
4,582,184
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Another day.  More "surprising" news.   Or maybe the quotation marks should be placed around the word news.  

Nov 03, 2021 04:43 AM
Rainmaker
5,772,581
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

We heard yesterday.  Now, they have to find something else to appease their investors who no doubt are selling their stock.  A

Nov 03, 2021 07:55 AM
Rainmaker
1,201,477
Doug Dawes
Keller Williams Evolution - 447 Boston Street, Suite #5, Topsfield, MA - Topsfield, MA
Your Personal Realtor®

And their stock took a hit because of that announcement

Nov 03, 2021 08:15 AM
Rainmaker
921,504
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

From my research of direct or iBuyer sales in the Tampa Bay area, none are making money and most likely losing $30,000 on every resell, even in todays market.
Let's see what happen to Z Devils local agent(s).

Nov 03, 2021 05:01 AM
Ambassador
2,684,569
Fred Griffin Florida Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

Zillow can't compete with BlackRock.

Nov 03, 2021 07:23 AM
Rainmaker
1,322,984
John Juarez
The Medford Real Estate Team - Fremont, CA
ePRO, SRES, GRI, PMN

I never did believe that the iBuyer business model on large scale is sustainable.

There will always be a few sellers who will sell for a lower value based on their own personal circumstances. Most sellers want top dollar for their house and will not be seduced by those who offer a lower price due to cash and convenience.

Nov 03, 2021 08:44 AM
Rainmaker
1,056,272
Candice A. Donofrio
Next Wave RE Investments LLC Bullhead City AZ Commercial RE Broker - Fort Mohave, AZ
928-201-4BHC (4242) call/text

Goes to show how well they know real estate. LOLZ

Nov 03, 2021 08:59 AM
Rainmaker
5,877,335
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

I was a bit taken aback, but know some of the homes that have bought are sitting on the market.  

Nov 03, 2021 08:24 AM
Ambassador
6,417,434
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

Yes, I have heard that.

Nov 03, 2021 05:21 AM
Ambassador
3,589,741
Anna "Banana" Kruchten
HomeSmart Real Estate - Phoenix, AZ
602-380-4886

Gee let's pencil this out......pay far more than what an investor should pay for a house and then try to gain back some of your investment with a quick 'lip stick on a pig flip'.  House sits on markets for a long, long time, price finally comes down.  Gee I could see this coming a mile away from my area.  There's another company paying to much for homes too.  They'll be next....but I heard they're changing their ways a bit from a guy who used to work for them.   

Nov 03, 2021 10:06 AM
Ambassador
3,349,404
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate Services

Yes. Interesting.  

Nov 03, 2021 09:30 AM
Rainmaker
679,404
Diana Dahlberg
1 Month Realty - Pleasant Prairie, WI
Real Estate in Kenosha, WI since 1994 262-308-3563

Also I saw that they are reducing their staff by 25%. I am not crying any tears!

Nov 03, 2021 10:00 AM
Rainer
430,282
J.R. Schloemer
Kentucky Select Properties - Louisville, KY

 

This was in the article I read, and I thought to myself...maybe they should stop offering Zestimates on houses. 

Could it be their own Zestimates was the cause of their demise...

Nov 03, 2021 01:02 PM
Rainmaker
7,863,173
Roy Kelley
Retired - Gaithersburg, MD

Maybe they have learned a investment lesson.

Nov 03, 2021 10:02 AM
Rainmaker
632,925
Buzz Mackintosh
Mackintosh REALTORS - Frederick, MD
“Experience, reliable, leadership”

Looks like their ""Zestimate" got them in trouble !

Nov 04, 2021 04:43 AM
Rainmaker
5,238,990
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Money was not the issue. Effective management was the issue. you lose control with size. In this case too big to succeed!

Nov 04, 2021 04:04 AM
Rainmaker
808,279
Steve Higgins
RE/MAX Kelowna - Kelowna, BC

Now that is interesting. I wonder what happened.

Nov 03, 2021 06:40 PM
Rainmaker
766,079
Tony Lewis
Summit Real Estate Group - Valencia, CA
Summit Real Estate Group Valencia & Aliso Viejo

Now if we can get Redfin out of being a brokerage sanity will be restored.

Nov 03, 2021 11:05 AM
Rainmaker
2,221,377
Anthony Acosta - ALLATLANTAcondos.com
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker

Yes, I read the article.  Interesting to say the least. 

Nov 04, 2021 05:52 AM
Rainmaker
715,782
Lynnea Miller
Bend Premier Real Estate - Bend, OR
Premier Real Estate Service in Central Oregon

I heard.  I am not surprised. 

Nov 03, 2021 05:08 PM
Rainmaker
1,506,013
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

Not a huge surprise.  They'll be back in fairer weather.

Nov 04, 2021 04:58 PM
Rainmaker
604,644
Jim Patton
Aspire Home Real Estate 209-404-0816 - Modesto, CA
Realtor - Stanislaus ,Merced, San Joaquin Counties

Maybe they should have consulted a Realtor before buying all those properties and not relied on zestimates. 

Nov 04, 2021 03:45 PM
Ambassador
3,167,614
Tammy Lankford,
Lane Realty Eatonton, GA Lake Sinclair, Milledgeville, 706-485-9668 - Eatonton, GA
Broker GA Lake Sinclair/Eatonton/Milledgeville

my only (2nd hand) experience was a friend's son had his purchased by zillow and we ALL knew they paid way over market.  Literally with the price increase from when they bought it nearly two years ago until now.... it's still not worth that.  I believe they lost their butts on their "investment into home byuying" adventure.

Nov 04, 2021 06:28 AM
Rainer
381,017
Don Baker
Lane Realty - Eatonton, GA
Lake Sinclair Specialist

Pretty funny

Nov 04, 2021 12:56 PM
Rainmaker
1,624,653
Inna Ivchenko
Barcode Properties - Encino, CA
Realtor® • GRI • HAFA • PSC Calabasas CA

They are selling it all.

And,

I'm representing a buyer on one of the home~ accepted offer.

... it is quite interesting experience. 

Nov 19, 2021 09:49 PM
Rainmaker
906,187
Carla Freund
Keller Williams Preferred Realty - Raleigh, NC
NC Real Estate Transition & Relocation 919-602-848

I have to say I'm not surprised. What does surprise me is how they haven't gotten in trouble with the RE commission. I've seen so many houses they've listed where they didn't disclose material facts that were obvious and an agent would be expected to know. Even when I've given feedback letting them know they didn't correct it. What a mess!

Nov 06, 2021 05:29 AM
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