BiggerPockets Daily
Breaking Down Zillow's Dogfight With the Brokerage Industry
Apr 17, 2025
Zillow has ignited a firestorm in real estate by announcing plans to blacklist homes marketed privately before they hit public search portals. This move targets the exclusive inventory trend that brokerages like Compass are using to gain an edge. The discussion dives into the intense power struggle between Zillow and Compass, illuminating its implications for buyers and sellers. Listeners will gain insight into how this battle affects the marketing landscape in an increasingly fragmented market.
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Quick takeaways
- Zillow's decision to blacklist privately marketed homes aims to combat the exclusive inventory trend and maintain market transparency.
- The conflict between Zillow and Compass is reshaping real estate practices, emphasizing the growing importance of relationships for buyers seeking pre-market opportunities.
Deep dives
The Turf Battle Between Zillow and Compass
A significant conflict is emerging in the real estate sector, primarily between Zillow and Compass. Compass, the largest brokerage by sales volume, has adopted a controversial strategy of listing homes privately before making them public, which is disrupting traditional home selling practices. This tactic, referred to as exclusive inventory, allows Compass to control listings and potentially strengthen their customer relationships. In response, Zillow has taken a stand by announcing it will blacklist listings that are first marketed on private platforms, arguing that fragmented inventory leads to confusion and distrust among buyers.
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