I've heard a lot of agents discussing Zillow.com lately. Some complain the website (founded by Richard Barton, former CEO of Expedia.com) will hurt their business by taking away one of the key services they offer clients -- namely, comps.

My first advice is not to rely so heavily on comps and consultations in the first place. My second bit of advice is to view Zillow.com in the proper perspective.

Don't Rely on Comps and Consultations
This is a point Ive been making for years, and the Zillow.com discussion brings it back into the light. If your real estate marketing program relies on comps, then your marketing program is flawed (long before Zillow ever came along). Likewise, the days of hanging your hat on the "free consultation" have passed.

Much of the information you would share during a consultation can be found on the Internet, if you know where to look. And believe me, your prospects know where to look. They can view homes online. They can find current interest rates online. And now (with the advent of such websites as HouseValues and Zillow) , they can get a ballpark valuation of their home based on comps.

Sure, comps are part of the service you provide, and they definitely help your clients understand the big picture and proceed accordingly. So keep offering them. Just don't make it the focal point of your personal marketing efforts. It worked ten years ago ... it doesn't work anymore.

A Closer Look at Zillow.com
The data Zillow provides is nothing new. The way they interpret and present the data is new, but the data itself has always been publicly available. Zillow has just simplified the data acquisition process and created clever phrases like the "Zestimate," fancy talk for their own best guess.

They say it themselves on their website: "We've done the legwork by getting huge amounts of data ... and creating something unique that the public sources dont provide -- a Zestimate..."

Why I'm Not a Mechanic
Let's imagine there was a website where I could enter a description of car trouble I was having: engine lags when accelerating, blue smoke comes from exhaust pipes, etc.

That website might give me a rough idea of what the problem is. It might even give me detailed instructions on repairing these potential problems, and an estimate of how long it might take. But that doesn't make me a mechanic. And it doesn't make me any more inclined to perform the repairs myself. Thats what a professional mechanic is for.

Sure, I might take this diagnosis to a mechanic and say, "Here's what I think the problem is." But I'll still need the mechanic's help.

Now consider the fact that houses cost 10, 20, or 30 times more than a car (Rolls Royce aside), and you'll see my point.

Just because I know how much a house might be worth doesn't mean I'm ready to write up a contract and steer the sales process myself. That's a big undertaking that requires professional help. Zillow will not make professional agents out of your clients any more than Weather.com will turn me into a meteorologist.

Zillow is a number cruncher. It can't listen to clients. It can't look out for their interests and respect their needs. It can't offer them unique advice for unique situations. And it can't help them adapt to unforeseen challenges.

In short, it's no replacement for a real estate agent.

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