No matter where you find information, real estate deals close locally | Business

Let’s start with a little history lesson on how real estate markets work and where this tool called the Multiple Listing Service came from. Assuming also that real estate agents and brokers are territorial in nature, we’ll get to why that matters in a moment.

Imagine that over 100 years ago, a few real estate brokers met in person to share information about their listings and offered to work together to close a sale. It is common for one broker to have one listing and an entirely different broker to have the buyer. In its most simplistic form, this is the basis of today’s Multiple Listing Service.

In 2020, there were 597 independent MLS items in the United States that are owned by local real estate councils.

Immediately the reader might ask, “wouldn’t it make sense to have a national MLS?” Would it make sense for a potential buyer to log on to one site and search the whole country? Well, this is where the “territorial” nature of the real estate brokerage business comes in.

Even in Hardin and Jefferson counties, where the vast majority of local realtors work, there are two completely independent systems. While it is possible for agents to be members of both services, most are not.

The technology to aggregate listing data from all MLS platforms into a single web portal has been around for several years. As this technology has evolved, a number of creators have created these sites. Realtor.com was one of those and had some dominance until Zillow came along and threw them to the curb.

Today, Zillow is the dominant force in consolidating detailed listing data on every home in the country, whether it’s an active listing or not. I get calls every day that start with “I saw it on Zillow”.

Although Zillow has the ability to be a national MLS, it is not. Amazon also has the ability to start a national MLS and may one day do so.

Zillow is an advertising company and lead generation platform. It connects potential buyers with their subscribers, who are real estate agents.

Over an 18-year span, he built a massive business in an industry where the National Association of Realtors failed to capitalize. Of course, many lawsuits have been filed for various reasons, but this continues to dominate.

Initially, Zillow was the boogeyman in the real estate brokerage world and still is for some. However, it has proven to be a hugely successful business model that has the experience of buying real estate online.

In conclusion, no matter where you initially identify the home you might be interested in, a local agent will be responsible for the closing process. A process with more than 40 tasks and a deadline of four to five weeks to close. Fortunately, we have plenty of qualified realtors, home inspectors, lenders, insurance agents, and title companies in the Hardin County market area that we can rely on.

TW Shortt is the past president of the Heart of Kentucky Association of Realtors and a local realtor.

TW Shortt is the past president of the Heart of Kentucky Association of Realtors and a local realtor.