Zillow: Real estate agents still deserve 6%
CEO says agents are a "very integral part of the transaction"
The relationship between Zillow (Z) and real estate agents has had its issues over the years. But Zillow’s CEO Spencer Rascoff told CNBC that he thinks real estate agents are still a “very integral part of the transaction” and still deserve their 6% commission.
“Agents take 6% because they provide a lot of value in the transaction, much like investment bankers provide a lot of value with IPO’s,” Rascoff said.
Rascoff said that with the rise of websites like his own, the homebuyer can obtain as much information about a property as a real estate agent can, so the role of the real estate agent has changed.
“The profile of a successful agent has changed to be more of a transactional consultant,” he said. “(A successful agent) is someone that’s a great negotiator instead of just an information gatekeeper.”