Google Breaks Into Real Estate Market
They’re the undisputed ruler of virtual real estate and have been for some time. But now Google is breaking into actual real estate.
The Moutainview, Calif., company is now offering home listings at its namesake site, according to MSNBC. The news was first broken by Shimon Sandler, a well-known industry blogger. If a person enters the term “Homes for Sale” on Google, he or she will have the option to enter a certain geographic area and select “Search Housing” button. This will open up a Google Maps page that shows homes on the market in your selected area.
Taking it another step further, you can search for “Apartments for Rent” and find a list of rentals. Lastly, in a development that is sure to draw the ire of traditional real estate agents, you can list your own homes or apartment — for free — through Google Base. One can only imagine the trouble this means for sites like HouseValues.com. When Zillow.com came out back in February, in spite of its appraisal flaws, it was a foray that made major noise. Now Google has upped the ante.
Analysts were expecting HouseValues to earn $0.69 a share this year until the company hosed that number down due to the Zillow.com and Google news. The company’s new guidance has it earning between $0.24 a share and $0.30 a share. Those sums are based on the company’s revenues growing by at least 21 percent, which is still in jeopardy. It remains to be seen what kind of impact these new arrivals will have on that company’s growth.
Other public companies that may be affected include Realtor.com parent Homestore.com, ZipRealty and Cendant. While these companies have not necessarily felt the pinch of these newfound free and instant home appraisals, the ability to list on Google for free may hurt agents who depend on listings to derive up to 6 percent of a home’s final selling price in commissions. Lastly, Google’s real estate and rental listings could adversely impact eBay, which relies on the FSBO market to pay for auction listings.
The lesson here? When Google makes a move, the implications are vast. For those seeking Florida home loans, the options keep multiplying as everyone looks for an edge.
