They say their information comes from MLS, so what’s wrong with using Zillow.com, Trulia.com, and Realtor.com?

The answer: LOTS!

True. Their data does come from MLS.

BUT…

(and that’s a big ‘ole ‘but’, indeed)

1) It’s delayed

2) Their search results is severely limited compared to MLS.

About that delay, delay, delay…

When you’re a realtor, you’re required to make changes in your listing within a 24-hour to 48-hour period after something has changed with your listing . Say the property goes from ‘active’ to ‘listing’, ‘listing’ to ‘closed’, or what was the final closing price?, and for all that kind of stuff, the realtor must update the MLS listing.

Here’s how it works for websites/companies like those listed above:

That information I just mentioned gets sent to all the companies who have subscribed to the MLS; companies like the three we’ve listed above. They pay all of the different local realtor associations around the country (for example, to the Phoenix Association of Realtors MLS) a subscription fee to get access to the MLS. BUT… it’s significantly delayed. You see, all of the MLS information that gets sent out from MLS goes through an “IDX Repeater”. That information goes out 24 to 48 hours after MLS has been updated.

You may not see that the house you think is ‘active’, is actually ‘pending’. This is the first way in which websites like Zillow, Realtor, and Trulia are inaccurate.

I’ve talked to agents who said that Zillo.com shows a house as ‘active’, when in fact, it hasn’t been active in six months. So when these companies  pay all this money to local MLS services to get this data for the roughly 6000 houses that close every month, the data is late. Way late. Later in effect than perhaps 24-48 hours sounds.

Realtors have a fiduciary responsibility to our clients.

Realtors can’t give up all of the information from the MLS to these other companies because  it could put our clients at risk in some cases. Some information pertains to gaining access to the home or information that could influence a price if known broadly. That’s why there has to be a delay. That’s the first reason the information coming from those kinds of websites is inaccurate.

Next week we’ll talk about the second reason the information is inaccurate: Search capabilities. I’ll give you specific examples of how your search results affect you as a buyer or seller. Like simply delaying information for a couple days, there’s much more to ‘search’ than what these sites are telling you.

If you want to buy or sell, and care about getting your information the second it’s a fact, please give me a call at 602-456-9388 or email me at ken@getyourphx.com.