Real Estate Is Ultimate Mobile Experience: Rascoff

REPLAY VIDEO
Your next video will start in
Pause

Recommended Videos

  • Info

  • Comments

  • VIDEO TEXT

May 8 (Bloomberg) -- Zillow Co-Founder and Chief Executive Officer Spencer Rascoff discusses luxury home sales, mobile real estate tech and the company’s earnings on Bloomberg Television's "Bottom Line." (Source: Bloomberg)

The founder and ceo of zillow joins me now from seattle.

Welcome back.

Great to be here.

The results exceeded even your expectations.

What is attracting users to mobile?

Mobile is definitely what is driving our growth.

This little thing has been a godsend to our business.

178 homes are viewed every second on zillow on mobile now.

We went public three years ago and it was 21 homes per second.

There is massive mobile growth.

And the reason why is that real estate is the ultimate mobile experience.

When you are driving around looking for homes in the neighborhood, that is when you want to have the power of zillow in your hand.

That is what is propelling our audience, and then in turn, advertisers follow audience.

That is why revenue and profits have followed.

Your premier agent sales saw a big increase as well, mainly due to agents buying more advertising.

How does that translate to monthly revenue per subscriber?

This quarter was a big quarter in terms of new subscriber ads.

We now have about 53,000 real estate agents that advertise on zillow.

Also, our revenue per real estate advertiser grew to a record as well.

And the reason is that more and more advertisers are buying more inventory from us.

60% of our bookings this quarter were existing advertising -- advertisers choosing to buy more inventory.

And the reason is the cause it is working.

It is working for them, and they are earning a great roi on their investment.

I'm speaking with the cofounder and cto of zillow.

Spencer, talk to me about the forecast and how it is changing the way homes are valued.

This is an exciting feature that we've just launched.

We have known -- been known as the company with zestimates, which shows how much each house is worth.

You can go and see what we say it will be worth in 12 months.

And for a homeowner looking to list their home, this is important information.

For a homebuyer considering buying, this is very important information.

The good news is that 96% of people at their own home will find that their forecast is estimated to increase the next 12 months.

It is mostly good news to comedic eight.

It is an exciting feature we've just rolled out.

-- it is mostly good news to communicate.

It is an exciting feature we've rolled out.

He said in his words that only homes are overrated.

He added that young people are settled with more debt and less likely to enter the housing market.

What is your reaction to those comments?

Housing is cooling somewhat.

Year-over-year, sales are about six percent and we project an increase year-over-year of about three percent.

The rate of increase is slowing, but i would reject the assessment that the way people value perceived real estate or that we have shifted to a renters society, our data does not prove that out.

This week, my colleague wrote a fascinating story on bloomberg.com.

It says that the so-called trophy home market is shattering price records this year and that an increasing number of residential properties change hands for more than $100 million.

What does that tell you about the luxury home market?

And what does it say about the amount of money that is still on the sidelines?

The luxury home market is on fire, particularly in the new york area.

It is being fueled by financial buyers, people from the financial community.

But increasingly, by foreign buyers, russia, middle eastern buyers.

The u.s. has plenty of it -- of challenges to our economy, but it is still a stable place for foreign assets.

That has generated a lot of foreign buyer interest in owning u.s. real estate.

That is what you see with the

This text has been automatically generated. It may not be 100% accurate.

Advertisement

BTV Channel Finder

Channel_finder_loader

ZIP is required for U.S. locations

Bloomberg Television in   change