Foreclosures? Not in Utah: Or why you are wasting time searching with Zillow
You have heard us say it before, Realtors shot themselves in the foot when we started selling our info to Zillow. To be clear, we don’t make ANY money off of Zillow purchasing our hard earned, fastidiously curated, professionally photographed, expertly priced, and skillfully written listings. The MLS does. Sure, they continue to tout all the shiny advantages Zillow provides and the tools we use that are funded by the proceeds. However, to keep this article on track, I will focus on one of the most ridiculous aspects of Zillow and provide a solution.
The image above shows the percentages of homes that are “under water” in each state; notice that 1.5% of homes in Utah. Properties that have liens which total to an amount greater than their market value are said to be under water. If an owner had to sell one of these properties, they could attempt to do a short sale, where the bank would get less money than they were owed. The bank doesn’t want to lose money, so they have to agree to the short sale. If the owner has any assets, like a car, that could be sold to bring in money to the closing table, they will be forced to do so. In an appreciating market, short sales become more rare. Generally, a short sale in our current market has a major defect such as mold damage, foundation issues, or is uninhabitable. Short sales have to go through lengthy approvals to close which can take over a year to complete.
Short sales sound like a nightmare? The lowest level of Dante’s housing inferno is the foreclosure. At this point, the bank is kicking you out of your house and taking possession. Banks don’t want to do this. It cost them money and they hate losing money. According to RealtyTrac, the current average time from initial notice to eviction is 29 months.
Here is the point I am trying to make… Zillow is a scam
The map above shows Zillow’s Preforeclosure listings just in that area! In Utah, 0.04% of all homes end up in foreclosure. It’s complete scam to get you to click! Even if these properties have missed a payment or 2, the odds of starting foreclosure procedures are low and it will be more than 2 years if they do. If you want to waste your time searching for properties, please continue to use Zillow. If you want to get annoying text, emails, and phone calls from Realtors who pay to be showcased on these fake listing, just click on the links.
Zillow is a media company. They make money on selling your information to the highest bidder.
Here is the solution. It’s a new app that solves the problem. HomeScout is a real estate company. They work with agents and lenders to provide consumers with the best, most up to date information. You can search just like a Realtor does anywhere in the country! We will be highlighting special features as we move forward.
Don’t let your friends and family waste time searching for homes the old way. Save them from frustration and send them this link…
Of course, there are other aspects of Zillow we could complain about, like posting homes that sold a year ago as available, taking too long to update, absurd Zestimates, etc. Hopefully, the evidence provided answers any questions you have, but if not, head over to the “contact us” page and let us know your thoughts.