Spencer Rascoff on the Importance of Real Estate Agents

Zillow CEO Spencer Rascoff was recently interviewed by The Motley Fool, a multimedia financial services company, and asked for his thoughts about whether the Internet might replace the need for real estate agents.

In real estate technology discussions, the demise of travel agents is often cited as the future for real estate agents. Spencer points out that travel is a commoditized product that lends itself to direct purchase. The Internet has replaced the role of a travel agent; an intermediary isn't necessary for people to buy a plane ticket.

'Real estate is totally different,' says Spencer. 'The real estate transaction is complicated, it's emotional, it's expensive, it's infrequent; all of these things lend themselves to the importance of an intermediary. There will always be a real estate agent in the transaction because, for most consumers, it's just too important and too expensive and too infrequent and complex to screw up, so they need an agent.'

When pressed and asked, 'You think, even looking out over decades, that the real estate agent still has a role?' Spencer responded, 'Definitely.'

To hear Spencer talk more about the importance of real estate agents, watch this short video: