Zillow’s test of its new initiative for home sellers called Instant Offers is expanding beyond its initial two markets and moving into Phoenix, the Seattle-based real estate tech company announced on Wednesday.
Instant Offers launched in May in Las Vegas and Orlando, Fla. The product, which will go live in Phoenix in mid-September, connects homeowners to offers from investors as well as a comparative market analysis from a local real estate agent.
Zillow Group CEO Spencer Rascoff said during the company’s second-quarter earnings call on Tuesday that Instant Offers has turned into a great way for listing agents to get leads.
“There are several startups and real estate brokerage websites experimenting in this space, but Zillow is the only one that has designed a product to keep the agent involved in every part of the transaction, most notably by giving them the opportunity to secure new listing agreements,” Rascoff said. “Ultimately, Zillow Instant Offers has the potential to deliver the highest intent, highest quality listing leads at scale to our Premier Agents.”
Instant Offers also serves to compete with Seattle’s other tech-focused real estate company, Redfin, and its Redfin Now platform which lets the online real estate brokerage buy homes directly from customers. Rascoff didn’t mince words when he addressed Redfin on Tuesday, calling the brokerage a “threat to organized real estate.”
Furthermore, Opendoor — one of the startups alluded to by Rascoff — operates in Phoenix.
Zillow is launching with two broker partners — Berkshire Hathaway HomeServices Arizona Properties and West USA Realty. Gordon Miles, president and COO of Berkshire Hathaway HomeServices Arizona Properties, is ready for the new product to come to his city.
“I’m excited to give my agents the chance to connect with these sellers they might not have had a chance to previously,” Miles said. “Our agents deliver superior customer service and I’m confident in their ability to make the most out of the opportunities Instant Offer creates.”