Agents react to Zoocasa closure

by Jordan Maxwell12 Jun 2015

The announcement of Zoocasa’s closure sent agents into a frenzy as many called the shutdown an inevitable scenario for the online brokerage; however, some are stepping up in favour of the service. 

“Zoocasa did a pretty good job of filtering leads and they sure did a lot of advertising,” one agent said on REP's website. “I am full-time agent with production numbers to prove my abilities. That's why they chose me. 

“I did not mind paying back a referral fee. It's business that I wouldn't have had otherwise. There were mostly qualified leads, and now some of these people will be my clients and friends for the rest of our lives. I have Zoocasa to thank for that, and [on that front, they were] worth every penny.”

While the Rogers-affiliated service was beneficial for some in passing on valuable leads, most agents rejoiced in its demise.

“The internet has brought about a false sense that buyers and sellers think they know everything that an agent knows and as long as things go smoothly, they are fine,” Debbie Wilding, an agent with Re/Max, wrote on REP's website.  

“The minute stuff starts to happen, they call us to fix it, advise them to find a lawyer, mortgage broker, home inspector, contractor, electrician, mould removal specialists, movers and insurance companies. If everyone could do the job of a Realtor everyone would have a licence, but it's hard and not as easy as we make it look.”

In an email sent to its homebuyer and investor clients, the company broke the news that it would cease to be registered and “will be prohibited from trading in real estate as a brokerage” as of June 22, 2015. 

Analysts are already suggesting that it may hint at what's to come in September this year, when the Competition Bureau decides whether sold data should be made public.

But for now, the closure of the online brokerage hasn’t deter some from stepping up to pay Zoocasa its due. 

"[Agents] are going to say whatever they are going to say, but I'm proud of what we accomplished," Darryl Mitchell, Zoocasa's broker of record, told REP. "We worked hard to provide quality leads, and the stats show that. That's all that matters.

COMMENTS

  • by T. S. 6/12/2015 12:28:54 PM

    This is what happens when you build your business on bull sh!t

  • by Your Buddy 6/12/2015 12:37:06 PM

    “I did not mind paying back a referral fee. It's business that I wouldn't have had otherwise. There were mostly qualified leads, and now some of these people will be my clients and friends for the rest of our lives. I have Zoocasa to thank for that, and [on that front, they were] worth every penny.”

    Yeah? What if a good chunk of your existing clientele told you they would not want to deal with you because Zoocasa offered them "cashback" (aka part of your referral fee)? All of a sudden, you have to cough up cash to "match the deal" when you least expect it.

  • by Chris 6/12/2015 12:58:43 PM

    The 35% referral fee might sound fare, but those who accepted it were being very short sighted. Once Zoocasa gained market share, who could stop them if they demanded 50%, 60%, 75%?

    Would that seem fare to you also?

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