This is a marked business change for the website, which is mainly a hub of information about real estate properties. Buying up homes will provide added costs and risks, so some investors didn’t like it.
Yet Zillow says it has been testing out this program for about a year and that it is optimistic about its future success.
In an interview with CNBC, CEO Spencer Rascoff said, “we’re ready to be an investor in our own marketplace.” He believes Zillow has “huge advantages because we have access to this huge audience of sellers and huge audience of buyers.”
Rascoff acknowledged that Zillow will be taking on debt to execute on its new mission.