In a controversial move, StreetEast upped its listing fees, upsetting hundreds of New York City real estate agents when the new fees were announced. The fees will be daily for rental listings, upping the cost to $4.50 per listing.
The new fee per rental listing per day is upped from $3, StreetEasy’s general manager Matt Daimler wrote in a recent blog post. The price increase will be effective on Jan. 1, the company said.
As it did a year ago, StreetEasy said the move was rooted not in money but in cleaning up stale or fraudulent listings to provide a better consumer experience. According to Daimler, the portal has seen a 60 percent drop in complaints about fraudulent listings since the initial fee went into effect. He also claimed there has been a 40 percent uptick in messages sent to rental listings.
The move by the Zillow Group-owned firm to start charging for rental listings in July 2017 drew immediate backlash. Within 24 hours, the number of rentals posted on StreetEasy’s platform had plummeted 55 percent to about 14,000.
"Within 24 hours of introducing a new $3-per-day fee for rental listings, the number of rentals posted on StreetEasy’s platform plummeted 55 percent from 30,967 on Monday to 13,978 on Tuesday, according to inventory data obtained by The Real Deal. The figure rebounded slightly by Wednesday morning to 15,880 rental listings, according to an analysis by brokerage Triplemint."
Read more here
Join us in Bangkok the 19th to the 22nd of March for the Property Portal Watch Conference.