"The most important institutional change during this time was in the area of real estate finance. Previously, people purchased homes with personal savings, but at the turn of the twentieth century the self-amortizing mortgage emerged."
As savings and loan associations, life insurance companies, and other financial institutions grew their businesses, members of the NAREB would bring prospective borrowers to these institutions, thus “brokering” the deals."
Today, NAR's membership increased to just under 1.4 million as of year end 2019. It claims to be the largest trade association, comprising real estate brokers, salespeople, property managers, appraisers, counselors as well as others in the real estate industry. Members belong to one or more of the 1,300 local associations/boards and 54 state and territory associations of Realtors or to one of 87 cooperating associations in 66 countries.
Zillow was started in 2005 by Rich Barton and Lloyd Frink. Drawing from their previous startup, Expedia Group Inc., they wanted to make home buying more transparent for consumers.
But transparency doesn't equal cheaper: Zillow charges 6 to 9 percent on commission.
Moreover, Zillow’s flagship revenue stream sells ad space on its site to traditional brokers. These ads, of course, are to be seen by visitors checking “zestimates.”
iBuying currently accounts for less than 1 percent of the $1.6 trillion worth of annual real estate transactions in the U.S., but that number is expected to rise.