www.cnbc.com Open in urlscan Pro
104.70.184.158  Public Scan

Form analysis
0 forms found in the DOM

Text Content

Skip Navigation
 * watchlive

Housing market skirts coronavirus crisis as sellers use 3D virtual tours to find
eager buyers
 * watchliveShark Tank

Markets
 * Pre-Markets
 * U.S. Markets
 * Currencies
 * Cryptocurrency
 * Futures & Commodities
 * Bonds
 * Funds & ETFs

Business
 * Economy
 * Finance
 * Health & Science
 * Media
 * Real Estate
 * Energy
 * Climate
 * Transportation
 * Industrials
 * Retail
 * Wealth
 * Life
 * Small Business

Investing
 * Invest In You
 * Personal Finance
 * Fintech
 * Financial Advisors
 * Options Action
 * ETF Street
 * Buffett Archive
 * Earnings
 * Trader Talk

Tech
 * Cybersecurity
 * Enterprise
 * Internet
 * Media
 * Mobile
 * Social Media
 * CNBC Disruptor 50
 * Tech Guide

Politics
 * White House
 * Policy
 * Defense
 * Congress
 * Equity and Opportunity

CNBC TV
 * Live TV
 * Live Audio
 * Business Day Shows
 * The News with Shepard Smith
 * Entertainment Shows
 * Full Episodes
 * Latest Video
 * Top Video
 * CEO Interviews
 * CNBC Documentaries
 * CNBC Podcasts
 * CNBC World
 * Digital Originals
 * Live TV Schedule

Watchlist
Investing Club
 * Newsletter
 * Morning Meeting
 * Trade Alerts
 * Trust Portfolio

PRO
 * Pro News
 * Pro Live
 * Subscribe
 * Sign In



Menu

 * Make It

 * USA
 * INTL

 * watchlive

Search quotes, news & videos
Watchlist
SIGN IN
Housing market skirts coronavirus crisis as sellers use 3D virtual tours to find
eager buyers
 * watchliveShark Tank

Markets
Business
Investing
Tech
Politics
CNBC TV
Watchlist
Investing Club
PRO


Menu


Tech


HOUSING MARKET SKIRTS CORONAVIRUS CRISIS AS SELLERS USE 3D VIRTUAL TOURS TO FIND
EAGER BUYERS

Published Sun, Aug 9 20209:00 AM EDT
Ari Levy@levynews
WATCH LIVE
ShareShare Article via FacebookShare Article via TwitterShare Article via
LinkedInShare Article via Email
Key Points
 * While shelter-in-place orders shut down much of the economy, realtors stepped
   up their use of 3D virtual tours to sell houses.  
 * Home prices nationally rose 4.9% in June from a year earlier, according to
   CoreLogic, and shares of Zillow and Redfin are trading at records.
 * Matterport, a maker of hardware and software for virtual tours, said
   that from the beginning of March to mid-June, there was a 157% increase in
   the number of models created per week.

Matterport 3D dollhouse
Matterport

James Sharp, a realtor in the Dallas area, has seen a flood of transactions over
the last few months since he turned to making 3D virtual tours of his
properties. He’s had so much recent success selling houses online that he put
his own residence on the market at the end of June — he had 18 showings in the
first 10 days.

Sharp closed the sale last week after receiving multiple offers. The new owner
bought the house sight unseen.



“I decided I’m done, I want a change of scenery,” said Sharp, who founded the
Sharp Real Estate Group in 2011. “I’ve seen the market and seen what we were
selling. I’m making a great payday.”



The U.S. economy may be in a recession from a public health crisis and five
months of forced shutdowns, but the housing market remains strong, thanks to
record low mortgage rates and the desire of many city dwellers to relocate,
knowing they can work from anywhere. Technology is playing a major role.

Online listing sites Redfin and Zillow reported better-than-expected
second-quarter results in the last couple weeks, in part because virtual tours
have become so effective. Both stocks closed the weeks at record highs. Zillow
CEO Rich Barton said on his company’s earning call late Thursday that three of
four adults say they want to use virtual 3D tour technology to buy a home, part
of a “tectonic shift that we expect to play out for years to come.”

Redfin and Zillow this year
CNBC

Zillow, which has its main offices in Seattle and San Francisco, just told
employees they can work from home indefinitely. Twitter and Atlassian have done
the same, while workers at Google and Facebook will be remote for at least
another year.

That’s driving down rents in San Francisco, New York and Seattle, three of the
10 most expensive markets in the U.S., as well as Los Angeles and San Jose,
California, according to Zumper. Apartment contracts in Manhattan fell by more
than half in July as residents fled to the suburbs.



Nationally, however, home prices rose 4.9% in June from a year earlier, up from
4.1% growth in May, according to CoreLogic. Prices climbed 1% month to month,
the fastest monthly gain for June since 2013.

Sharp said his firm, which sells homes in and around Dallas, started using
virtual tour technology in May after transactions slumped in March and April. By
July, he said, business was up again, and August is poised to be his best month
ever based on deals in the pipeline — he has 15 houses under contract, totaling
$16 million, about triple his average month.

Sharp uses technology from Matterport, a nine-year-old Silicon Valley start-up
that makes $3,400 3D cameras, specifically for real estate, and provides
software for showing the listings. 

James Sharp of the Sharp Real Estate Group after closing a recent sale
James Sharp

While virtual tours have been around for many years, Sharp said Matterport takes
you to the next level so it’s almost like physically being there. By getting
every angle and every nook and cranny, floor to ceiling, and layering the images
on top of the house’s digital floorplan, the walkthrough feels close to
realistic.

Sharp compares it to the “Star Trek” transporter machine that teleported
characters to a different time and space.

“It gives you the same ability to beam to another place,” said Sharp, who’s been
giving guided tours to potential buyers over Zoom.


THE COVID BOOM

During the pandemic, Matterport has rapidly transitioned from being a niche
product used by big budget groups in commercial and residential real estate to a
standard technology for realtors of all sizes across the country. The company
told CNBC that from the beginning of March to mid-June, it saw a 157% increase
in the number of models created per week.

In May, the company introduced an iPhone app that lets users capture and share
3D tours without needing to buy one of its pricey professional cameras or even a
cheaper off-the-shelf alternative. It’s the company’s latest shift from hardware
to subscription software, now charging by the number of spaces scanned.

RJ Pittman, Matterport’s CEO, said the company hadn’t planned on rolling out the
iPhone app until the fourth quarter. The Android version is still scheduled for
later this year.

“Covid hits and a whole bunch of things happened in the first few months of
2020, so we decided to bring the iPhone launch early,” said Pittman, a former
eBay executive who was hired to lead Matterport at the end of 2018. “All these
people were sheltered in place and screaming for tools to keep the real estate
industry running while the economy and the world were shutting down. We thought
if you could create an open house while sheltered in place, it could play a big
role.”

The company introduced subscriptions last year, and Pittman said subscribers are
up 10-fold in 2020, including free and paid users. Revenue is on pace to about
double this year, and Pittman said that an IPO is on his roadmap, potentially as
soon as 2021, depending on market conditions.

Matterport Pro2
Matterport

Redfin has been using Matterport’s technology since 2014. The company said in
May that views of virtual walkthroughs were up over 300% since the pandemic
began. Zillow has its own proprietary technology for virtual tours, including an
iPhone app, though realtors can add Matterport-powered tours to their listings
if they choose. The company said on its earnings call that sellers have tripled
their use of 3D home tours since March.

All three companies are in very different positions than they were in the early
days of the pandemic. In March, Zillow and Redfin paused the homebuying
operations of their businesses because of safety concerns and stay-at-home
orders. The next month, Matterport laid off about one-third of its workforce, or
90 employees, as the company sped its shift to software. Around the same time,
Redfin laid off or furloughed 1,000 people, with demand down 40%.

That was four months and an eternity ago. Glen Kelman, Redfin’s CEO, said on the
company’s earnings call on July 30, that demand snapped back by June and he’s
been rushing to get employees back on board. 

Glenn Kelman, CEO of Redfin.
David A. Grogan | CNBC

“We had to hire as many people as quickly as we could,” Kelman said. “We’re now
hiring above and beyond that, but we need to do that to get back to really
strong share gains.”

In a survey conducted last month and published Aug. 5, Redfin said that 25% of
respondents indicated that the pandemic has made them want to move or has sped
up their plans to relocate.

Jay Acker is seeing that activity firsthand. His firm, the Real Estate by Design
Group, in Denton, Texas, sold 14 homes sight unseen in 2019, and has already
done at least that many deals so far this year, mostly in the past 90 days.
Acker said he expects to reach 25 remote sales this year.

His company bought its first Matterport camera a few years ago, then added
another for its office in San Antonio and is considering purchasing a third.
Acker said the 3D tour was a popular service pre-Covid-19, but has become the
default method for showing properties and initiating transactions since March.

“There are a lot of California and Colorado defectors coming,” said Acker. “The
cost of living is super cheap and it’s a very attractive place to be if you can
bear a couple months of really hot temperatures.”

WATCH: Zillow CEO Rich Barton on post-pandemic home buying trends

VIDEO4:3604:36
Zillow CEO Richard Barton on post-pandemic home buying trends
Squawk on the Street


TV
Shark TankWATCH LIVEWATCH IN THE APP
UP NEXT | American Greed 03:00 am ETListen
TV
Shark TankWATCH LIVEWATCH IN THE APP
UP NEXT | American Greed 03:00 am ETListen

Trending Now

 1. A Harvard nutritionist shares the 6 best brain foods: ‘Most people aren’t
    eating enough of’ these
    
 2. China’s ‘Silicon Valley’ manufacturing hub orders production halts to
    control a Covid spike
    
 3. ‘For the first time in history anyone can join a war’: Volunteers join
    Russia-Ukraine cyber fight
    
 4. Hong Kong’s Hang Seng drops 4% as investors monitor China’s Covid wave
    
 5. Stock futures rise as investors monitor Russia-Ukraine war, Fed’s next move
    

by Taboolaby Taboola
Sponsored LinksSponsored Links
Promoted LinksPromoted Links
FROM THE WEB
Daily Pulse

Casinos Hate This. But You Are 100% Allowed To Do ItDaily Pulse


Undo
Forge of Empires - Free Online Game

If You Need to Kill Time on Your Computer, this City-Building Game is a
Must-Have. No Install.Forge of Empires - Free Online GamePlay Now


Undo




 * Subscribe to CNBC PRO
 * Licensing & Reprints
 * CNBC Councils
 * Supply Chain Values
 * CNBC on Peacock
 * Advertise With Us
 * Join the CNBC Panel
 * Digital Products
 * News Releases
 * Closed Captioning
 * Corrections
 * About CNBC
 * Internships
 * Site Map
 * Podcasts
 * Ad Choices
 * Careers
 * Help
 * Contact

 * 
 * 
 * 
 * 
 * 
 * 
 * 

NEWS TIPS

Got a confidential news tip? We want to hear from you.

Get In Touch

CNBC NEWSLETTERS

Sign up for free newsletters and get more CNBC delivered to your inbox

Sign Up Now

Get this delivered to your inbox, and more info about our products and
services. 

Privacy Policy|Do Not Sell My Personal Information|CA Notice|Terms of Service

© 2022 CNBC LLC. All Rights Reserved. A Division of NBCUniversal

Data is a real-time snapshot *Data is delayed at least 15 minutes. Global
Business and Financial News, Stock Quotes, and Market Data and Analysis.

Market Data Terms of Use and Disclaimers

Data also provided by






COOKIE NOTICE

This Cookie Notice (“Notice”) explains how NBCUniversal and its affiliates
(“NBCUniversal” or “we”), along with our partners, including advertisers and
vendors, use cookies and similar tracking technologies when you use our
websites, applications, such as games, interactive TV, voice-activated
assistants, and other services that link to this policy, as well as connected
devices, including those used in our theme parks (“Services”). This Notice
provides more information about these technologies, your choices, and is part of
the NBCUniversal Privacy Policy available here . You should read the Privacy
Policy and this Notice for a full picture of NBCUniversal’s use of your
information.



WHAT ARE COOKIES AND HOW ARE THEY USED?



Like many companies, we use cookies (small text files placed on your computer or
device) and other tracking technologies on the Services (referred to together
from this point forward as “Cookies”, unless otherwise stated), including HTTP
cookies, HTML5 and Flash local storage/flash cookies, web beacons/GIFs, embedded
scripts, ETags/cache browsers, and software development kits.



First-party Cookies



First-party Cookies are placed by us (including through the use of third-party
service providers) and are used to allow you to use the Services and their
features and to assist in analytics activities.



Third-party Cookies



Certain third parties may place their Cookies on your device and use them to
recognize your device when you visit the Services and when you visit other
websites or online services. These third parties collect and use this
information pursuant to their own privacy policies. Third-party Cookies enable
certain features or functionalities, and advertising, to be provided on the
Services.



Types of Cookies



The Services use the following types of first and third-party Cookies for these
purposes:



Strictly Necessary Cookies: These Cookies are required for Service
functionality, including for system administration, security and fraud
prevention, and to enable any purchasing capabilities. You can set your browser
to block these Cookies, but some parts of the site may not function properly.



Information Storage and Access: These Cookies allow us and our partners to store
and access information on the device, such as device identifiers.



Measurement and Analytics: These Cookies collect data regarding your usage of
and performance of the Services, apply market research to generate audiences,
and measure the delivery and effectiveness of content and advertising. We and
our third-party vendors use these Cookies to perform analytics, so we can
improve the content and user experience, develop new products and services, and
for statistical purposes. They are also used to recognize you and provide
further insights across platforms and devices for the above purposes.



Personalization Cookies: These Cookies enable us to provide certain features,
such as determining if you are a first-time visitor, capping message frequency,
remembering choices you have made (e.g., your language preferences, time zone),
and assist you with logging in after registration (including across platforms
and devices). These Cookies also allow your device to receive and send
information, so you can see and interact with ads and content.
Content Selection and Delivery Cookies: Data collected under this category can
also be used to select and deliver personalized content, such as news articles
and videos.
Ad Selection and Delivery Cookies: These Cookies are used to collect data about
your browsing habits, your use of the Services, your preferences, and your
interaction with advertisements across platforms and devices for the purpose of
delivering interest-based advertising content on the Services and on third-party
sites. Third-party sites and services also use interest-based Advertising
Cookies to deliver content, including advertisements relevant to your interests
on the Services and third-party services. If you reject these Cookies, you may
see contextual advertising that may be less relevant to you.



Social Media Cookies: These Cookies are set by social media platforms on the
Services to enable you to share content with your friends and networks. Social
media platforms have the ability to track your online activity outside of the
Services. This may impact the content and messages you see on other services you
visit.



We and third parties may associate Measurement And Analytics Cookies,
Personalization Cookies, Content Selection, Delivery Cookies, and Reporting, Ad
Selection, Delivery and Reporting Cookies, and Social Media Cookies with other
information we have about you.



COOKIE MANAGEMENT



Depending on where you live, you may be able to adjust your Cookie preferences
at any time via the “Cookie Settings” link in the footer of relevant websites.
You can also use the methods described below to manage Cookies. You must take
such steps on each browser or device that you use. If you replace, change or
upgrade your browser or device, or delete your cookies, you may need to use
these opt-out tools again. As some Cookie-management solutions also rely on
Cookies, please adjust your browser Cookie settings carefully, following the
relevant instructions below.



Browser Controls: You may be able to disable and manage some Cookies through
your browser settings. If you use multiple browsers on the same device, you will
need to manage your settings for each browser. Please click on any of the below
browser links for instructions:



Google Chrome
Apple Safari
Mozila Firefox
Microsoft Internet Explorer



If the browser you use is not listed above, please refer to your browser’s help
menu for information on how to manage Cookies. Please be aware that disabling
cookies will not disable other analytics tools we may use to collect information
about you or your use of our Services.



Analytics Provider Opt-Outs: To disable analytics Cookies you can use the
browser controls discussed above or, for some of our providers, you can use
their individual opt-out mechanisms:



Google’s Privacy Policy and Google Analytics Opt-Out
Omniture’s Privacy Policy and Omniture’s Opt-Out
Mixpanel’s Privacy Policy and Mixpanel’s Opt-Out



The above are examples of our analytics providers and this is not an exhaustive
list. We are not responsible for the effectiveness of any other providers’
opt-out mechanisms.



Flash Local Storage: These cookies are also known as local shared objects and
may be used to store your preferences or display content by us, advertisers and
other third-parties. Flash cookies need to be deleted in the storage section of
your Flash Player Settings Manager.



Interest-Based Advertising: Most third-party advertisers offer a way to opt out
of their interest-based advertising. For more information or to opt out of
receiving interest-based advertising from participating third-party advertisers,
depending on your country of residence, please visit:



Digital Advertising Alliance in the US
Digital Advertising Alliance of Canada
European Interactive Digital Advertising Alliance
Australian Digital Advertising Alliance



You can also opt out of some of the advertising providers we use by visiting
their opt-out pages:



Google’s Privacy Policy and Google Analytics Opt-Out Page
Facebook Privacy Policy and Facebook’s Opt-Out Page
Twitter Privacy Policy and Twitter’s Opt-Out Page
Liveramp’s Privacy Policy and Liveramp Opt-Out Page



These are examples of our advertising providers and this is not an exhaustive
list. In addition, we are not responsible for the effectiveness of any of these
providers’ opt-out mechanisms.



After you opt out, you will still see advertisements, but they may not be as
relevant to you.



Mobile Settings: You may manage the collection of information for interest-based
advertising purposes in mobile apps via the device’s settings, including
managing the collection of location data. To opt out of mobile ad tracking from
Nielsen or other third parties, you can do so by selecting the “Limit Ad
Tracking” (for iOS devices) or “Opt out of Ads Personalization” (for Android
devices) options in your device settings.



Connected Devices: For connected devices, such as smart TVs or streaming
devices, you should review the device’s settings and select the option that
allows you to disable automatic content recognition or ad tracking. Typically,
to opt out, such devices require you to select options like “limit ad tracking”
or to disable options such as “interest-based advertising,” “interactive TV,” or
“smart interactivity”. These settings vary by device type.



Cross-Device Tracking: If you would like to opt out of our browser-based
cross-device tracking for advertising purposes, you may do so by using the
various methods described above. You must opt out separately on each device and
each browser that you use. For more information about cross-device matching,
please visit the Network Advertising Initiative or the Digital Advertising
Alliance. If you opt out of cross-device tracking for advertising purposes, we
may still conduct cross-device tracking for other purposes, such as analytics.



Consequences of Deactivation of Cookies: If you disable or remove Cookies, some
parts of the Services may not function properly. Information may still be
collected and used for other purposes, such as research, online services
analytics or internal operations, and to remember your opt-out preferences.





CONTACT US



For inquiries about this Cookies Notice, please contact us at Privacy@nbcuni.com
or Chief Privacy Officer, NBCUniversal Legal Department, 30 Rockefeller Plaza,
New York, NY 10112, US.



For inquiries from users who reside in the European Economic Area, the United
Kingdom or Switzerland, please contact us at Privacy@nbcuni.com or Privacy,
Legal Department, Central Saint Giles, St Giles High Street, London, WC2H 8NU,
UK



CHANGES TO THIS NOTICE



This Notice may be revised occasionally and in accordance with legal
requirements. Please revisit this Cookie Notice regularly to stay informed about
our and our analytic and advertising partners’ use of Cookies.

STRICTLY NECESSARY COOKIES

Always Active

These Cookies are required for Service functionality, including security and
fraud prevention, and to enable any purchasing capabilities. You can set your
browser to block these Cookies, but some parts of the site may not function
properly.


BACK BUTTON PERFORMANCE COOKIES



Vendor Search Search Icon
Filter Icon

Clear
checkbox label label
Apply Cancel
Consent Leg.Interest
checkbox label label
checkbox label label
checkbox label label

Close