By CNBC
The biggest retailer on the planet is getting in the real estate space.
Amazon partnered up with Realogy to beef up its presence in the real estate market. Realogy Holdings Corp., is the largest residential real estate company in the U.S.
Last year, Amazon partnered with Lennar Homebuilders to incorporate Amazon’s Echo products integrated with the home building. From automated key locks to Ring automated doorbell will be completely installed.
On one hand, they want to be in every part of the transaction, either the front end of the purchase transaction cycle or the back end, but most importantly, Amazon wants to be inside our homes. Don’t forget integrating the convenience of Amazon Prime into the mix.
Amazon Turnkey Portal works with consumers by signing up in their portal and listing the things they want with shopping for a home. Buyers will be matched to major real estate agents from Century 21, Sotheby’s International, Coldwell Bankers etc. to help you buy your dream home.
After the buyer closes with the property, you will be connected with all the Amazon services and products that you’ll eventually need. Experts in the neighborhood- such as a handyman, furniture assembly, house cleaner and carpet cleaner etc. will be available to you via their services.
The free move-in benefit is tiered depending on the value of the home you bought.
Range of benefits are:
- $150K-$399K- $1000 worth of products and services.
- $400K-$699K- $2500 worth of products and services
- $700k+ – $5000 worth of products and services
Amazon has already taken the lead in voice active assistants, garnering 2/3 share of the home service industry.
There are still enough room for other players.
Since the real estate and mortgage industry hasn’t quite fully digitized yet. Apple and Google are still in the game. Buying the biggest investment of your life is not yet the realm of the big tech companies. Surely, they tried already.
Zillow and Redfin tried to be the leader of the space by cornering audiences for home listings and market analysis, but winding up diluted in the industries existing ecosystem rather than remaking the service into their own image.
Last year, Amazon developed a show and sell strategy that demonstrate the opportunity of a smart home installed with Alexa generated products and it integrates in all parts of the home.
Strategically, the vision here is integrated all Amazon services from the very beginning of the process of home buying to the small products around it for the long run.
Smart installed technology is the main target. This is one of the long-term scenarios that Amazon builds. It will encompass reliance on their home products in decades to come and be the industry leader in the smart home of the future.
Now question is, “do you like Alexa in every aspect of your life, all the time?”
Read more: https://www.latimes.com/business/story/2019-07-23/amazon-realogy-partnership-housing
