Nextdoor turns to real estate listings for monetization
Nextdoor, the social media platform for neighborhoods, is rolling out a real estate listings feature, showcasing housing for sale in local communities.
The idea is to formalize behavior that’s been happening organically, suggests CEO Nirav Tolia. “These real estate conversations are already happening,” he said, so Nextdoor wanted to devote a section to it.
The feature isn’t just for those looking to buy homes. It also aims to help users assess the changing real estate prices in their respective communities. “People spend the majority of their net worth on their homes, and they want to know how those home values are doing over time.”
It will also bring in revenue for the billion-dollar company, with real estate agents sponsoring the section. Tolia called it Nextdoor’s second major monetization effort, saying that this will help it add new streams beyond in-feed advertising.
People use Nextdoor as a forum for everything from local events to crime. Users need to verify their address before joining.
Tolia wouldn’t share user numbers, but says he expects that at least 50 percent of the households in the San Francisco Bay Area will be using the platform by the end of the year. He says the demographic is 60 percent female, with $100,000 or more in household income.
Tolia says that Nextdoor expects to be in 85 percent of U.S. neighborhoods by the end of the year. It is also available in Germany and wants to expand into India, Japan and Brazil.
The company has raised more than $200 million in funding from firms like Benchmark, Greylock and Kleiner Perkins over the past five years but is not ready to go public in the near future. Tolia says he wants to build a “standalone independent company” but says there is “no timeline for an IPO.”