Welcome to our dedicated page for Zillow Group news (Ticker: Z), a resource for investors and traders seeking the latest updates and insights on Zillow Group stock.
Zillow Group, Inc. (Nasdaq: Z and ZG) generates a steady stream of real estate news and housing market analysis through its Zillow-branded reports and research. As an Internet-based real estate company and the operator of what it describes as the most visited real estate app and website in the United States, Zillow Group regularly publishes updates on home values, affordability, mortgage trends and competition across major U.S. metropolitan areas.
News about Zillow Group often centers on its housing market reports, which track metrics such as the share of household income needed for a typical mortgage payment, changes in inventory, price cuts, rent growth and regional differences in market heat. The company also releases forecasts that outline expected home value growth, mortgage rate paths and affordability conditions in coming years, as well as rankings of markets it identifies as hottest or most popular for home shoppers.
In addition to macro-level market coverage, Zillow Group’s news includes consumer research and behavior insights, such as how buyers and sellers choose real estate agents, what features home shoppers search for most, and how search patterns vary by state or region. The company highlights tools on its platform, including affordability calculators, down payment assistance information and its BuyAbility feature, in the context of these reports.
This news page aggregates press releases, analyses and company updates related to Zillow Group’s role in the U.S. housing market. Readers can use it to follow changes in affordability, monitor which metros Zillow identifies as especially competitive, and see how the company’s data and tools are being applied to topics ranging from wildfire impacts on housing to seasonal shifts in listings and sales activity.
Zillow's recent survey of housing experts indicates a significant shift towards a buyer's market by the end of 2023, driven by high mortgage rates reducing competition. Key insights from the survey include:
- Southern and Midwestern metros show resilience in home prices, while vacation areas may face declines.
- Rent growth is projected at 5.4% in 2023, outpacing inflation and home price appreciation.
- Despite a slight increase in expected home price appreciation to 9.8%, 67% of panelists express concerns over an overly optimistic outlook.
Zillow Group has launched ShowingTime+, a new integrated brand that combines its leading technology services for real estate professionals. This suite includes ShowingTime, dotloop, Bridge Interactive, and 3D Home tours, aimed at streamlining the real estate transaction process. With the average agent using over 12 software products, ShowingTime+ seeks to reduce transaction friction and enhance client experiences. The platform currently serves over 1 million professionals across the U.S. and Canada.
The HBCU Housing Hackathon organized by Zillow on Sept. 21, 2022, showcased innovative solutions for home seekers, attracting over 200 students from Historically Black Colleges and Universities. The first prize of $20,000 went to Team ZillowBears of Morgan State University for their 'Z-Save' app, which aids users in estimating mortgage costs and improving their creditworthiness. The event also provided $25,000 to Morgan State's computer science program. Other winners included teams from Fisk University and Howard University.
The latest Zillow market report reveals that the U.S. typical home value decreased by 0.3% from July to August, marking the largest decline since 2011. Despite this, home values are up 14.1% year-over-year, now averaging $356,054. High mortgage rates are hindering buyer confidence and affordability, with the average monthly mortgage payment skyrocketing by 83% since August 2019. Inventory rose by 1% but reflects slower sales rather than new listings. The share of homes with price cuts increased to 28%, signaling a shift in the market dynamics.
Record High Rents Stress Renters: A recent Zillow survey reveals that 77% of renters made compromises to secure rental properties amidst soaring monthly rents averaging $2,031. A staggering 38% of renters cite unaffordable rent as the primary stressor, sparked by a 24% increase in rent over the last two years. Moreover, 40% of renters reported losing sleep during their searches. As competition intensifies, many are settling for smaller spaces or lacking desired features.
Zillow has introduced a new feature allowing users to hide homes they aren't interested in, improving their home search experience. This tool aims to declutter search results, making it easier for buyers to focus on properties that match their preferences. The number of homes for sale remains near record lows, leading to longer search times for buyers. This feature is part of Zillow's ongoing efforts to enhance user experience with personalized tools, including multi-location searches and side-by-side home comparisons.
Sales of homes priced at $1 million or more more than doubled since 2019, reaching a record 90,110 transactions in 2022. The pandemic fueled demand, driven by low interest rates and economic growth. However, median home sizes decreased nearly 500 square feet from their 2020 peak, impacting buyers in major markets like Phoenix and Nashville. Portland led the sales increase at 253%, while Boston saw a 32% decline. The average price per square foot varies greatly, with Hartford offering the most space for $1 million, averaging 4,873 square feet at $205 per square foot.
The rising popularity of adjustable-rate mortgages (ARMs) indicates minimal risk of a housing market crash, according to Zillow's analysis. Applications for ARMs peaked at 12.6% in June and 12.2% in July, marking the highest levels since 2007. Recent ARM borrowers earn a median income of $165,000 and typically make down payments of 23.6%, showcasing their financial strength. However, Black mortgage borrowers remain more cautious with ARMs, reflecting past experiences in the housing market. The current housing market is characterized by tighter lending standards and a solid foundation compared to previous years.
Zillow has introduced a new filter allowing renters to search listings by move-in date, potentially saving thousands in today’s competitive market. This feature aims to help renters align lease dates, avoiding double rent payments, as average U.S. rents surpass $2,000. The Zillow app's Renter Hub also enhances user experience by organizing rental inquiries and communications. Additional features include multilocation search, Bike Score assessments for properties, and upcoming in-app updates for renter profiles. These tools respond to increasing rental demand as many buyers choose to rent due to high mortgage costs.
The Zillow July 2022 market report reveals a 0.1% decline in U.S. home values, the first drop since 2012. The typical home now values at $357,107, reflecting a 16% increase year-over-year despite the decline. Inventory is up 5.1% monthly, signifying a shift towards a more balanced market, though still 43.5% below July 2019 levels. Rent appreciation is stabilizing at $2,031 monthly, with growth slowing. Notably, home values fell in 30 of the 50 largest metro areas, while Miami saw a monthly increase of 1.5%.
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