ZILLOW GROUP INC - ZG STOCK NEWS

Zillow's latest market report indicates a moderation in the housing market following a period of intense demand. Home values rose 1.3% in October, down from a peak of 2% in July, with the U.S. median home value now at $312,728. Annual growth is at 19.2%, the highest since 2000. Listings are taking longer to sell, with inventory down 17.4% year-over-year. Rent growth is also slowing, at 0.8% month-over-month. The competitive landscape is easing, providing buyers with more time and potentially lower prices.

The Thanksgiving kitchen is under pressure, and Zillow's research shows that certain high-end features significantly enhance homes' resale value. Key findings include:

• Steam ovens can increase selling prices by 4.9%.
• Butcher blocks sell homes 2.7% higher and faster by four days.
• Smart appliances command a 3.0% price increase.
• Quartz countertops add 3.2% in value.
• Dual-fuel ranges can raise sale prices by 2.2%.

These features not only improve functionality but also cater to buyers' preferences.

Zillow Group (NASDAQ: Z, ZG) reported Q3 2021 financial results, including a consolidated revenue of $1.7 billion, a 164% increase year over year. However, the company announced it would wind down Zillow Offers, its iBuying service, affecting approximately 25% of its workforce due to unpredictability in home price forecasting. Homes segment revenue fell to $1.2 billion, below estimates, with a reported net loss of $328 million. The company ended Q3 with cash and investments totaling $3.2 billion.

Zillow has launched an interactive virtual haunted house experience titled '667 Dead End Drive' to celebrate Halloween. This unique 3D Home tour allows visitors to explore a fictitious mansion haunted by the ghost of its former owner, Edith Thistle.

Through this immersive experience, users can search for clues related to her demise while navigating dark hallways and eerie apparitions. This tour showcases Zillow's innovative 3D technology, enhancing user engagement with the platform. Although the haunted house is not for sale, Zillow continues to captivate users with its creative listings.

New Zillow data reveals that pet ownership among home buyers has surged during the pandemic, rising from 64% in 2020 to 73% in 2021. Buyers with pets tend to purchase larger homes, with 17% opting for homes over 3,000 square feet, versus 10% of non-pet owners. Additionally, 36% of pet owners bought homes with four or more bedrooms. The demand for private outdoor spaces also increased among pet owners (73% deemed it very important) compared to 65% of those without pets. The trend highlights how pets influence housing preferences and moving decisions.

The Zillow market report for September indicates a modest cooling in the housing market, with the Zillow Home Value Index reaching $308,220, reflecting a 1.6% increase from August and an 18.4% annual growth. Buyers are experiencing slightly more inventory, with homes taking an average of nine days to sell, one day longer than in August. The inventory shortage persists, down 19.9% year-over-year. Meanwhile, rental prices have risen 12.9% annually, hitting $1,888. Zillow economists anticipate 13.6% growth in home values over the next year, supported by robust sales activity.

Zillow Group (NASDAQ: Z, ZG) will release its third quarter 2021 financial results after market close on November 2, 2021. Following the announcement, a conference call and webcast will be held at 2 p.m. PT / 5 p.m. ET to discuss the results. Investors can register in advance for the call to reduce delays. More details and the live webcast will be available on the Investor Relations website.

Zillow announced a pause on new contracts for its Zillow Offers business until year-end due to renovation backlogs and operational capacity limitations in a challenging real estate market. This decision allows Zillow to concentrate on closing existing contracts and managing its current home inventory. The company continues to connect prospective sellers with local Premier Agent partners while maintaining sales of homes already under contract. Zillow operates as a leading real estate website, providing an integrated experience for buying and selling homes.

SEATTLE, Oct. 14, 2021 /PRNewswire/ -- A Zillow analysis reveals that the ongoing housing demand is influenced by demographics rather than a pandemic-driven surge. Millennials and baby boomers are the primary buyers, with median buyer age rising from 40 to 44 since 2009. Despite millennials being the largest group, older buyers are more active, contributing to competition. Baby boomers leverage home equity, giving them an edge. Home values rose 31.2% from 2009 to 2019, further intensifying the market. Recent trends show a decline in first-time homebuyers, down from 46% in 2018 to 37% in 2021.