ZILLOW GROUP INC - ZG STOCK NEWS

Zillow has unveiled significant upgrades to its Zestimate home valuation model, enhancing its responsiveness to market trends and improving the national median error rate to 6.9%. The new algorithm utilizes neural networks and incorporates extensive property data, enabling faster processing times and more precise home value estimates. This accuracy boost is expected to increase the number of homes eligible for cash offers by 30%, expanding Zillow's home buying program. With over 104 million homes valuation, these updates signify a noteworthy advancement in real estate technology.

Experts from the Zillow Home Price Expectations Survey emphasize that relaxing zoning rules is crucial to increasing housing supply as inventory reaches historic lows. Anticipated new construction growth is expected to decline 2.5% below December 2020 levels by year-end, primarily due to high costs of labor and materials. The expert panel predicts an 8.7% home value growth in 2021, the highest since 2010, while homeownership among those aged 35-44 is expected to decline slightly by 2026 due to affordability challenges.

The latest Zillow analysis reveals a significant trend in 2020, indicating that Americans moving out of urban areas opted for larger homes in more affordable locations. The average home size in destination ZIP codes increased by 33 square feet, while typical home values dropped by approximately $27,000. Top destinations for movers included Phoenix, Charlotte, and Austin, driven by remote work flexibility and declining interest rates. Overall, home values appreciated by 8.4% in 2020, showcasing a shift towards less urban areas and greater living space preferences.

A new Zillow analysis reveals that homes listed on Thursdays sell faster and are more likely to exceed their asking price compared to those listed on other days. Nationally, 21% of homes are listed on Thursdays, with Seattle and Portland leading the way at over a third. Homes listed on Sundays take the longest to sell, averaging eight days more than Thursday listings. Despite the pandemic's impact, the housing market remains competitive, and technology like virtual tours is influencing sales dynamics.

Zillow has enhanced its connections experience for Zillow Premier Agent partners, enabling them to connect with potential buyers 45% faster than traditional phone calls. The updated app allows agents to access detailed customer insights upon connection, promoting effective rapport-building. Agents can now view multiple homes of interest during a single connection request, improving service quality. These improvements aim to help agents set more appointments, with in-app users experiencing a 7% higher appointment rate. The updates are set to be fully available on iOS and Android in summer 2021.

April's Zillow Market Report highlights a significant annual home value growth of 11.6% for typical U.S. homes, the highest since 2005, despite fears of a housing bubble. Strong fundamentals support today's market, with well-qualified buyers driving demand. Homes are selling rapidly, typically within seven days of listing. The Zillow Home Value Index indicates a value of $281,370. The report forecasts another year of robust home value appreciation, with an expected 11.8% growth through April 2022, alongside notable rent growth.

According to a joint survey by Rover and Zillow, 24% of U.S. dog owners have relocated since March 2020, influenced by pandemic-induced pet adoption and changing family dynamics. 62% are open to moving for their dogs' needs. Zillow's home trends expert highlighted that homes featuring dog houses sold 3% above expectations, and those with fenced yards sold quicker. The report identified the Top Emerging Dog-Friendly Cities for 2021: Denver, Orlando, and Anaheim. Features like fenced yards are highly sought after, with 86% of respondents valuing dog-friendly amenities.

On May 10, 2021, a survey revealed that the competitive real estate market is challenging for buyers, with agents submitting nearly four offers per client before one is accepted. Despite this, home shoppers are successfully finding homes with their agents' help. Key strategies include all-cash offers, which 41% of agents found most effective, while 31% of clients are utilizing virtual tours to save time. However, risky tactics like waiving inspections can lead to costly consequences for buyers. Zillow emphasizes the importance of having knowledgeable agents to navigate this demanding market.

Zillow's latest research reveals that homes with kid-friendly features are in high demand, rapidly selling for above market value. Key findings include listings with a treehouse selling for 2.2% more than expected and homes with backyards selling 5.2 days faster than average. Families prioritize amenities like parks and walkable neighborhoods, influencing their purchasing decisions. With mortgage rates at record lows, buyers are encouraged to act swiftly in this competitive market. The study analyzed approximately 1.4 million home sales from 2020 to establish these trends.