ZILLOW GROUP INC - ZG STOCK NEWS

As of September 17, 2020, Zillow reports that rent prices in college neighborhoods have decreased due to widespread remote learning amid the pandemic. A significant 44% of U.S. colleges are operating primarily online, causing average rents in college areas to drop by 0.5% year-over-year by August, marking the first decline since at least 2017. In contrast, rents in non-college areas rose by 2.6% annually. Landlords are responding with increased rent concessions, which have nearly doubled since February. The report underlines a shifting rental landscape, particularly affecting areas populated by students.

The latest Zillow analysis reveals mid-sized U.S. cities such as Boise, Huntsville, and Portland (ME) are emerging as top housing markets, surpassing major coastal cities.
These markets are appealing due to affordable home prices and increasing values, with Boise home values up 11.8% and Huntsville by 11.5% year-over-year. The report highlights buyer trends in seeking larger spaces and dedicated office areas, driven by remote work opportunities. The analysis evaluated factors like home value growth and sales over list price.

According to Zillow's Weekly Market Report, buyer demand and rising prices continued into September 2020. Newly pending sales surged 25.5% year-over-year, marking the highest increase since 2019. The median sale price rose to $281,844, a 7.8% annual increase. While overall housing inventory tightened by 29% compared to 2019, new listings increased by 16.2% month-over-month. Optimism is reflected in the Fannie Mae Home Purchase Sentiment Index, which rose in August. Despite a robust housing market, ongoing economic challenges persist, including high unemployment claims.

Zillow has launched its Zillow Offers service in Jacksonville, marking the 25th U.S. market for the program and the fourth in Florida. Homeowners can now sell directly to Zillow, receiving a cash offer by entering their address online. The service allows sellers to choose their closing date, enhancing convenience especially during the pandemic. A recent Zillow survey noted a 43% increase in interest for online home selling during this time. Zillow ensures minimal contact through strict health protocols, including protective gear for staff during in-person interactions.

SEATTLE, Sept. 8, 2020 /PRNewswire/ -- Zillow's analysis reveals that nearly two million renter households could afford a typical U.S. starter home if remote work becomes a long-term option. In cities like San Francisco, 22% of renters priced out of homeownership can afford monthly payments on a starter home priced at $725, compared to $5,181 in the city. Millennials make up nearly half of these potential buyers. While the pandemic has altered housing preferences, proximity to work and other factors will influence their decisions.

Zillow's Weekly Market Report highlights a competitive U.S. housing market driven by low supply and high buyer demand. Total for-sale inventory has decreased for 13 consecutive weeks, down 29.1% year-over-year. Despite rising median list prices, which are 8.9% higher than last year, new listings rose 3.5% month-over-month, signaling potential relief for buyers. Homes are selling 13 days faster than last year. Notably, newly pending sales increased by 18.4% year-over-year, the highest gain since November 2019. Mortgage rates remain low, aiding market activity.

Dotloop has integrated California Association of Realtors® (C.A.R.) Standard Forms into its platform, facilitating a fully digital transaction process for over 200,000 members. This integration allows California agents to access necessary forms directly, streamlining the closing process. Dotloop supports over 7,000 brokerages in the U.S. and Canada, offering features like document editing, eSigning, and strong compliance tools. This enhancement is expected to provide California brokers and agents with a competitive edge in the real estate market.

As of July, the prevalence of rental concessions on Zillow listings has increased significantly, reaching 30.4% compared to 16.2% in February. This rise reflects landlords' efforts to attract tenants in a softened rental market due to the pandemic. The most common concession is free rent, comprising 90.8% of listings, with a median of six weeks offered. Major cities like Washington D.C. (57.5%) and Charlotte (53%) show substantial increases in concessions. Notably, concessions are more prevalent in multifamily rentals, highlighting urban rental market challenges.