FTC Settlement Forces Redfin Back Into Rental Listings Market, Reshaping $100 Million Zillow Deal

CoStar completed an $800m acquisition of Zonda, expanding into residential construction data. Zillow's Zestimate has median error rates of 1.8% for listed homes and 7.2% for off-market homes. Zillow faced a $881m pre-tax loss in its Homes division and an FTC settlement over a deal with Redfin. NAR settled litigation and amended MLS rules, but data access remains contested. Tech giants plan significant data center investments, with location priorities shifting.

Zillow and Redfin settled FTC allegations over a $100M deal to halt rental listing competition. The FTC claimed the agreement raised costs for landlords and reduced listing quality. Redfin will resume rental ads within six months but can keep Zillow ads. Both companies and involved states called the settlement a victory.

The FTC settled an antitrust case with Zillow and Redfin, requiring them to unwind a 2025 agreement where Zillow paid Redfin $100M to exit the apartment listing market. Redfin must relaunch its rental advertising business within six months of the order's finalization, with Zillow providing support. Both companies must comply for 10 years, and they will pay $2M to reimburse state attorneys general.

Redfin, a Rocket Companies subsidiary, reached a resolution with the FTC and five states, extending its partnership with Zillow for multifamily rental listings and lead payments through 2030. Redfin retains $100 million from the original agreement and can now build a standalone rentals advertising business and compete directly with Zillow.

Redfin, part of Rocket Companies (RKT), reached a resolution with the FTC, allowing it to keep its partnership with Zillow for multifamily listings and payments through 2030. The agreement also lets Redfin compete directly with Zillow in multifamily advertising. Redfin will retain the $100 million received under the original agreement.

Zillow (Z) and Redfin (RDFN) settled lawsuits alleging their partnership reduced competition for online rental listings. The FTC and five states claimed the $100M deal violated antitrust laws. Under the settlement, both companies must create standalone rental advertising products by 2025 but can continue listing syndication. They will pay $2M in fees. Zillow and Redfin dispute the claims, arguing the partnership benefits renters and landlords.