Spring housing market accelerates despite mortgage rate spike, Zillow's March Market Report shows
Rhea-AI Summary
Zillow (NYSE: Z) reported the U.S. housing market accelerated in March despite rising mortgage rates. Newly pending listings totaled 281,546, up 4.6% YoY and 29.8% MoM, while the Zillow Home Value Index rose 0.6% MoM and typical U.S. home value was $365,545.
Mortgage rates climbed from 5.98% in late February to 6.38% in late March, pushing the typical mortgage payment up and trimming affordability gains as inventory increased.
Positive
- Newly pending listings +29.8% month-over-month (March)
- Preliminary March sales +25.2% month-over-month
- New for-sale listings +35.6% from February
Negative
- Mortgage rates rose to 6.38% in late March from 5.98% in February
- Typical mortgage payment rose 1.5% from February, reducing affordability
News Market Reaction – Z
In the Apr 6 session, Z gained 2.59%, reflecting a moderate positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Apr 02 | Market ranking report | Positive | +0.3% | Named Jacksonville and other metros top markets for first-time buyers. |
| Mar 25 | Product adoption update | Positive | -3.8% | Announced rapid brokerage uptake for Zillow Preview pre-market listings. |
| Mar 25 | AI product launch | Positive | -3.8% | Debuted Zillow AI mode to guide users through housing search steps. |
| Mar 24 | AI summit strategy | Positive | +1.1% | Outlined AI-native housing platform and reiterated 2026 guidance and targets. |
| Mar 24 | Guidance correction | Neutral | +1.1% | Issued correction reiterating previously disclosed AI summit guidance details. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Recent positive platform and strategy updates have produced mixed reactions, with some upbeat announcements followed by negative price moves and others aligning with gains.
Over the past weeks, Zillow has highlighted strategic and market-position updates. On Mar 24, the AI Summit for Investors reaffirmed $700M–$710M Q1 revenue guidance and mid-cycle targets of $5B revenue with a 45% Adjusted EBITDA margin and 25% net income margin, with a modestly positive price reaction. Subsequent AI product launches and the first-time-buyer market ranking have shown that news flow is generally constructive, though price responses have varied between mild gains and selloffs.
Key Terms
zillow home value index (zhvi) financial
zillow observed rent index (zori) financial
nowcast technical
AI-generated analysis. How Rhea-AI works. Not financial advice.
Pending sales posted their largest March increase in five years
Mortgage rates climbed from
Even so, demand held firm, with average daily page views per for-sale listing on Zillow
There were 281,546 newly pending listings in March — only May 2025 saw a higher total since August 2022. Both the
Home values continued to rise modestly, up
"Buyers and sellers have been navigating uncertainty and market volatility in some form since the onset of the pandemic, and this month's concern over energy prices is no different," said Mischa Fisher, chief economist at Zillow. "However, we have persistent signals that the market has turned a corner. Pent-up demand from three years of low sales volume and winter storms in January and February, along with the tailwind from lower mortgage rates earlier in the year, seem to have buoyed the market as home shopping season kicked off. In particular, the rapid acceleration of daily page views per listing we saw in March was a noteworthy improvement over the dormant market of recent years."
Home Values & Mortgage Payments
- The typical
U.S. home value is$365,545 - The Zillow Home Value Index (ZHVI) rose
0.6% month over month in March. Home values are0.8% higher than a year earlier. - The monthly mortgage payment on a typical
U.S. home is$1,789 20% down payment and excluding taxes and insurance. That is4.4% lower than last year.
Inventory
- There were 1.23 million homes for sale nationwide in March.
- Active inventory was
4.2% higher than a year earlier. Inventory rose9.5% from February. - New for-sale listings totaled 384,854 in March, up
0.1% from a year earlier and up35.6% from February.
Sales
- Newly pending listings, which measures listings that changed from for-sale to pending status rather than closed sales, shows
4.6% growth from a year earlier and a29.8% increase over February. - 300,398 homes were sold in March, according to the preliminary Zillow sales count nowcast. That is
3.7% higher than a year earlier and up25.2% from February. These figures will be revised mid-month.
Competition
- Homes took a median of 19 days to go pending in March. That was two days longer than a year earlier and nine days shorter than February.
- The share of listings with a price cut in March was
22.6% . That was down 0.8 percentage points from a year earlier and up 2.4 percentage points from February.
Rents
- The typical rent nationwide is
$1,910 1.8% higher than a year earlier and up0.6% from February. 39.8% of rental listings on Zillow offered a concession in March. That's flat from a year earlier and up 0.6 percentage points from February.
Local data can be found on Zillow's market explorer. The Zillow April Market Report is expected to be released May 6.
Zillow March Market Report | |||||||
Metro Area* | Typical | Home | Home | Inventory | Typical | Rent | Rent |
0.6 % | 0.8 % | 4.2 % | 0.6 % | 1.8 % | |||
0.7 % | 4.4 % | -1.6 % | 0.9 % | 4.2 % | |||
0.8 % | -0.2 % | 4.9 % | 0.5 % | 0.8 % | |||
0.8 % | 4.5 % | -1.6 % | 1.1 % | 5.6 % | |||
0.3 % | -3.3 % | 3.8 % | 0.4 % | -0.1 % | |||
0.3 % | -1.9 % | 11.9 % | 0.1 % | -0.9 % | |||
0.6 % | -0.5 % | 9.5 % | 0.6 % | -0.1 % | |||
0.8 % | 2.8 % | 1.2 % | 0.4 % | 3.4 % | |||
0.4 % | -3.1 % | -8.4 % | 0.3 % | 0.7 % | |||
0.3 % | -2.2 % | 3.2 % | 0.3 % | 1.2 % | |||
0.8 % | 1.7 % | 6.8 % | 0.9 % | 2.0 % | |||
0.3 % | -1.6 % | 4.6 % | 0.4 % | -0.8 % | |||
1.6 % | -1.2 % | -7.1 % | 1.1 % | 6.4 % | |||
0.5 % | -1.1 % | -2.1 % | 0.4 % | 1.8 % | |||
0.8 % | 3.1 % | 14.3 % | 0.3 % | 2.3 % | |||
0.5 % | -1.8 % | 23.8 % | 0.4 % | 1.5 % | |||
0.7 % | 2.2 % | 15.1 % | 0.4 % | 3.6 % | |||
1.0 % | -1.4 % | 2.8 % | 0.4 % | 1.4 % | |||
0.4 % | -3.4 % | -2.6 % | 0.2 % | -1.6 % | |||
0.5 % | -2.9 % | 4.4 % | 0.6 % | -1.2 % | |||
0.7 % | 1.0 % | 6.9 % | 0.2 % | 2.1 % | |||
0.9 % | 3.0 % | 5.5 % | 0.5 % | 3.8 % | |||
0.3 % | -3.1 % | -2.2 % | 0.4 % | 0.0 % | |||
0.5 % | -0.4 % | 10.9 % | 0.5 % | 0.5 % | |||
0.4 % | -1.9 % | 7.8 % | 0.6 % | -1.6 % | |||
0.5 % | -0.9 % | 10.2 % | 0.5 % | 0.9 % | |||
0.7 % | -1.6 % | -0.7 % | 0.4 % | 1.7 % | |||
0.5 % | 1.1 % | 7.1 % | 0.6 % | 3.9 % | |||
0.9 % | 2.7 % | 13.3 % | 0.8 % | 3.6 % | |||
0.1 % | -5.9 % | 2.1 % | 0.4 % | -2.3 % | |||
0.3 % | -2.7 % | 8.7 % | 0.3 % | -0.4 % | |||
1.0 % | 3.5 % | 5.3 % | 0.5 % | 3.2 % | |||
0.7 % | 1.3 % | 7.3 % | 0.8 % | 1.7 % | |||
0.6 % | 1.5 % | 15.6 % | 0.6 % | 2.6 % | |||
0.9 % | 4.5 % | 4.3 % | 0.1 % | 4.6 % | |||
1.3 % | -1.8 % | 7.6 % | 0.7 % | 4.8 % | |||
0.5 % | -0.7 % | 12.9 % | 0.2 % | -0.2 % | |||
0.7 % | 2.4 % | 2.6 % | 0.7 % | 6.0 % | |||
0.7 % | 3.1 % | -5.1 % | 0.9 % | 4.9 % | |||
0.3 % | -1.6 % | -11.4 % | 0.4 % | 0.6 % | |||
1.3 % | 5.7 % | 12.0 % | 0.7 % | 3.6 % | |||
0.4 % | 1.4 % | 10.2 % | 0.5 % | 2.8 % | |||
0.5 % | -2.1 % | 26.0 % | 0.5 % | 0.2 % | |||
0.5 % | 0.2 % | 13.9 % | 0.4 % | 0.9 % | |||
0.8 % | 2.2 % | 10.3 % | 0.5 % | 3.6 % | |||
0.6 % | 2.4 % | 23.4 % | 0.6 % | 2.4 % | |||
0.5 % | 3.0 % | 3.9 % | 0.4 % | 0.0 % | |||
0.3 % | 1.5 % | 10.0 % | 1.0 % | -0.6 % | |||
1.1 % | 5.3 % | -7.5 % | 0.8 % | 2.9 % | |||
1.0 % | 4.7 % | 11.3 % | 0.5 % | 4.0 % | |||
0.9 % | 2.2 % | 12.1 % | 0.5 % | 1.6 % | |||
*Table ordered by market size |
Forward-looking statements
This press release includes forward-looking statements about future housing market conditions, mortgage rates, rental trends and other economic factors. These statements are based on current expectations and assumptions, which are subject to change. Actual outcomes may differ materially due to changes in economic and market conditions. Forward-looking statements speak only as of the date of this release, and Zillow Group undertakes no obligation to update them.
About Zillow Group
Zillow Group, Inc. (Nasdaq: Z and ZG) is reimagining real estate to make home a reality for more and more people.
As the most visited real estate app and website in
Zillow's ecosystem spans the entire home journey — from dreaming and shopping to renting, buying, selling and financing.
Zillow Group's affiliates, subsidiaries and brands include Zillow®, Zillow Premier Agent®, Zillow Home Loans®, Zillow Rentals®, Zillow® New Construction, Trulia®, StreetEasy®, Out East®, HotPads®, Follow Up Boss®, ShowingTime®, dotloop® and Zillow® Closing.
All marks herein are owned by MFTB Holdco, Inc., a Zillow affiliate. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org). © 2026 MFTB Holdco, Inc., a Zillow affiliate.
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SOURCE Zillow