Zillow Group reports on a real estate technology platform that connects consumers with homes, rentals, real estate agents, loan officers and housing providers. Company updates commonly cover financial results across residential, rentals, mortgages and for-sale activity, along with products such as Zillow Showcase, Zillow Home Loans, Zillow Rentals, Zillow New Construction, ShowingTime, dotloop and agent software tools.
News also includes Zillow housing-market research, including home value, rent, inventory, affordability and buyer-engagement data. Other recurring themes include pre-market listing products such as Zillow Preview, brokerage participation, marketplace transparency, AI-enabled search tools and services for renters, buyers, sellers and real estate professionals.
In September 2020, U.S. home sales accelerated, with homes going under contract in just over 16 days, a significant improvement of 44% year-over-year. Entry-level homes were the fastest sellers, averaging 14 days on the market. Despite lower inventory levels, demand remains strong, with 12% of buyers willing to purchase sight-unseen. High-end homes, however, are taking longer to sell, averaging 33 days. Analysts suggest that the fall market resembles typical spring activity, posing questions about future trends amidst low mortgage rates and ongoing economic uncertainty.
The latest Zillow Real Estate Market Report reveals a robust recovery in the housing market, with the typical home value rising to $259,906 in September, marking a 5.8% annual increase. This report highlights significant growth metrics, including a 0.8% month-over-month rise, the largest since November 2005, and a 2.2% quarterly increase, the highest since 2013. Zillow forecasts a 7% growth in home values for the upcoming year due to heightened demand and limited inventory, which has caused intense bidding wars among buyers.
Zillow Group (NASDAQ: Z, ZG) announces the appointment of Claire Cormier Thielke to its Board of Directors, effective immediately. Thielke, currently managing director at Hines Asia Pacific, brings extensive experience in operations and real estate financing. The board believes her expertise will be crucial in navigating Zillow's evolution into Zillow 2.0. Thielke has a strong academic background with degrees from Stanford University and has previously held various board positions. This leadership change aims to strengthen Zillow's position in the real estate market.
On October 15, 2020, StreetEasy launched its new AI-powered home valuation tool tailored specifically for NYC homeowners and sellers. The StreetEasy Valuation provides a current market value estimate for homes, available only to owners. It includes features like a private dashboard, agent connections, and a content hub with selling tips. This tool takes into account unique NYC housing characteristics and is designed to adapt to ongoing market trends. Currently available for numerous homes, the company aims to expand this service across NYC and NJ.
Zillow data indicates a surge in vacation home markets, with page views of for-sale listings increasing nearly 50% year-over-year. Areas seeing a rise in popularity include Jersey Shore, Cape Cod, Key West, and Myrtle Beach. New pending sales in vacation-home markets are up by at least 30% in over half of these regions, compared to a national increase of 22.2%. This trend reflects shifting buyer priorities post-pandemic, as many seek homes in scenic locations. Zillow emphasizes that highly favored listings tend to sell faster and for higher prices.
As of October 2020, Latinx households in the U.S. have achieved a homeownership rate of 48.9%, the highest since 2008. Latinx individuals represent about 18% of the U.S. population and have accounted for over 60% of new homeowners in the past decade. Despite these gains, challenges persist, including a significant wealth gap compared to white households. Latinx homeownership lags behind rates for other ethnic groups, with systemic barriers continuing to hinder progress. First-time home buyers within this demographic often face financial hurdles, impacting their broader life decisions.
Zillow's Weekly Market Report reveals robust home price momentum into early October, with a median list price increase of 10.9% year-over-year, reaching $345,225. Despite a seasonal slowdown in pending sales, down 2.2% weekly, the extremely low inventory continues to favor sellers. Total inventory has decreased by 35.7% compared to last year. While buying activity cools, strong demand persists amidst dwindling supply. The report highlights a significant decline in new listings, down 18.1% year-over-year. Economic uncertainty looms as stimulus negotiations stall, potentially impacting mortgage rates.
The COVID-19 pandemic has resulted in significant economic setbacks for women, leading to higher unemployment and increased housing insecurity. A new analysis by Zillow reveals that women's unemployment claims surged by 1,368% year-over-year in May 2020, compared to much lower rates for men. Women, particularly women of color, face a greater risk of being cost-burdened and losing housing stability, with 45% of female renters spending over 30% of their income on housing. Experts call for direct rental assistance and long-term policy changes to address the needs of women during this crisis.
Zillow and Yelp's new Cityness Index identifies top U.S. suburbs that balance affordability and urban amenities. The demand for these locations has surged due to remote work trends, with significant increases in moving quotes reported. Waterbury, Connecticut, topped the list, followed by Lowell, Massachusetts, Joliet, Illinois, Sunrise, Florida, and Pasadena, Texas. Notably, home values in these suburbs are significantly lower than in their nearby major cities, making them attractive options for buyers seeking city-like experiences without the high costs.
The Zillow Weekly Market Report highlights the current U.S. housing market, showing strong seller control with prices at record highs. However, recent data indicates a potential market slowdown, with newly pending listings rising 22.2% year-over-year but declining 4.6% month-over-month. Inventory continues to decrease, now 35% below 2019 levels, marking the largest drop in years. The median sale price climbed 9.3% year-over-year to $284,625, but monthly growth is slowing. Consumer confidence improved, although unemployment claims remain elevated.