ALEXANDRIA, VIRGINIA — The case was scheduled to go to trial before a federal judge in Alexandria, Virginia, on the day the settlement was announced. The FTC alleged that in February 2025, Zillow agreed to pay Redfin $100 million plus per-renter fees for Redfin to cease competing in multifamily rental listings and exclusively syndicate Zillow's listings. Regulators further alleged that the agreement required Redfin to end its own advertising contracts for rental listings and transfer those customers to Zillow.

An expert for the FTC and states estimated that Zillow customers paid an average of 14.5% more per listing after Redfin stopped competing in the market. More than 30% of Americans rent their homes, according to census data.

Why It Matters

The settlement resolves allegations that a major market player paid a competitor to exit a specific segment, which regulators argued reduced competition and increased costs for consumers. With more than 30% of Americans renting their homes, the structure of rental listing markets directly impacts housing accessibility and affordability for millions of households.

The resolution occurs alongside broader regulatory actions by the Federal Trade Commission targeting fee practices in housing and other sectors. The agency published a rule titled "Trade Regulation Rule on Unfair or Deceptive Fees" on 2025-01-10 and later published a proposed rule titled "Rule on Unfair or Deceptive Rental Housing Fee Practices" on 2026-03-13, indicating a sustained focus on transparency and competition in rental markets.

Timeline

On 2026-08-24, the Federal Trade Commission and the state attorneys general of Arizona, Connecticut, New York, Virginia, and Washington announced a settlement with Zillow and Redfin to resolve antitrust claims regarding their rental listings partnership. On the same day, a Redfin spokesperson said the settlement allows the company to maintain its partnership with Zillow through at least 2030 while building its own standalone rentals business. Also on 2026-08-24, a Zillow spokesperson described the settlement as "great news for renters, housing providers and the rental market broadly." Daniel Guarnera, director of the FTC’s Bureau of Competition, said the deal "delivers better, quicker, more certain results for both renters and property management companies than we would have been able to achieve after prevailing at trial."

What's New

Additional reporting confirms that the settlement requires Redfin to rebuild its standalone rental advertising business within six months. A Redfin spokesperson said the settlement allows the company to maintain its partnership with Zillow through at least 2030 while building its own standalone rentals business. Zillow denied that the arrangement was anticompetitive and stated that the deal benefits everyone by making more listings available on more sites.

Further context includes an expert estimate for the FTC and states that Zillow customers paid an average of 14.5% more per listing after Redfin stopped competing in the market. The Federal Trade Commission published a rule titled Trade Regulation Rule on Unfair or Deceptive Fees on 2025-01-10. The agency also published a proposed rule titled Rule on Unfair or Deceptive Rental Housing Fee Practices on 2026-03-13.

How Sources Differ

Regarding the nature of the Zillow and Redfin rental listings relationship, the Federal Trade Commission complaint alleged that in February 2025, Zillow agreed to pay Redfin $100 million plus per-renter fees for Redfin to cease competing in multifamily rental listings and exclusively syndicate Zillow's listings. In contrast, the Federal Trade Commission settlement announcement stated that the agencies announced a settlement with Zillow and Redfin to resolve antitrust claims regarding their rental listings partnership.

On the specifics of the ongoing relationship, the Federal Trade Commission complaint alleged that in February 2025, Zillow agreed to pay Redfin $100 million plus per-renter fees for Redfin to cease competing in multifamily rental listings and exclusively syndicate Zillow's listings. The Federal Trade Commission settlement order, however, stated that the settlement allows Redfin to continue syndicating rental listings from Zillow without the anticompetitive restraints of the original 2025 agreement.