Zillow has reached a formal settlement with the Federal Trade Commission to resolve an antitrust lawsuit centered on allegations that the real estate giant paid its competitor, Redfin, to exit the rental market. The legal battle began in September 2025 when regulators accused Zillow of paying Redfin 100 million dollars to shut down its internet listing service for apartment rentals for nearly a decade. This move sparked additional lawsuits from several states, including New York and Washington, which were eventually consolidated into the federal case.
Under the terms of the agreement, Redfin will now return to the apartment listing space. To ensure the comeback is effective and competitive, the FTC requires Redfin to relaunch its services with significantly more listings than it previously offered. Regulators believe that restoring this level of competition will lead to lower costs and faster innovation, ultimately benefiting both property management firms and everyday renters searching for homes.
The settlement extends beyond just listing sites, touching on internal corporate operations and customer rights. Zillow is required to share specific employee information with Redfin to facilitate fair recruiting practices between the two rivals. Furthermore, consumers who have existing contracts with Zillow will be granted the opportunity to renegotiate those agreements without facing penalties or incurring additional fees.
