Zillow, Redfin Settle FTC Antitrust Case

The update

Zillow and Redfin have reached a settlement with the Federal Trade Commission and five states, ending a legal battle over their 2025 partnership. The agreement requires Redfin to reenter the rental advertising business and removes restrictions that limited Redfin’s ability to compete independently for property-management customers. Under the original deal, Redfin had agreed to display Zillow’s rental listings on its websites rather than compete directly, potentially keeping Redfin out of the rental advertising business for up to nine years.

Why it matters

This settlement addresses concerns that the partnership reduced competition in the rental-listing market, potentially allowing Zillow to charge higher prices and provide less favorable terms to property managers. The FTC argued that Zillow was paying one of its largest competitors to stop competing, which could have reduced the quality of rental listings available to consumers. The case reflects increasing scrutiny of tech partnerships that may stifle competition.

What to watch

How Redfin restructures its rental advertising business and whether other real estate tech companies face similar antitrust scrutiny. The settlement doesn’t completely end the relationship between the two companies, as Redfin can continue displaying Zillow’s rental listings while now being able to compete for its own customers.

Sources

• techcrunch.com — Settlement details and background on the partnership
• theverge.com — FTC's antitrust concerns and settlement terms