Zillow settles antitrust lawsuit with the FTC
Competitor Redfin will re-enter the real estate listing market.
After accusations of Zillow buying off its rival Redfin for $100 million, the online real estate platform has settled an antitrust lawsuit brought on by the Federal Trade Commission. According to a press release from the FTC, the two sides resolved the lawsuit and reversed an agreement from Zillow that shut down Redfin's internet listing service (ILS) for apartment rentals.
As part of the settlement, Redfin has to reenter the ILS market and make commitments that would ensure its competitiveness, including a relaunch with "significantly more listings," according to the FTC. The FTC said that "restoring competition in the ILS market is expected to drive down costs and spur innovation that benefits renters and property management companies."
The lawsuit was first filed in September 2025 when the FTC accused Zillow of buying out a rival company by offering $100 million to Redfin to halt its ILS advertising for up to nine years. Arizona, Connecticut, New York, Virginia and Washington also jointly filed a similar lawsuit against Zillow, which was eventually merged with the FTC's suit in November of that year.
Beyond Redfin restarting its efforts to market apartment listings, the settlement requires Zillow to provide Redfin with employee information to allow for employee recruitment. On the consumer side, Zillow has to offer its customers the ability to renegotiate their contracts without any extra cost or penalty as part of the settlement.