Zillow has agreed to settle allegations that it paid $100 million to Redfin to withdraw from the apartment rental listing market, ending a major antitrust case that was scheduled to go to trial in the United States.
The settlement, reached with the U.S. Federal Trade Commission and five states, allows Redfin to continue displaying Zillow rental ads while requiring it to rebuild its own rental advertising business within six months.
The case centred on a February 2025 agreement under which Redfin agreed to wind down its rental listings business, direct customers to Zillow and stay out of the market for as long as nine years.
In return, Zillow agreed to pay Redfin $100 million, alongside additional fees for renters who expressed interest in listed properties.
The FTC and the states alleged that the deal weakened competition in online rental listings, raising advertising costs for landlords and reducing options available to renters.
According to an expert cited by the regulators, Zillow customers paid an average of 14.5% more per listing after Redfin stopped competing in the market, while some property managers stopped purchasing online listings altogether.
The regulators said the settlement will restore competition in a digital housing market used by millions of Americans.
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Redfin, meanwhile, said the agreement allows it to maintain its partnership with Zillow through at least 2030 while rebuilding its own rentals business.
Zillow defended the settlement, saying it allows the company to focus on developing its technology and services for renters and property managers.
The case reflects growing scrutiny of digital platforms and online marketplaces, particularly where partnerships among major technology companies could reduce competition or increase costs for consumers.
About the Author
Cecilia Attah is a tech analyst with a degree from Benue State University. She covers tech news and startups at TechRegard with a focus on how technology is transforming Africa and shaping the global landscape.
