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Zillow CEO addresses America's housing crisis

Zillow CEO Jeremy Wacksman discusses the causes of the housing crisis amid low home sales.

August 3, 2025 at 04:05 AM

Zillow CEO reveals what he thinks is the cause of America's 'housing crisis'

As housing sales hit a 30-year low, Zillow's CEO sheds light on the market's challenges.

Zillow CEO explains the underlying issues of America's housing crisis

In 2024, home sales in the United States reached a 30-year low, presenting major challenges for potential buyers. Despite this downturn, Zillow, the country's top real estate listing site, continues to thrive. CEO Jeremy Wacksman attributed the housing crisis to a severe lack of available homes, stating it is a supply-side issue exacerbated by rising prices that are not matched by increases in incomes. He pointed out that home prices have surged dramatically in recent years while wages have only seen modest increases. Wacksman emphasized the chronic under-building of homes since the global financial crisis as a key reason for the current market struggles. Although fewer transactions are occurring, Zillow attracts substantial online traffic from users who browse without immediate intent to purchase, a trend Wacksman embraces. He firmly believes this 'Zillow surfing' can eventually benefit both buyers and sellers. The company has also implemented strict listing policies to encourage transparency, despite some legal pushback regarding its market dominance.

Key Takeaways

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Home sales have plummeted to a 30-year low.

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Zillow is thriving despite the downturn in housing transactions.

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A major issue in the market is the limited availability of homes.

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Home prices have risen dramatically, outpacing income growth.

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Zillow's policies aim to enhance transparency for buyers and sellers.

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The ongoing lawsuit against Zillow suggests deeper market tensions.

"Home prices are up 30, 50, 70, 100 percent, depending on the market, from pre-pandemic levels."

Wacksman explains the significant rise in home prices impacting buyers' affordability.

"Less supply and a lot of demand is going to keep home prices elevated."

Wacksman highlights the main issue behind the current housing market crisis.

"You are getting a little smarter about what you might want, and then something happens and you pull the trigger."

Wacksman talks about the benefits of 'Zillow surfing' for prospective buyers.

"The lawsuit is about challenging that consumer benefit and that transparency."

Wacksman addresses the implications of the legal issues surrounding Zillow's market practices.

Wacksman's insights reveal a pressing reality about the U.S. housing market, where the interplay between limited supply and soaring prices creates a persistent barrier for buyers. This scenario not only affects individual households but also reflects broader economic conditions, including stagnant wage growth and shifting consumer behavior. Zillow's focus on transparency and user engagement through initiatives like 'Zillow surfing' could redefine the way buyers approach their home search. Additionally, as the lawsuit from real estate companies illustrates, the tension between market accessibility and corporate control remains a critical topic in discussions about the future of real estate in America. Zillow's efforts to evolve into a comprehensive platform for homebuyers may play a significant role in shaping market dynamics going forward.