Zillow Group reported third quarter 2026 revenue of $724 million, representing 7% year-over-year growth but falling short of the $754.4 million analyst consensus. The company recorded a GAAP net loss of $158 million, largely attributed to a $165 million Zillow Offers securities class action settlement, while adjusted EBITDA of $182 million landed within the management's outlook range.
Key Highlights
- Residential revenue declined 4% year-over-year to $419 million, failing to meet the 5-7% growth target as higher mortgage rates pressured industry transaction volumes.
- Rentals revenue increased 26% year-over-year to $220 million, fueled by a record 81,000 multifamily properties advertising on the platform.
- Mortgages revenue rose 32% to $70 million, driven by a 55% increase in purchase loan origination volume to $2.0 billion, though conversion was hampered by rising rates.