Here’s how Zillow continued to grow and profit in 2025
Zillow is increasingly central to the lives of home buyers, home sellers and real estate professionals. Here’s what changed in 2025 and how it paid off for the company.
Zillow tightened its grip on the real estate industry last year as it continued to build its brand into a do-it-all suite of consumer-facing listings and agent-focused tools — efforts that have helped the company bring in $2.58 billion in revenue.
In an earnings report released Tuesday, the company estimates that agents using Zillow products account for an estimated 80 percent of residential real estate transactions. Zillow also noted that the company continued to grow at a pace that far outpaced the industry as a whole.
The company posted a profit of $3 million in the final quarter of 2025 and $23 million for the full year, the report said. Those profits came from growth in every segment of the company.
Zillow’s sales revenue grew 11 percent to $475 million in the quarter and $1.7 billion for the year.
Rentals remained the fastest growing revenue segment for the company, up 45 percent from a year earlier to $168 million in the quarter. That growth is largely driven by multifamily housing.
Mortgage revenues grew the second fastest pace, rising 39 percent year-over-year to $57 million in the quarter. Loan volume reached $1.5 billion in the quarter.
Traffic to the portals within Zillow’s family of sites increased 8 percent in the quarter to 221 million average unique users per month. The total number of visits increased by 2 percent to 2.1 billion in the quarter.
The company’s business model is based on offering tools and features such as Follow Up Boss, dotloop, Showcase listings, and on collecting fees for deals that originate from Zillow.
Usage of Zillow’s Showcase features more than doubled through 2025 and was used on 3.4 percent of new listings in the fourth quarter, Tuesday’s report showed. Agents who pay for Showcase get access to virtual staging and other features intended to increase listing visibility.
Zillow started selling Zillow Pro memberships last year in a sort of test phase. The memberships include Follow Up Boss, the option to purchase Showcase listings per listing, and a path to becoming a Zillow Preferred agent (rebranded from Zillow Flex last year).
“It’s in early testing and beta right now, so not so much in specific markets, but we’re rolling it out to some partners early on,” Zillow CFO Jeremy Hofmann told Inman in an interview on Tuesday. “We will look to expand it nationally in the second half of the year.”
Hofmann said the company was testing an artificial intelligence feature with a large language model built into the app that would help consumers search for a home.
That would follow on from the company’s partnership last year with Open AI to integrate Zillow home search into ChatGPT.
On a call with investors on Tuesday, CEO Jeremy Wacksman said the company’s listing policy, which prohibits listings if they are publicly offered on the MLS for more than a day, was working and had suppressed the proliferation of private listing networks.
“The reason it’s small is because the vast majority of sellers and agents don’t want that,” Wacksman says. “Agents don’t want to limit exposure and it takes longer for a house to sell.”
On Friday, a judge ruled in favor of Zillow in its legal battle with Compass. Compass has filed a lawsuit to try to stop Zillow from enforcing its listing policy, which targets Compass’ off-MLS marketing strategy.
Wacksman also suggested that a Super Bowl ad from Rocket was actually beneficial to Zillow.
“As a category leader, with such strong brand awareness and brand preference, we tend to benefit when others advertise in the category,” Wacksman said. “We saw that this weekend.”
Zillow now has $1.3 billion in cash and investments, according to Tuesday’s earnings report.
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