The Federal Trade Commission announced today that it has reached a settlement with Zillow Group Inc., Zillow Inc., and Redfin Corporation to resolve antitrust concerns in the market for online multifamily rental advertising.

The agency, joined by attorneys general from Arizona, Connecticut, New York, Virginia, and Washington, notified the U.S. District Court for the Eastern District of Virginia that it will file a stipulated order ending the litigation filed in September 2025. The order unwinds key terms of a February 2025 agreement under which Zillow paid Redfin $100 million upfront plus ongoing payments to exit the internet listing services market and transfer customers to Zillow.

Under the proposed order, which would last 10 years, Redfin must reenter the market within six months by rebuilding its rental advertising business, hiring staff, and investing tens of millions of dollars to grow its operations. The settlement also removes restrictions preventing Redfin from competing independently and allows it to syndicate Zillow listings while pursuing its own customers. Zillow must facilitate Redfin's employee recruitment and provide contract flexibility to certain customers for nine months after Redfin relaunches.

FTC Bureau of Competition Director Daniel Guarnera stated that the agreement under which Zillow paid Redfin to stop competing violates antitrust laws. He noted that the settlement delivers better, quicker results than a trial would have, including enforceable commitments for Redfin to relaunch and compete more strongly.

The original complaint alleged that the deal concentrated an already limited market for rental listing services, harming property managers and renters by reducing competition and innovation. The settlement restores competition in platforms used by renters to find apartments and property managers to list rentals.

The Commission approved the order in a 2-0 vote. Once signed by the court, the order carries the force of law. Both companies must report compliance and seek approval for future syndication deals with restrictive terms.

This resolution aligns with efforts to promote competition in housing-related markets.