Episode summary
Inside Zillow’s Pivot to Become a ‘Housing Super App’ | WSJ’s Bold Names
The Journal
· · Hosts: Tim Higgins, Christopher Mims · Guests: Jeremy Wacksman
Summary
Zillow CEO Jeremy Wacksman says the housing market is “depressed” because affordability is being squeezed by high prices, elevated mortgage rates and, above all, a shortage of homes. He argues the core problem is not demand but supply: Zillow estimates the U.S. is short almost 5 million homes because construction has lagged household formation since the 2008-2009 financial crisis. He expects only a little improvement in 2026, and says the market will remain challenged, with conditions varying sharply by region.
Wacksman says Zillow’s own turnaround comes from turning more of its massive audience into transactions. Rather than relying mainly on advertising, Zillow now makes more money through performance-based partnerships, rentals, mortgages and software tools for agents and property managers. That shift, he says, helped drive double-digit revenue growth, margin improvement and the company’s first annual net profit in more than a decade.
He also lays out Zillow’s “housing super app” vision: a one-stop experience where buyers can search, finance, message professionals and close deals inside one app. On AI and listings, he says Zillow wants transparency and broader access, opposes exclusive listings, and sees technology as a way to remove back-office friction rather than replace agents. For affordability, he argues the real fix is local supply reform, easier permitting and more homes built in more places.
Key takeaways
- Jeremy Wacksman says the housing shortage is the main driver of affordability, and Zillow estimates the U.S. is short almost 5 million homes.
- Wacksman expects only modest improvement in 2026, with regional markets diverging between strong sellers’ markets and more affordable buyer markets.
- Zillow’s business is shifting from lead generation to performance-based revenue, mortgage services, rentals and software, helping drive profit.
- Wacksman says Zillow’s “housing super app” aims to let buyers search, finance, message and close in one place.
- He argues affordability will not improve meaningfully without more local supply, zoning reform and easier permitting to build housing.
- On exclusive listings, Wacksman says Zillow favors transparency because hiding inventory is “not proconsumer.”
Notable quotes
“Depressed. And the reason for that, which we've read lots of headlines about, is affordability”
“our economists are saying that there'll be a little bit of improvement in 2026 versus last year, but we're still in a really challenged housing market”
“we've accumulated this deficit of Zillow estimates almost 5 million fewer homes have been built to keep up”
“The strategy for Zillow is to turn more of that audience you talked about into transactions”
How the episode opens
If you had one word to describe the current housing market, what would you choose?
Depressed. And the reason for that, which we've read lots of headlines about, is affordability. High home prices, elevated mortgage rates, lack of supply.
A lot fewer people than normal are moving in a given year. This week on Bold Names, we're talking to Jeremy Waxman. He's the CEO of Zillow.
The real estate site has its finger on the pulse of the national real estate market. And as Jeremy just mentioned, there have been better days. So, what should we expect this year?
That's next. Jeremy, thanks for joining Bold Names. I want to take this opportunity to take a temperature of the nation's real estate market.
Your data on Zillow.com, those buyers and sellers out there, gives you such a window into the state of the housing industry. What are your economists telling you about the housing market in 2026?
Well, thanks for having me. I'm happy to be here. Uh, our economists are saying that there'll be a little bit of improvement in 2026 versus last year, but we're still in a really challenged housing market.
When I talk to pollsters out there, they say affordability is one of the biggest issues that they hear from voters. We see it on all sorts of topics from health care, uh, and more importantly probably housing. And I think, you know, Zillow is in an interesting spot in this, right?
You get what, 250 million unique visitors to your website and app every month. A lot of people out there window shopping, dreaming, and I think they see those houses, those big prices, and it confirms really that they can't kind of grasp that American dream of home ownership. Um, as you think about the affordability issues, what what's driving it?
From the episode’s captions: roughly the first two minutes, lightly cleaned. Keep watching on YouTube →
Topics
- us housing market
- housing affordability
- zillow housing super app
- mortgage services
- ai real estate technology
Companies and tickers mentioned
- ZG
- Z
- Zillow
Watch the episode
Watch “Inside Zillow’s Pivot to Become a ‘Housing Super App’ | WSJ’s Bold Names” on YouTube
Summary, takeaways and quote selection by Octagon. Quotes are short excerpts; the full conversation is in the episode.
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