Redfin vs Zillow: How the Two Real Estate Websites Compare?
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Dena Landon, Contributing AuthorClose
Dena Landon Contributing AuthorDena Landon is a writer with over 10 years of experience and has had bylines appear in The Washington Post, Salon, Good Housekeeping and more. A homeowner and real estate investor herself, Dena's bought and sold four homes, worked in property management for other investors, and has written over 200 articles on real estate.
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Richard Haddad, Executive EditorClose
Richard Haddad Executive EditorRichard Haddad is the executive editor of HomeLight.com. He works with an experienced content team that oversees the company’s blog featuring in-depth articles about the home buying and selling process, homeownership news, home care and design tips, and related real estate trends. Previously, he served as an editor and content producer for World Company, Gannett, and Western News & Info, where he also served as news director and director of internet operations.
Disclaimer: Company program details can frequently change. HomeLight always advises that you check a company’s website for the most up-to-date information.
Whether you want to buy or sell a home, you’ll find a wealth of helpful information online. At some point in your journey, you may be curious to learn more about the difference between Redfin vs. Zillow, which are two major real estate companies in operation today.
While both Redfin and Zillow have been around since the early 2000s and host similar types of information (such as for-sale listing details), their business models are not the same, and their services vary.
In a nutshell, Redfin is a real estate brokerage that offers a discounted listing fee to sellers through its pool of agents. Zillow is an online real estate marketplace where people can browse listings and connect with agents who advertise on the site.
Need to Sell Your Home Fast?
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Let’s take a closer look at Redfin vs. Zillow alongside some additional real estate websites that can assist with your real estate needs, such as HomeLight.
| Company details* | Zillow | Redfin |
| Founded | 2004 | 2006 |
| # of employees | 6,263 | 4,693 |
| # of social followers | 403,000 (LinkedIn), 2.7 million (Facebook) | 136,000 (LinkedIn), 517,000 (Facebook) |
| Automated valuation model | Zestimate® | Redfin Estimate |
| Hosts for-sale listings? | Yes | Yes |
| Hosts rental listings? | Yes | Yes |
| Hosts FSBO listings? | Yes | Yes, but only through FSBO.com or Fizber |
| Brokerage status? | Has brokerage licenses but does not hire agents | Operates as a technology-driven brokerage |
| Known for | Being a place to shop for homes and browse listings, proprietary Zestimate® | Lower listing fees of 1%-1.5%, buyer rebates, salaried agents |
Sources: Redfin LinkedIn, Zillow Facts and Figures, Wikipedia, MacroTrends.net, LinkedIn, and Facebook.
*Information collected as of September 2024.
What is Redfin?
Launched in 2006, Redfin is a technology-driven real estate brokerage that lists homes for a lower commission of 1%-1.5%. (Note: the listing fee Redfin charges does not include the buyer’s agent fee and is subject to a minimum dollar amount Redfin has set based on the market.)
Unlike most other brokerages where agents sign on as independent contractors, Redfin brings on licensed real estate agents as salaried employees who can also earn a transaction bonus for each closing.
Redfin also curates and posts real estate listings from a variety of brokerages that consumers can browse. Buyers and sellers can be put in touch with a Redfin Agent through the company website, whether they want to tour a home or ask a question.
Sellers who list with Redfin will see their house marketed through digital campaigns, have a 3-D tour added to their listing, and be able to track marketing activity on their home while it’s on the market.
Buyers may qualify to receive a rebate amounting to $1,500 on average when working with a Redfin Agent, subject to a number of conditions. Redfin also hosts rental listings through its acquisition of RentPath in 2021. The company provides additional services and considers itself a title, lender, and home renovations company.
What is Zillow?
Zillow is a home search website that has been a well-known brand among consumers for many years, to the point of becoming a household name in real estate. On Zillow, you can actively or passively browse real estate listings, connect with a real estate agent, or see your home’s “Zestimate,” an estimation of value that Zillow determines for your home based on a proprietary algorithm.
Unlike Redfin, Zillow does not employ real estate agents to list or help buy homes on the client’s behalf. Although Zillow has brokerage licenses in many states (which allows it to engage in certain real estate practices that may require such a license), Zillow does not operate as a traditional real estate brokerage with agents under its brand.
Instead, Zillow advertises real estate agents from other brokerages — whether it be Keller Williams, Coldwell Banker, or Century 21, etc. — on its site. As with many real estate platforms, the company accepts and places paid ads. It’s up to you to dig deeper to find online testimonials about their quality, talk to past clients, and request their sales data.
Landlords pay to have their apartments listed on Zillow (though their first listing is free), and if you’re looking for a rental, Zillow can be a good source. Zillow also connects you with mortgage lenders, providing information about rates and reviews of their services.
Redfin vs. Zillow: How are they different?
Here are some of the key differences you’ll see when taking a closer look at Redfin vs. Zillow.
For-sale-by-owner (FSBO) listings
Redfin does not enable users to directly upload a For Sale By Owner (FSBO) listing. However, if you’ve listed on Fizber or FSBO.com, Redfin says it will be able to display it as an active listing, according to a support page.
Zillow does have a feature that allows FSBO sellers to upload a listing directly to the site for free, and users can include video and unlimited photos. (Note: Only 7% of homes sold in the U.S. are listed as FSBO, according to 2023 data from the National Association of Realtors. The typical FSBO home sold for $310,000 compared to $405,000 for agent-assisted home sales.)
iBuyer services
As of 2024, neither Redfin nor Zillow offer iBuyer services. Zillow’s service, Zillow Offers, was shuttered in November 2021. One year later, Redfin announced the winding down of its iBuyer division, RedfinNow.
iBuyers can be a good option for people who need to sell a home quickly and don’t want to make repairs or prepare the property ahead of the sale. For example, a seller with an unwanted inherited house or someone moving for a job may prioritize a certain level of convenience that iBuyers can offer.
Revenue streams
Redfin and Zillow make money in different ways. In 2023, 63% of Redfin’s revenue came from its real estate services, including listing fees, partner agents, and referral programs. Other revenue comes from mortgage, title, Walk Score data, advertising, and other ancillary services.
By contrast, Zillow charges real estate agents who advertise on its site using a “pay per lead” model. In Q1 2024, Zillow’s total revenue was $572 million, up 13% year-over-year. $409 million of that revenue came from residential real estate, while additional sources include Zillow’s rentals, mortgage, and other services.
How are they the same?
Which services on Zillow vs. Redfin are similar? Let’s take a look.
Home value estimates
Both Redfin and Zillow provide home value estimator tools on their websites. Buyers could use them, too, to gather intel on whether they’re paying a fair price for a home. As of this writing, Redfin says its tool has an error rate of 1.96% for on-market homes, compared to Zillow’s slightly higher 2.4%. Review HomeLight’s guide on the top 8 home value estimators of 2024 and see how they compare.
Listing source
Both Zillow and Redfin use IDX (internet data exchange), which creates connections between the MLS and a website, in order to display real estate listings to the public. Redfin says 70% of listings on its site are updated every 2 minutes. While we were unable to find a comparable figure on Zillow’s site, the update time is likely similar or the same. Zillow transitioned from using direct MLS feeds to IDX in 2021.
Mobile apps
Redfin and Zillow both offer apps with a variety of useful tools. View each one to see their different features:
Connecting with agents
Both Redfin and Zillow offer suggested agents on their sites. This agent could be a salaried employee (Redfin) or one in the site’s network who pays for the lead (Zillow).
While it would be easy to hire the first agent who pops on your radar from one of these sites, it’s important to consider the quality of the agent you ultimately end up working with.
Consider using HomeLight if you need to find a top-rated agent with positive reviews and a track record of success in your area. HomeLight’s agent suggestions are tailored to you, and agents can’t pay to be listed, so you get the best match.
How do Redfin and Zillow work for home sellers?
How would a home seller use their websites?
- To find an agent to list their home
- To research comparable home sales
- To search listings for potential neighborhoods to move to
- To find a reduced commission agent (Redfin)
- Locate a temporary rental after selling a house
- List your home for sale by owner (can do directly on Zillow, or through certain sites that partner with Redfin)
How do Redfin and Zillow work for homebuyers?
Both sites allow homebuyers to filter results, set up saved searches, and get notified of new listings. In a hot market, this could mean the difference between jumping on a new home listing right away and missing out. (However, a top real estate agent may have the biggest advantage, with the inside track on what’s soon to be listed in their brokerage).
Another key differentiator between the companies is Redfin’s “Sign & Save.” Buyers who commit to working with a Redfin agent before their second home tour, and buy a property with that agent within 180 days of signing, are offered a refund of 0.25 to 0.5% of the home purchase price. However, this rebate isn’t legal in all states and is subject to lender approval and minimums.
Do Redfin and Zillow both serve your area?
Zillow operates nationwide. Redfin says it is a nationwide brokerage but some locations may be “out of area.” Services like Redfin Concierge only operate in certain cities and states, primarily major metropolitan areas.
Is there a cost to use Redfin or Zillow?
The only costs for both websites are the commissions or listing fees you might pay to an agent you hire. Downloading their app, signing up for alerts, and asking for agent referrals are all free.
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Redfin and Zillow Reviews
How do reviewers rate Redfin and Zillow? Reviews vary across websites, from poor to great.* When reading reviews, pay attention to the service the consumer is reviewing, as it may not be a service you intend to use.
Redfin review ratings
Trustpilot: 2.8 out of 5 stars, with 12 reviews
Consumer Affairs: 1.6 out of 5 stars, with 144 ratings
BBB: 1.13 out of 5 stars, with 56 reviews (not BBB accredited)
Zillow review ratings
Trustpilot: 1.4 out of 5 stars, with 393 reviews
Consumer Affairs: 1.2 out of 5 stars, with 806 reviews
BBB: 1.05 out of 5 stars, with 131 reviews (not BBB accredited)
*Reviews as of September 2024.
Alternatives to Redfin and Zillow
There are plenty of websites in the real estate industry — from brokerage-specific websites to those that match you with an agent.
- HomeLight
- Trulia (owned by Zillow)
- Realtor.com
- Homes.com
- HomeFinder
- ForSaleByOwner.com
- Clever Real Estate
- Foreclosure.com
How does HomeLight work?
HomeLight offers several services and tools similar to Zillow and Redfin, as well as programs that neither of the other real estate companies offer:
- Home search: Browse listings in live markets.
- Agent Match: Connect with a top-rated agent near you in two minutes.
- HomeLight Simple Sale: HomeLight provides a cash offer to buy your home, which allows you to skip repair costs, showings, and agent commissions.
- HomeLight Buy Before You Sell: Allows you to purchase your next home before selling your current property, while simplifying your transition to a new home.
Here’s how it works in three steps:
*Some services are not available in all states.
Additional tools and resources
- Home Value Estimator: Get an estimate of your home’s current value.
- Agent Commissions Calculator: Estimate how much you’ll pay in agent commissions on your home sale or purchase.
- Home Affordability Calculator: Want to know how much house you can afford? Input some information about income and expenses and the calculator gives you a ballpark.
- Net Proceeds Calculator: This tool helps you estimate the cost of selling your home and the net proceeds you could earn from the sale.
- Best Time to Sell Calculator: Need to get top dollar for your home sale, or close quickly? Our best time to sell calculator analyzes transactions in your area to tell you when you’ll get the most money.
Redfin vs. Zillow FAQs
Here are some of the most frequently asked questions about Redfin and Zillow.
Which company is larger, Zillow or Redfin?
As of September 2024, Zillow’s market capitalization was $14.48 Billion, compared to Redfin’s market capitalization of $1.75 Billion. Zillow also has more employees than Redfin.
Who started operating first, Zillow or Redfin?
Zillow was founded in 2004 (according to the company’s Facts & Figures page), and Redfin.com launched in 2006 (according to a press release on their website and their LinkedIn “About” page). However, according to a Fortune.com interview with Redfin CEO Glenn Kelman, Redfin was envisioning online, map-based real estate searches as far back as 2002. This was when the company was initially incorporated, as Appliance Computing Inc.
Is Redfin better than Zillow?
It depends on why you’re using their websites and what your real estate needs are. If you’re doing research to sell your home, Zillow may offer a more comprehensive home profile. Zillow is also more well-known for its home search capabilities.
If you’re trying to save money on a real estate agent’s commission, Redfin will likely be better. However, you should always do your research as there can be serious cons to working with a low-commission agent.
Consider the advantages of using HomeLight to find an agent. We analyze over 27 million transactions and thousands of reviews to determine which agent is best for you.
Is Redfin or Zillow more popular?
Zillow ranks first in the U.S. for most popular real estate websites, versus Redfin at fourth. Zillow had an average of 57.3 million website visits per month in 2023.
Find a Top-Rated Real Estate Agent
We analyze over 27 million transactions and thousands of reviews to determine which agent is best for you. Our service is 100% free, with no catch. Agents don’t pay us to be listed, so you get the best match.
Next up: Selling or buying a home
It’s quite amazing to realize how much information about real estate is available online. You can find your next rental pad, investigate school rankings, and experience the beauty of a neighborhood you’ve never visited, thanks to technology.
But if there ever comes a point where you get tired of the virtual world, you can always put away your screens and ask a top real estate agent for their professional opinion — you know, IRL.
Header Image Source: (Kindel Media/ Pexels)
- "Zillow Group Reports Second-Quarter 2024 Financial Results", Zillow (August 2024)
- "Redfin’s relaunched homebuyer refund program now available nationwide", Yahoo! (March 2024)
- "Redfin Announces ‘Sign & Save’ Program, Helping Homebuyers Save Thousands", Redfin (June 2024)
- "Most popular real estate websites in the United States in 2023, based on monthly visits", Statista (April 2024)
At HomeLight, our vision is a world where every real estate transaction is simple, certain, and satisfying. Therefore, we promote strict editorial integrity in each of our posts.
