Jeremy Wacksman

They want the ability to transact all in one place in that Zillow app.

So being able to offer them Zillow home loans as one of their choices of financing, it makes sense from a consumer experience standpoint.

And then it's a great business because it's more efficient for them to use one platform and get multiple services.

So you're right, it is very small today.

It is growing nicely.

It's growing double digits and has all year.

We would love to see that business continue to grow over time.

As I said, the strategy there is really offer that service to our buyers inside of Zillow, offer it to our agents who are working with those customers, and just become one of their loan offerings for more of those transactions.

Yeah, unfortunately, it is still a real affordability crisis in the housing market.

And one way to think about that is just where are things versus pre-pandemic?

Home prices are up nearly 100% from pre-pandemic levels.

So we talk a lot about mortgage rates and the rise in mortgage rates from those lows, but it's really home prices that are making things unaffordable.

Rent affordability, rent prices have only gone up about 30%, 40%.

It's still more challenging from pre-pandemic, but it becomes more affordable to rent versus buy in many markets.

You're seeing many folks who are trying to be first-time homebuyers, that's just out of reach, and they are choosing to rent again.

The good news for Zillow is by offering both of those marketplaces, we can help them with those needs.

You see our rentals business growing incredibly rapidly, and that's now more than a quarter of our revenue.

Those renters are tomorrow's buyers.

So yes, we're helping them find a place to rent, but we're also helping them get ready to buy.

We are helping them report their rent to the credit bureaus to start building their credit score to get them ready for that home loan.