Zillow CEO Jeremy Wacksman on AI: You're seeing productivity gains in the system

Summary

• Zillow is implementing AI across the entire home buying journey, from search to transaction closure.
• Nearly 10% of Zillow listings now include AI-generated media, such as virtual fly-throughs, enhancing consumer immersion.
• AI automates workflows for real estate professionals, saving agents hours per week and improving productivity.
• The platform supports hiring agents, mortgage pre-approvals, and closing, making it a vertical solution for the transaction.
• Zillow monetizes primarily through revenue sharing with professionals (agents, mortgage originators), not consumers.
• Despite increased user engagement, Zillow's stock is down 35% over the past year, attributed to market shifts and AI uncertainty.
• CEO Jeremy Wacksman believes AI will differentiate Zillow as a integrated platform, benefiting from industry transformation.
• Consumers are empowered in search but still rely on agents for complex tasks like negotiation; the demand for professional help has risen with more information.
• AI is seen as a constant tool for users, with home buying described as a "part-time job" during the process.
• The real estate transaction frequency is low (once every 14 years on average), increasing the stakes and need for professional assistance.