Zillow CEO Jeremy Wacksman: Affordability is still a challenge in the housing market

Summary

Zillow CEO Jeremy Wacksman discusses Q1 results (revenue +18%, mortgages +56%, rentals +42%) and the challenging housing market with persistent affordability constraints. He emphasizes that Zillow continues to outgrow the housing market and sees AI as a major tailwind for digitizing real estate transactions. The interview includes cautious Q2 guidance but reaffirms full-year targets of mid-teens revenue growth and margin expansion.

• Zillow reported Q1 revenue up 18% YoY, mortgages up 56%, rentals up 42%.
• The housing market remains flat with modest transaction volume growth due to affordability challenges.
• Zillow expects to continue outgrowing the housing market in Q2.
• CEO sees AI as a tremendous tailwind for the real estate category and Zillow's platform.
• Zillow's proprietary content and rich media (3D tours, floor plans) differentiate it from search engines.
• Q2 revenue guidance midpoint is 16% growth, slightly below expectations, but full-year goals are on track.