Redfin vs Zillow: How the Two Real Estate Websites Compare?
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 as well as an iBuyer (instant home buyer) that purchases homes directly from sellers in select states. Zillow is an online real estate marketplace where people can browse listings and connect with agents who advertise on the site.
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
5,572
# of social followers
368,000 (LinkedIn), 2.6 million (Facebook)
131,000 (LinkedIn), 520,000 (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, LinkedIn and Facebook.
*Information collected as of May 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 have real estate agents who it employs to list or help buy homes on 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. The company doesn’t buy homes as an iBuyer, however. They used to, which we’ll touch on later in this post.
