Z
illow Group’s stock slipped 8.47% on Monday, closing at $68.38, after reports that Google is piloting a new real‑estate advertising format that could rival the platform’s listings service. The drop erased roughly $1.6 billion from Zillow’s market value, which now sits near $16.26 billion. The decline was mirrored by CoStar Group, which fell 6.4%, and Rocket, which slipped 2.8% following its acquisition of Redfin. Google confirmed the experiment, conducted with ComeHome by HouseCanary, places property listings beside existing agent ads in search results on mobile devices in limited markets such as Denver, Los Angeles, Miami, and Houston. The interface offers property details, tour requests, and direct agent contact, mirroring Zillow’s core features. Filters for bedrooms, bathrooms, square footage, price, and status are available, and a “Request a tour” button connects users to top‑rated local agents with an expected 15‑minute response. Analysts have mixed views. Goldman Sachs’ Michael Ng sees the format as a long‑term risk but expects no immediate impact, maintaining a neutral stance. Wells Fargo’s Alec Brondolo notes Zillow’s modest reliance on organic search traffic, predicting little financial effect. KBW’s Ryan Tomasello calls the move a tail risk for property portals. Zillow logged 228 million visitors in Q3, and its shares have fallen more than 8% year‑to‑date.