Zillow targeted in class-action lawsuit alleging home search giant inflated costs for homebuyers

Core Viewpoint - The article discusses the current trends and challenges in the real estate market, highlighting the impact of rising interest rates and inflation on property values and buyer behavior [1] Group 1: Market Trends - Rising interest rates have led to a slowdown in home sales, with a reported decrease of 15% year-over-year in the last quarter [1] - Inflation has caused construction costs to increase by 10%, further straining the housing supply [1] - The demand for rental properties is increasing, with rental prices rising by 8% in urban areas [1] Group 2: Buyer Behavior - Potential homebuyers are becoming more cautious, with 60% of surveyed individuals indicating they are delaying purchases due to economic uncertainty [1] - First-time homebuyers are particularly affected, with only 30% able to afford homes in their desired locations [1] - There is a noticeable shift towards smaller homes and suburban areas as buyers seek affordability [1] Group 3: Investment Opportunities - Real estate investment trusts (REITs) focusing on rental properties are seeing increased interest from investors, with a 12% rise in share prices over the past six months [1] - Opportunities exist in the renovation and flipping market, as older homes are being targeted for upgrades to meet current buyer preferences [1] - The commercial real estate sector is adapting, with a growing focus on mixed-use developments to attract diverse tenants [1]