Zillow Group class A stock (ZG) sank 11% in late morning trading on Monday following a report that Google (GOOG) (GOOGL) appears to be testing home sales listings directly in its search results.
The search engine giant appears to be testing the sales listings in a limited number of markets and only on mobile, said Mike DelPrete, a real estate tech strategist, on his website.
“There are a lot of potential implications here, from the incumbent portals to exclusive listings to AI and international, but for now it’s all speculation,” DelPrete said.
The test seems to be a partnership with ComeHome by HouseCanary, he added. Also, the property results aren’t supplied or sponsored by listing agents or brokers.
Shares in Rocket Companies (RKT), which owns Redfin, fell 4.6%, online brokerage Compass (COMP) stock dipped 3.8%, eXp World Holdings (EXPI) slumped 6.1%, and Offerpad Solutions (OPAD) shares slid 6.0%.
Anywhere Real Estate (HOUS) stock slipped 3.0%, and Re/Max (RMAX) dropped 4.5%.
Meanwhile, Google class C stock (GOOG) and class A shares (GOOGL) edged down 0.4%.