Zillow AI-Assisted Rentals Boost Application Rates by 43%
ZG•Zillow's partnership with EliseAI drove renters using AI-assist features to submit applications 43% more often on Zillow Rentals. Meanwhile, its lender marketplace reported the 30-year fixed purchase rate rose by 7 basis points to 6.40% and the 15-year rate fell 3 basis points to 5.86%.
1. AI Integration and Rental Application Uptick
Zillow integrated EliseAI’s conversational tools into its Rentals platform, resulting in a 43% higher application submission rate among users engaging with AI-assist features. This improvement underscores the potential for AI-driven engagement to accelerate tenant acquisition and boost listing conversions.
2. Mixed Mortgage Rate Trends
On June 11, Zillow’s lender marketplace data showed the 30-year fixed purchase rate climbed 7 basis points to 6.40% and the 20-year fixed rose 8 basis points to 6.34%, while the 15-year fixed loan rate dropped by 3 basis points to 5.86% and the 5/1 ARM fell to 6.51%.
3. Business Implications
Enhanced application rates via AI tools could strengthen Zillow’s rental revenue stream, while fluctuating mortgage rates may sway consumer demand on its lending platform, influencing fee income and overall marketplace activity.
