Zillow agrees $212.5 million settlement of securities class action

Zillow Group has agreed to pay $212.5 million in cash to settle the consolidated securities class action brought over its 2021 share price fall, with about $48 million of the payment expected to come from insurance, the company said in an SEC filing.

Why it matters: The settlement closes the main litigation left from Zillow's failed home-flipping venture, at a net cash cost to the company of roughly $164 million, though it still needs court approval and related shareholder derivative cases remain pending.

Data as of Zillow Group Form 8-K filed October 28, 2026 (event date October 27, 2026; SEC accession 0001617640-26-000063), read in full from the local EDGAR copy in this run; all settlement terms are the company's own. Investing.com is cited for market coverage only. Developing item.

Zillow Group has agreed to pay $212.5 million in cash to settle the consolidated securities class action captioned Jaeger v. Zillow Group, Inc., the company said in a Form 8-K filed on Wednesday. The settlement covers investors who bought Zillow Class A or Class C shares between August 5 and November 2, 2021, the period running into the collapse of the company’s home-flipping business, and about $48 million of the payment is expected to be covered by insurance. The agreement contains no admission of liability or wrongdoing.

The money is due into an escrowed settlement fund within 20 business days after the court preliminarily approves the deal, and final approval, after notice to class members and a fairness hearing, is still outstanding. Zillow said the related shareholder derivative actions remain pending and are not affected by the settlement.

Zillow agrees $212.5 million settlement of securities class action

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