Zillow, the popular online real estate platform, is taking a bold step towards climate transparency by incorporating climate risk data into its property listings. This innovative feature, powered by First Street, a leading climate risk financial modeling company, provides homebuyers with crucial insights into five key climate-related risks: flood, wildfire, wind, heat, and air quality.
Starting with for-sale listings across the United States, Zillow users will now be able to access detailed risk scores, interactive maps, and even insurance recommendations directly from the listing page. This comprehensive information will empower buyers to make more informed decisions, considering potential environmental hazards and their long-term financial implications.
Recognizing the growing concern about climate change and its impact on home values, Zillow is leading the way in integrating this vital information into the home buying process. With over 80% of buyers now taking climate risks into account, Zillow’s new feature is a timely response to a rapidly evolving market.
The platform goes beyond simply presenting risk data. Zillow provides tailored insurance recommendations based on the assessed risks, giving buyers a clear picture of their potential insurance needs. Additionally, the detailed historical insights show if or when a property has experienced past climate events, such as flooding or wildfires, offering valuable context for evaluating long-term affordability.
“Climate risks are now a critical factor in home-buying decisions,” said Skylar Olsen, chief economist at Zillow. “Healthy markets are ones where buyers and sellers have access to all relevant data for their decisions. As concerns about flooding, extreme temperatures and wildfires grow — and what that might mean for future insurance costs — this tool also helps agents inform their clients in discussing climate risk, insurance and long-term affordability.”
The climate risk information will be seamlessly integrated into the Zillow experience, appearing on both the Zillow app for iOS and the Zillow website by the end of the year. Android users can expect access to this feature early next year.
Zillow’s partnership with First Street ensures the accuracy and reliability of the provided climate risk data. First Street’s models, developed by leading scientists and rigorously reviewed by peers, are widely trusted in various industries, including real estate, banking, government, and insurance. This collaboration guarantees that the insights presented on Zillow are both credible and actionable, empowering users to make confident decisions.
Beyond providing climate risk information, Zillow is also taking steps to reduce its own environmental impact. Earlier this week, the company announced that its near-term science-based targets for reducing greenhouse gas emissions were validated by the Science Based Targets initiative (SBTi). These targets demonstrate Zillow’s commitment to environmental sustainability and highlight its dedication to mitigating the effects of climate change.
By integrating climate risk data and taking proactive measures to reduce its own emissions, Zillow is setting a new standard for responsible real estate practices in an era defined by climate change. This forward-thinking approach empowers homebuyers, agents, and the industry as a whole to navigate the complexities of climate risk and make informed decisions for a more sustainable future.
