Zillow reports 21% rise in engaged home shoppers despite slow sales

Zillow reported a 21.4% year-over-year increase in “engaged home shoppers” during the second quarter of 2026. An engaged shopper is defined as a user who saves or shares a for-sale listing, signaling higher intent than casual browsing. Despite this surge in interest, home sales rose by only 4.5% during the same period.

The discrepancy between shopping intent and completed transactions is attributed to rising borrowing costs and affordability pressures. While mortgage rates were more favorable earlier in the season, tightening conditions and economic uncertainty have kept many potential buyers on the sidelines.

Market competition varies significantly by region due to inventory levels. In the Northeast, where years of underbuilding have limited supply, competition is high; Buffalo led with 10.5 engaged shoppers per listing, followed by Providence and Hartford. Conversely, in parts of the Sun Belt where inventory has grown, competition is lower, with cities like Houston and Miami seeing fewer engaged shoppers per listing.