Sure, but that doesn’t mean that the average person can acquire a house for cheaper today. And that’s really the only part of the story that matters
However, to me it makes sense that theres some softness in what Zillow tried to do because rates are likely to rise in the next year or so and most people know that. Thats going to put pressure on lending which effects housing demand. Their AI might be top notch but they probably just timed the whole market poorly.
To be sure, none of us will be buying one of their distressed properties though.