Zillow has removed direct climate risk ratings from its property listings, shifting responsibility to buyers to independently seek out hazard data. The move follows criticism over the accuracy of risk modeling used by the real estate platform. Previously, Zillow integrated data from First Street Foundation, a non-profit that assesses properties’ vulnerability to extreme weather events such as floods, wildfires, and severe storms.
Why the Change?
The decision came after the California Regional Multiple Listing Service (CRMLS) raised concerns about the reliability of First Street’s models. CRMLS CEO Art Carter argued that showing probabilities of future damage could unfairly devalue properties without absolute certainty. While Zillow still links to First Street’s website for those who seek out hazard scores, the direct visibility of risk has been eliminated from sales listings.
What This Means
This change highlights a broader tension between transparency and property values in a warming world. Millions of homes are now recognized as at higher risk of flooding than previously estimated by government agencies, according to First Street Foundation data. By removing the immediate display of this risk, Zillow potentially shields sellers from price reductions, but leaves buyers to navigate climate hazards on their own.
The move effectively places the burden of due diligence on the consumer. This shift raises questions about the future of real estate disclosures in an era of accelerating climate change, and whether platforms like Zillow will continue to prioritize market stability over informing buyers about potential long-term costs.
The implications are clear: without standardized, transparent risk assessments, property values may not fully reflect the increasing dangers of extreme weather, leaving some buyers unprepared for future losses.
