SOURCE: ZipRealty

May 08, 2008 08:00 ET

ZipRealty Rebates $100 Million to Home Buyers

Rebates Help Ease Costs of Moving, Spent on Closing Costs, Furniture and Bills

EMERYVILLE, CA--(Marketwire - May 8, 2008) - ZipRealty (NASDAQ: ZIPR) (, the largest online-based, full-service real estate brokerage in the U.S., announced today that it has rebated over $100 million to home buyers since the company was launched in 1999.

Because of its efficient business model, which blends valuable, online home search tools with a high level of customer service from local and licensed agents, ZipRealty can pass savings onto clients without sacrificing top-notch service. In markets where permitted by law, the Company rebates up to 20 percent of its commission in cash to buyers at closing. In addition, more than 95 percent of its clients indicate they're "satisfied" or "completely satisfied" with ZipRealty's service.

Who's Getting the Rebate

Of the 34 markets in which the company currently operates, ZipRealty buyers in the following cities have received the most in rebates from ZipRealty:

--  San Francisco/Bay Area         $22.5 million
--  Los Angeles                    $12 million
--  Boston                         $10 million
--  Seattle                        $7 million
--  Phoenix                        $7 million

ZipRealty has also rebated more than $48 million to buyers across all of its California markets, which includes San Diego, Sacramento, Orange County, Bakersfield and the Inland Empire.

"Giving $100 million back to our buyers is an unparalleled milestone for the real estate industry, and indicates that our full-service, non-traditional business model works for today's buyers and sellers," said Patrick Lashinsky, President and CEO of ZipRealty. "What's most impressive is that we've maintained a customer satisfaction rating that's well above the industry average at the same time."

How They're Spending It

In April, ZipRealty polled its past buyers to determine how they spent their rebate check. While 26 percent of buyers who responded to the survey used their rebate to cover closing costs and moving expenses, other buyers took a different approach:

--  27 percent used it to buy extras, like furniture, decorating, home
    theaters, new appliances and renovations
--  18 percent used it to pay bills
--  11 percent put it into savings

About ZipRealty

ZipRealty is a full-service residential real estate brokerage firm. The Company utilizes its user-friendly Web site and employee real estate agents to provide homebuyers and sellers with high-quality service and value. ZipRealty's Web site provides users with access to comprehensive local Multiple Listing Services home listings data, as well as other relevant market and neighborhood information. The Company's proprietary business management system and technology platform help to reduce costs, allowing the Company to pass on significant savings to consumers. Founded in 1999, the company operates in 34 major markets in 19 states and the District of Columbia. For more information on ZipRealty, visit or call 1-800-CALL-ZIP.

Cautionary Language

This release contains forward-looking statements within the meaning of the "safe harbor" provisions of the federal securities laws, including, without limitation, that our full-service, non-traditional business model works for today's buyers and sellers. The forward-looking statements are subject to risks and uncertainties that could cause actual events to differ materially from those projected, including the risk factors set forth in our Form 10-K filed with the SEC for the fiscal year ended December 31, 2007 and other filings with the SEC including our quarterly Form 10-Qs and periodic Form 8-Ks. The forward-looking statements included in this release are made as of today's date and, except as otherwise required by law, we do not intend to update these forward-looking statements to reflect events or circumstances after the date hereof.

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