ZipRealty Quarterly Housing Market Index Highlights Year-Over-Year Inventory Levels, Price Reductions and "Hot and

EMERYVILLE, CA, Aug 27 (MARKET WIRE) --
The number of homes listed for sale in 18 major metropolitan markets
across the U.S., as well as the number of homes that include a price
reduction, rose six percent from June 2007 to June 2008, according to the
national real estate brokerage ZipRealty (www.ziprealty.com) (NASDAQ:
ZIPR).

Additionally, the brokerage details a snapshot of "hot and cold zip codes"
in six key markets based on the percentage of homes' list price compared
to the final sale price, and the results of a market perception survey of
buyers and sellers, as part of its Quarterly Housing Market Index,
released today.

Highlights from the ZipRealty Quarterly Housing Market Index, based on
data from 18 markets including the San Francisco Bay Area; Southern
California; Boston; Chicago; Washington, DC; Seattle; Las Vegas;
Baltimore; and others
included:

-- The biggest inventory hikes year-over-year were in Seattle (up 29.1
percent), followed by Baltimore (up 12 percent) and Miami (6.7 percent).

-- Miami is suffering a double-whammy of rising inventory and a steep
increase in reduced price homes (up 11.4 percent).

-- Inventory levels have decreased the most in Sacramento (down 22.4
percent), followed by Las Vegas (down 18.5 percent) and Orange County (down
15 percent) -- both areas which experienced the second and third highest
percentage of price drops in June 2008.

-- Out of six markets reviewed (Los Angeles, San Francisco Bay Area,
Chicago, Boston, Washington, D.C. and Seattle), several zip codes are still
selling over list price: Near South Side (60605), Loop (60604), and Auburn
Gresham (60620) in Chicago, Palo Alto, CA (94306), and Noe Valley (94114)
in San Francisco.

-- Within the same markets, the following zip codes are selling well
below asking price: Roseland (60628), Humboldt Park (60651), West Pullman
(60628), South Chicago (60617) and Chicago Lawn (60629) in Chicago.

-- Those residing in Texas, Washington, D.C., and Denver are more
optimistic about whether home prices are declining, while Southern
California residents are most pessimistic.

-- Overall, 66 percent of buyers and 72 percent of sellers believe prices
will decrease five to 10 percent.

"It's not surprising to see the rise in inventory and number of homes
that include a reduced price, given the current market conditions," said
ZipRealty President and CEO Patrick Lashinsky. "However, certain zip codes
in our markets are still hot enough to attract multiple offers and see
homes selling at or above list price."

Methodology

ZipRealty pulled various real estate data from the Multiple Listing
Services offered in 18 of the 35 major metropolitan areas in which the
real estate brokerage operates nationally. The data pulled and cited
within this report is for the second quarter of 2008, beginning April 1
and through June 30. Additionally, the metropolitan areas ZipRealty cites
as part of its monthly report are defined by the brokerage, and may differ
slightly than standard DMAs.

For full results of the ZipRealty Q2 Index, please find a presentation at
http://www.ziprealty.com/pdf/2008_2Q_HousingReport.pdf. In addition,
podcast can be found at
http://ziprealty.typepad.com/blog/2008/08/housing-report.html

About ZipRealty, Inc.

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 35 major markets in 20 states and the
District of Columbia. For more information on ZipRealty, visit
www.ziprealty.com or call 1-800-CALL-ZIP.

Contact:

Marcus Gamo
Allison & Partners
415-277-4925
Email Contact

Marielle Covington
Allison & Partners
415-277-4929
Email Contact

Copyright 2008, Market Wire, All rights reserved.

-0-