More on Zillow/Trulia

|About: Zillow Group, Inc. (Z)|By:, SA News Editor

A source tells Bloomberg Zillow (Z +18.8%) could value Trulia (TRLA +28.7%) at up to $2B in a deal. That would imply an acquisition price of ~$54/share.

The source adds a deal could be announced as soon as next week. Bloomberg cautions talks remain ongoing.

The rumored price represents a ~33% premium to Trulia's Wednesday close. Nonetheless, it values the company at 6x 2015E sales, a multiple well below the 12x sported by Zillow as of yesterday's close.

Perhaps more importantly, there's plenty of enthusiasm on the Street for a deal that would create a clear-cut leader in what remains a very fragmented online real estate market that still only accounts for a small (but growing) fraction of total U.S. real estate services spend.

Earlier: Zillow reportedly looking to buy Trulia