How does Angi work, in one answer
Angi connects homeowners who need a home project done with local service pros who pay to reach them. Homeowners search, read reviews, request quotes or book directly at no charge. Pros list a profile, and those who advertise receive leads, which are homeowner requests passed to them for a fee.
A marketplace, in this context, is a platform that earns money by matching buyers with sellers. On Angi, the buyers are homeowners and the sellers are contractors and other home-service pros. Homeowners pay nothing to use it; pros fund the system.
Angi describes several homeowner paths. A homeowner can find pros, get upfront pricing, book some services instantly, or compare quotes on larger projects. The path depends on the size and type of the job.
Where the name came from
Angie Hicks and William S. Oesterle founded Angie’s List in 1995 in Columbus, Ohio. In March 2021 Angie’s List became Angi, and ANGI Homeservices became Angi Inc. The reasons behind the Angi name change are told in a separate part of this series.
The mechanism that links requests, pros and reviews
Angi runs on three linked pieces. Homeowner requests feed a matching system that sends them to pros, and a review system shapes which pros look trustworthy.
Pros pay for advertising and for leads. Badges and ratings decide which pros are allowed to advertise at all.
From request to lead
A lead is a homeowner’s request for work, passed to a pro who may win the job. HomeAdvisor’s 2022 answer to the FTC described two kinds. Market Match leads come from homeowner requests matched automatically, while Exact Match leads come when a homeowner picks a specific pro.
Angi’s pro help says pros are charged for each lead when it is sent. It also says a lead is no promise of a job. A pro pays for the chance to quote, not for a signed contract.
Some leads are shared. In the same FTC answer, HomeAdvisor said some leads can go to up to four service providers. Several pros may then compete for one homeowner.
Where HomeAdvisor fits
HomeAdvisor began as ServiceMagic in 1998, was bought by IAC in 2004, and was renamed HomeAdvisor in October 2012. In 2017 Angie’s List and HomeAdvisor combined under ANGI Homeservices Inc. HomeAdvisor later became Angi Leads, and its pro product now appears as “Angi Leads (formerly HomeAdvisor Pro).”
How reviews and badges work
Angi says it verifies each review comes from a real customer. Pros can request reviews, including from people who did not find them on Angi, and they can respond to reviews. Ratings then feed a badge called “Angi Approved.”
To be Angi Approved, a business needs an average of 3 stars or higher with at least one review. The owner, principal or relevant manager must pass a criminal background check. Licensing, bonding and insurance are self-reported by the business.
A rating floor also controls advertising. A business whose rating drops below 3 stars cannot advertise on Angi. Reviews therefore affect both how a pro looks and whether it can pay to appear.
How paid status touches search order
In August 2016 the company paid $1.4 million to settle class actions over whether provider ad payments affected grades and rankings. It denied the claims. It disclosed that provider revenue can affect search-result order under certain settings.
The parts of Angi and who uses each
Angi has a homeowner side, a free pro profile, an upgraded advertising profile, and a lead product that grew out of HomeAdvisor. Each part serves a different user and carries a different cost. The table below sets them side by side.
| Part of Angi | Main user | What it does |
|---|---|---|
| Homeowner search and booking | Homeowners | Find pros, see pricing, book or compare quotes free |
| Free pro profile | Pros | Share business information on the platform |
| Upgraded profile | Pros who advertise | Allows advertising to homeowners |
| Angi Leads | Pros who buy leads | Sends homeowner requests to pros for a fee |
| Reviews and badges | Both sides | Verified reviews and the Angi Approved badge |
Homeowner side
The homeowner side is free. In July 2016 the basic tier of Angie’s List became free after years of paid subscriptions. How homeowners actually search and pick pros is covered in its own part of this series.
Pro side
A free Angi profile lets a business share its information. An upgraded profile allows advertising. The difference between the free and paid versions is the subject of a sibling guide on Angi business profiles.
Lead side
Angi Leads sends homeowner requests to pros who pay for them. Angi’s help center lets pros update services, tasks and service locations, and pause leads. How Angi earns from pros overall is described in another part of this series.
What Angi means for a local service business
For a local home-service business, Angi is a paid channel for reaching homeowners, with costs tied to leads rather than finished jobs. Its value depends on lead quality, how fast the business responds, and its review record. It sits beside, not in place of, the business’s own presence on Google and elsewhere.
Costs follow leads, not jobs
Pros pay to advertise on Angi. Charges come when a lead is sent, whether or not the job is won. A business should expect to quote on many leads for each one that converts.
The FTC said HomeAdvisor pros generally paid a $287.99 annual membership plus a fee for each lead. That figure comes from FTC records of 2022 and 2023, and current pricing is not verified. The FTC opinion says Market Match lead fees vary by project type and location.
Speed and accuracy affect credits
Eligible lead-credit reasons include invalid contact info, a ZIP outside the pro’s area, and a service not on the profile. Pros must have tried to call the homeowner within 24 hours to qualify. Unanswered calls, a homeowner hiring someone else, or a lost bid do not qualify.
The practical side of working those leads is covered in the guide on Angi leads for contractors. Keeping the profile’s services and areas accurate reduces wasted leads.
Reviews gate access
A rating below 3 stars stops a business from advertising. Pros can ask past customers, including non-Angi customers, for reviews. A steady review record keeps the advertising option open.
Angi does not buy Google rankings
Google says there is no way to request or pay for a better local ranking on Google. Angi’s badges and reviews live on Angi. Treat Angi as one channel, separate from how the business appears in Google’s local results.
Misreadings of how Angi works
Several beliefs about Angi are out of date or wrong. Reading reviews needs no paid membership, and Angi does not certify licenses or check every worker.
A lead is also not a booked job, and leads are not always exclusive. Each point changes how a business or homeowner should read the platform.
“You need a paid membership to read reviews”
That was true for most of Angie’s List’s history. The basic tier became free in July 2016. Homeowners now use Angi without paying.
“Angi certifies contractors’ licenses”
Licensing, bonding and insurance are self-reported by the business. Angi urges homeowners to verify them with regulators. Vermont’s attorney general said Angi has no certification process.
In October 2025 Vermont’s attorney general settled with Angi. Angi stopped using the label “Angi Certified Pro” and paid the state $100,000. The current badge name is “Angi Approved,” and labels such as “New to Angi” and “New Pro” also exist.
“Every worker at an approved company was checked”
Only the owner, principal or relevant manager must pass a criminal background check. Employees are not all checked. A homeowner who wants more assurance should ask the business directly.
“A lead is a booked job”
Angi says a lead does not mean a job has been won. A lead is a request to quote. The pro still has to reach the homeowner and win the work.
“Every lead is exclusive”
HomeAdvisor said some leads go to up to four providers. Exact Match leads come from a homeowner choosing one pro, but Market Match leads are matched automatically. Pros should expect competition on many requests.
Frequently asked questions
Do people still use Angie’s List?
Angie’s List still operates, but under the name Angi since March 2021. Angi says homeowners use it free to find pros, see upfront pricing, book some services and compare quotes. Pros continue to pay to advertise there.
Is Angi actually worth it?
For homeowners, Angi costs nothing to search, compare quotes or book some services. For pros, the value depends on how many paid leads become jobs, since leads are charged when sent and may be shared. No independent, current data settles the question for every trade.
What are the lawsuits against Angie’s List?
In August 2016 the company paid $1.4 million to settle class actions over whether provider ad payments affected grades and rankings, while denying the claims. Separately, the FTC ordered HomeAdvisor in January 2023 to pay up to $7.2 million. In October 2025 Vermont’s attorney general reached a settlement over the “Angi Certified Pro” label.
How much does it cost to use Angie’s List?
Homeowners use Angi for free. Pros pay to advertise, and lead fees vary by project type and location. No current, verified price list is available, so pros should get pricing directly from Angi.
Where the Angi hub picks up
This guide gives the overall picture of the platform.
The hub collects the related guides on contractor leads and business profiles. It also holds the series parts on the rename, the HomeAdvisor connection, homeowner searches and the money side. Continue at Angi explained for the next layer of detail.
