Zillow Inc. agreed to purchase Trulia Inc. for $3.5 billion in an all-stock deal that is designed to make the combined entity the largest player in online real estate advertising.

Trulia shareholders will receive 0.444 shares of Zillow for each share of Trulia, the companies said in a statement today. That’s equivalent to Zillow offering $70.53 a share for Trulia, or 25 percent above Trulia’s closing price of $56.35 on July 25. Zillow shareholders will own two-thirds of the combined company, while Trulia stockholders will own a third.

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