Are Zillow Zestimates Accurate?
Articles,  Blog

Are Zillow Zestimates Accurate?

– Have you ever looked
up the value of your home on Zillow and thought is that
really what my house is worth? Then today’s episode is for you. (upbeat music) Hey everyone, it’s Shelley Killinger here from the Shelley Killinger
group at RE/MAX CSI. Welcome to Feels Like Home,
our weekly real estate chat here at the Shelley Killinger group. Today, we are talking
about Zillow estimates, or Zestimates as they call them. My customers often ask me, Shelley, is that number
that they’re giving me on Zillow reliable? Or is it not? And quite frankly, as a realtor, I have seen them kind
of all over the place. I’ve seen them coming high. I’ve seen them come right at value. And I’ve seen them come in
quite low, to be honest, which is frustrating for sellers. So, I always tell people, Zillow is a great tool, it’s great for connecting
buyers and sellers to realtors in their neighborhood. It’s great for making it easy for buyers to see what homes are
available for purchase. But the Zillow Zestimate feature can be a little bit lacking. But it’s technology
based, what do you expect? Zillow is going to base
their value on features that it’s easy to pull off of online data, that kind of thing. So they’re goin to look at
the geographic location. They’re going to look
at bedrooms, bathrooms, square footage, all of those very hard facts about the house. But what they don’t
take into consideration is everything else. Basically think of it this way, a Zillow Zestimate is like
me, I’m a licensed realtor, trying to do a marketing analysis for my sister’s house in St. Louis. I don’t know anything
about the market there. I don’t know anything about
the neighborhoods there. I do know, I can look up
online just like anybody else, what have sold properties
been selling for, what have properties been selling for, what on average is the
price per square foot, and I can put together a ballpark number, but there’s a chance that her neighborhood maybe is a little bit more desirable than a neighborhood that I’m comparing to. Her street perhaps is a
little bit more desirable than another street. Perhaps she’s got power
lines in her backyard that make it really unattractive. Once you’re there and physically
standing in the house, you’re able to see those things. Perhaps they have done
updates in their house that other people haven’t in
those comparable properties. So it’s very, Zillow
Zestimates are very similar to a realtor from out of town who is just pulling data from the internet, putting together a general
market estimate for you so of course, there’s going to
be some flexibility in that. Any online home evaluation tool is going to be similar in that regard. So what I will say, Zillow Zestimates are an
excellent starting point. If you are just looking for a
ballpark on your home’s value, a Zillow Zestimate would do the trick. If you’re just, if you’re
not thinking about selling for another 10 years and you
just kinda wanna keep tabs on what it’s worth, Zillow Zestimate could be accurate enough. However, if you are thinking
about buying or selling in the near future and accuracy of numbers really is a big deal, for example, how much am I going to be
able to sell my home for so I that I know how much I can therefore put towards the purchase of my new home, that number needs to be really accurate. So if you’re in that position where you need to sell your home and the numbers need to be really tight, I would call a local agent. That local agent is going to be able to look at other factors, aside from just the data
that Zillow would pull. The bedrooms, the bathrooms,
the square footage. They’re going to walk through your home they’re going to be able to see all of the updates that
you have done to the home. They’re going to be able to have some local market knowledge,
knowing that okay, so this neighborhood on this side of town tends to sell for a little bit more than the other neighborhood. Or you know what, you are on a busy street and sometimes that makes a difference on your purchase price. So we need to price it more competitively in order to be able to
sell in the amount of time that you need to sell for. There are so many other
factors to consider. They also will have local market knowledge in is the market shifting? As of the filming of this video in 2018, we are starting to
experience a market shift. So it’s important to
talk to a local realtor who knows and can sense, you know what, we need to price a little
bit more aggressively than we used to. It used to be a very hot sellers market. We’re headed into a little
bit more of a neutral market. We can’t take as much risk on price. So I don’t think you’re going
to be able to get as high of a purchase price as we thought. Those are really important things to know. So that you’re not sitting on the market for months and months and
months wondering what happened. So again, Zillow is an awesome tool. The Zestimate feature is
an awesome starting point. But if you’re looking for
a really specific value of your home, call a local expert who knows all of the ins
and outs of the market, who can walk through your home and physically be in the space, and who sells real
estate on a daily basis, that way in your market, that way you know you’re getting the best advice possible. So just a quick video
today on Zillow Zestimates. I hope you found it valuable. Please do subscribe to our channel using the button down below so you don’t miss out on
any of our monthly updates or our weekly videos. Thank you guys so much for watching. I’ll see you next time. (upbeat music)

Leave a Reply

Your email address will not be published. Required fields are marked *