Why Zillow Zestimates are not accurate
TLDR: Zillow's "zestimates" can be off-base when it comes to valuing a home because they only consider recent home sales and public records, not upgrades, amenities, or local expert projections. To get a more accurate valuation of your home, it's important to keep records of upgrades and meet with a real estate agent for a free market analysis.
Zillow undoubtedly has taken the world by storm with the speed, convenience, and sheer amount of information that is available with a quick search. While searching for a new home to buy, a place to rent, or just looking to explore your options – please do not let the “zestimates” paint the picture for you.
While Zillow can quickly let you know what is available in your area, the pricing tends to be off base and calculated by recent home sales – taking nothing but closed area stats into consideration. While this is one approach to finding the market value of your home – Zillow will not take any upgrades, neighborhood amenities, local expert projections, or even advancements to the area into consideration when valuing your home. Zillow relies on public records and past sales which either could have errors that can negatively or positively affect the projected valuation of your property. It is of the utmost importance to make sure you keep a record of the work, enhancements, and strive to put about 1-4% of your home’s value back into your home yearly – read more about that here How much to put into your house yearly… and why.
Are you looking to know how much your home is worth before you make a decision to list? Schedule a time to meet with me at my office, and I would love to help you with a free market analysis. I can assure you, I will be completely honest, and upfront, and help you understand the value of your home, and work with you to determine a listing price that will provide a great return for you upon selling.
