Home Values on Zillow Explained
Is a Zillow home value estimate accurate?
Home buyers and sellers must know that the home value estimated by Zillow is only sometimes accurate.
There are numerous internet tools available today when selling or buying a home. Resources are readily available for finding properties, listing, viewing, and advice on selling and buying, as well as online calculators for pricing. Zillow offers one such app.
Zillow Zestimate
Zillow has a trademark on the term “Zestimate,” which calculates the home’s value. Unfortunately, these home values are not always accurate.
Because of inaccuracies when selling or buying a home, never rely solely on Zillow estimates to make decisions. Accurate information is related by professionals in real estate and not online estimators of home value.
Online home value estimators have yet to consistently rely on delivering accurate and fair market home values.
The Assessed Value of the Home
One of the value factors that Zillow uses in its formula for estimating home values is the property’s assessed value from tax records.
The assessed home value does not usually correlate with the market value of a property. The purpose of the estimated value of a property is to collect taxes. Most of the time, they are below the actual market price of a home.
A professional real estate agent will not use a property’s assessed value when deciding on market value. The home’s estimated value is to be used for tax assessments only.
How Zillow is Useful
Everything about Zillow except for their Zestimates is of value. Some of Zillow’s other information can be helpful when buying or selling a home.
Integrating maps on the Zillow site with each listing helps potential buyers survey the property and what surrounds the property.
Other helpful information includes the number of bedrooms and baths, square footage, age, size of the lot, and taxes. One of the most significant advantages to potential buyers is the data Zillow supplies on past property ownership and what was paid for the property over time.
From the perspective of the seller, Zillow provides visuals of the property. This stimulates buyers to schedule appointments to view the property with a real estate agent.
Zillow is Great When House Hunting
With a smartphone, you can get a lot of information about a home you are interested in, even when sitting in front of the potential house!
However, it would be best if you NEVER thought that a Zillow home value is what your home is worth.
Calculating the Worth of my Home
Always rely on something other than a home value estimator. The best way to get your property value is to speak with a real estate professional.
By hiring a real estate appraiser and a local real estate agent, you will be provided with an accurate appraisal, and your professional realtor will give you a competitive market analysis.
Both will take an in-depth look at your property using comparable sales data. An online home value estimator such as Zillow Zestimates cannot do this. By visiting your property, professionals can better understand its strengths and weaknesses.
Proper home pricing is an art and science all rolled into one. It is not accomplished when you trust a computer-generated value, whether Zillow or another online valuation tool.
Always consult a local real estate professional like Katie McNeill or a competent appraiser if you want an accurate home value. Online home appraisal tools are great for ballpark estimates but every home has extenuating circumstances that must be considered before a true, accurate, and fair price is determined for a property for sale.
Excellence in Real Estate Services
The Katie McNeill Team at Platinum Real Estate’s approach is designed to use our combined knowledge, experience, and skills to provide the expertise and service our customers and clients deserve. We look forward to working with you!
