Can I trust Zillow estimates?

Can I trust a computer to figure out the market value of my real estate in Bergton?

Zillow is a billion-dollar website that provides computerized estimates that purport to figure the value of each and every property in the United States. Zillow tries to achieve this this task by using a fancy program which compares factors which affect real estate values, but here's a typical story I have heard from property sellers in Northern Virginia:

Many consumers have serious doubts about the accuracy of Zillow home value estimates.

Our home was recently appraised for 650K. Zillow estimates the value at 521K. The estimate makes us one of the lowest priced homes in the subdivision. We have all upgrades in our home and it is the largest of the homes that were originally built in this subdivision. It was appraised at 750K before 2009. Our home has a basement. Neighbors do not have basement on one side and you appraised higher. Really? -- James E. - Fort Hunt

If you search the Internet for the phrase "Can I trust Zillow?" or "Can I trust Z-Estimates" you'll find countless complaints by angry property owners and leery home buyers who have discovered the hard way just out inaccurate Zillow's pricing can be. Many people in Bergton claim that Zillow's valuations have a margin of error of about 20%. Even if we assume the margin of error is only 10%, in Northern Virginia that means a "z-estimate" is only within $50,000 of the actual value. If the margin of error is an improbable 5% that means that a z-estimate is only within $25,000 of the asking price.

Yet Zillow still remains popular with some buyers and sellers. Home sellers and property buyers should understand that there is not a single community in Bergton where either a bank or tax collector uses Zillow for tax assessment or appraisals. Our expert advice is to take estimates from any website at arm’s length. Putting too much reliance into a computer logarithm can cause a great deal of unnecessary anxiety.

Connect with one of our agents today for a free comparative market analysis of your property's value. We promise that a computer won't set the market value. Instead, your friendly neighborhood Nesbitt Realty real estate pro will take into account the complicated variables which make up your property's sales value.

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7 Reasons Why Zillow Estimates Are Inaccurate

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