Don't Believe the Zest

We've all been there.  You're living in your home, doopy doopy doo........ Zero plans of moving or selling. And there Zillow is, just waiting for you to sneak a peak at what your home really worth. Ah, the siren call of the Zestimate: every future seller's secret flirt.

Sure. You're just curious. Or maybe you really are secretly longing to downsize, move to a warmer climate, or even a different neighborhood...  You haven't told anyone - not even your partner.  It won't hurt to look.  Just in case you decide to say screw it, we're going to sell this house, sail the seven seas and end up on a lentil farm in Victoria, BC or teaching English in Bali.

No judgment. It's easy to turn to online tools for quick estimates of property values, and zillow is the google of this game. 

Zillow's Zestimate tool provides an automated property valuation based on a variety of publicly available data points. And while Zestimates are a convenient and (let's be real) often unavoidable starting point for homeowners and buyers, it's important to understand their limitations. Here's are 5 reasons why your home's zestimate is wrong. 

1. Lack of Access to Interior Information: Zestimates rely on publicly available data and algorithms to estimate property values. However, they do not have access to the interior condition of a home, which can significantly impact its value. Renovations, upgrades, and overall maintenance may not be reflected in the Zestimate.

2. Market Variability: Real estate markets are dynamic and can vary significantly from one neighborhood to another. Zestimates may not accurately capture the nuances of local market conditions, leading to inaccuracies in property valuations.

3. Data Lag: Zestimates may not reflect the most up-to-date information about a property. Recent sales, changes in neighborhood dynamics, or other factors affecting property values may not be immediately incorporated into the Zestimate.

4. Inaccurate Comparables: Zestimates use comparable sales data to estimate property values. However, the selection of comparable properties may not always align with the unique characteristics of a specific home, leading to inaccuracies in the valuation.

5. Geographic Variations: Zestimates may perform differently in different geographic areas. Factors such as the availability of data, market transparency, and property types can impact the accuracy of Zestimates.

Bottom line: Don't Believe the Zest -- We Can Help

Zestimates are not a pricing strategy, period, end of story.  The Zillow wizards have dominated search, but they don't know what you've done with your home since you bought it, nor do they know what your neighbors have done with their homes -- unless, that is, they've been listed by excellent real estate agents who use best-in-class tools to position your home for sale. 

If you find yourself playing the late night zillow game, know that you can consult with us for free at absolutely any time for a more accurate assessment of your home's value.  We promise we won't tell!