The discrepancies between Zillow’s Zestimate and real estate agents

Are you familiar with Zillow’s Zestimate? Many people rely on this feature to estimate the value of their homes, considering it’s quite similar to what a real estate agent does—analyzing home features and square footage. However, there’s more to the story than meets the eye.

As a seasoned real estate agent in this community, we know that assessing a property’s worth goes beyond mere data. We possess in-depth knowledge of neighborhoods, distinct home features, and market trends, which Zillow lacks. Let’s dive into why real estate agents still hold a significant advantage over Zillow’s Zestimate.

Take Arcadia, for instance. The value of properties here can differ significantly depending on their location relative to the canal. While Zillow may not be familiar with these nuances, we have an in-depth understanding of the different neighborhoods in the Arcadia area. This local expertise allows us to provide more accurate valuations tailored to specific regions.

Interestingly, Zillow actually relies on the listing prices determined by real estate agents instead of formulating their own estimates. This reliance indicates a level of trust in the expertise of real estate professionals.

“As a seasoned real estate agent in this community, we know that assessing a property’s worth goes beyond mere data.”

Zillow boasts a 2% accuracy rate for on-market deals. While this may seem impressive, the accuracy drops to a mere 7.49% for off-market deals or properties that haven’t hit the market yet. Clearly, Zillow’s Zestimate struggles with valuations in such scenarios.

Moreover, Zillow correctly estimates the actual purchase price within 5% only a third of the time. This means it’s not always reliable for determining the true value of a property.

You may remember that Zillow attempted to buy houses directly from homeowners a few years ago. However, this venture didn’t fare well, and they eventually withdrew from the home-buying business.

When it comes to pricing your home accurately, trusting a professional real estate agent is the best approach. While Zillow’s Zestimate may provide a rough estimate, nothing beats the personalized insights and in-depth market knowledge that real estate agents offer.

If you’re considering selling your home and want the most accurate pricing, reach out to us. As experienced real estate agents, we can provide you with a comprehensive analysis of your property and help you make informed decisions. Give us a call or send us an email, and we would be more than happy to assist you in getting the most accurate price for your home. Don’t leave the valuation of your most significant asset to chance—opt for a reliable and personalized approach with a trusted real estate agent.