Just about everyone we work will bring up their home value according to what their “zestimate” was. Zillow gathers certain data from the local market and plugs it into an algorithm designed to establish a value for your home. The site is good for establishing a ballpark estimate and informing consumers where the market is heading - but not much else.
Zillow doesn’t service customers very well when it comes to supply and demand. For homes under $275,000 in Tucson, we currently have a strong seller’s market, with less than a 3-month supply in most areas. On the other hand, the $700,000 and above range is seeing a strong buyer’s market, with an inventory of over 12 months. These differing markets have a huge effect on pricing, and Zillow doesn’t take the variables into account.
Another way Zillow fails to assist the consumers is its inattention to the location of properties. Some neighborhoods demand much higher prices than surrounding areas. For instance, we just listed and sold a home with a $300,000 “zestimate” in three months and for just under $600,000. Zillow fails to take location and home improvements into account, which may lead them to undervalue your home.
As real estate professionals, it’s our responsibility to get you the highest possible dollar amount for your home. Zillow provides some basic tools for the curious consumer, but serious buyers should stick with the experts. If you have any questions about what we offer over Zillow, give us a call or shoot us an email. We would love to hear from you!