Previously I’ve lamented about the inaccuracies of Zillow’s “Zestimate”. Here in Tampa Bay, the Zestimate’s margin of error is about 14.6%. That’s because there is no way a Zestimate can tell if a home has upgrades or not, has an amazing view, versus a neighboring home that does not – it simply takes an average. I’ve had conversations with Zillow’s CEO about it and how terrible it is for Realtors, because many times people believe the Zestimate over a local Realtor (for shame!) and we have a hard time convincing them that the Zestimate may not be correct. However the Zestimate is the #1 reason consumers visit Zillow, so they continue to use it, despite its inaccuracies.
Yesterday Zillow announced that it has created a Zestimate for rental properties – whether your property is for rent or not. Once again – Zillow cannot tell if your rental has granite countertops and stainless steel appliances when the one next door has white Formica countertops and white appliances – my guess is they show up the same on the Zestimate for rentals.
Before you go and put your trust in a computer software program to value your most precious asset – place a few calls to local Realtors for a second, heck even a third, opinion. Click here to find out what this Realtor feels your home is worth.
One of my favorite videos below, a critique of Zillow’s Zestimate: