Zestimates Are Not Accurate

Dated: 04/07/2016

Views: 825

Home value estimates on Zillow - or "Zestimates" - are not very accurate. This is according to the CEO of Zillow Spencer Rascoff. In this interview he admits that nationwide Zestimates have a margin of error of 8%. On a $300,000 house, that's $24,000 dollars - or in other words - a good chunk of change. 


Remember, that's the nationwide average margin of error. Meaning that some areas are better and some are worse. Spoiler alert, Idaho is a non-disclosure state, which means that sale prices do not appear on the public record, therefore sites that aggregate data - like Zillow, are working from a very incomplete set of information. Really they can only go on user reported data to get sold info. 


What that means to you is that if you want to get an accurate idea of what your home is worth on the market, you should probably speak to a Realtor® who can access the MLS, which does house the vast majority of information on sold homes. Even it doesn't have everything, like private party sales, like For Sale By Owner. But it does have enough to build a likely profile of what your home would sell for in the current market based on past sales and current offerings. 


So, again, Zestimates bad, Realtor® CMA good (assuming you have a competent agent. Which is another topic.) Talk with you soon!

Blog author image

Gavin McCaleb

Gavin has lived in Boise for over 20 years. In 2003 he got his start in real estate as an investor and since then he has personally bought and sold over 100 houses. He got licensed in 2009 and is now....

Want to Advertise on this Site?

Latest Blog Posts

5 Cool Neighborhoods That Might Be Perfect For You

Sky Mesa, Meridian   Some homesites nestle to a hillside, so open windows to private back yards creates stunning interiors. A quick 10 minute drive to The Village shopping center,

Read More

Top 10 Design Trends Not Mid Century For Idaho

Once upon a time, I worked in the building materials industry when modern design first started making a come back. A tile company had done extensive studies and reported that only 10% of the

Read More

6780 S Zeus Way Spacious Updated Home With A Great View MLS 98677496

6780 S Zeus Way Spacious, Updated Home with a Great View! MLS 98677496  Looking for a spacious home with a great view? This home has been recently updated with new carpet and interior

Read More

Build Your Dream Home On This Little Slice Of Heaven 5313 N Willean Ln MLS 98656400

Build your dream home on this little slice of Heaven! 5313 N Willean LnMLS 98656400You’re going to want to build your dream home on this little slice of Heaven!  This is the perfect

Read More