Online Home Evaluations or better know as Zestimates or Home Value Estimates may not be giving you an accurate value for your home...
There are a hundred online real estate sites out there. It seems like most of them are offering some sort of online home evaluation, be it Realtor.com, Zillow.com, Redfin, Trulia, you name it, they're going to have some sort of online home evaluation tool to tell you what the value of your home is.
Which one is the most accurate?
It's really hard to say, each market, even down to the neighborhood level can be different. I've seen discrepancies as much as 15% on the value of some homes. The reason there are discrepancies like this is because:
1. These sites use a computer generated model that uses county data which can include sales to family members, off market distressed sales, so it's not the most accurate data.
2. They use really broad data, including different neighborhoods. Some neighborhoods sell for much more or less than others which could tie into the values you're seeing on these site which could increase or decrease the value of your home.
3. These sites don't take into consideration the condition of your home or amenities and upgrades you might have which is very important in determining the value of your home.
In conclusion, these home evaluation tools are not a bad way to get a general idea of your homes value, just understand they are going to be 5 - 10% off on average. If you're just curious go ahead and check them out.
If you're serious about selling or refinancing your home, you will want to get an accurate valuation of your home to understand your equity position. The best way to do that is to talk to an appraiser to get an appraisal on your home, or talk to your real estate professional and we can run comparable sales that best match your home's features and amenities in the right neighborhoods to give you a more accurate evaluation.
The best way to keep an eye on the value of your home and local market is to watch the sales happening in your neighborhood.
Our website does an amazing job of keeping you up-to-date on a very specific range of properties comparable to your home in your neighborhood. You'll see on a monthly basis, all the new listings, what's selling and how much they are selling for.
Visit our website today at www.PetersonTeamRE.com we're more than happy to put together a custom market update for you so you can keep track of the value of your home. If you have any real estate questions whatsoever regarding your homes value, or you’re thinking about selling, give us a call!