Ugh, I just rebuked (not really) an investor client for checking some values on zillow, and ran my own comps for him. Then I decided to check to see what information he was getting from zillow... Pretty close!

$215,000... Z$232,000
$265,000... Z$260,000
$275,000... Z$299,000
$155-$165...Z$155,000
$510,000... Z$528,000
$265-$275...Z$272,000

So I ran some others whose value I am pretty confident about, and zillow was within $5K of those too!! I do have and under$300K home under contract at $10K above what I consider to be market value, and zillow rated it at $10K below my number.
--A

Then again, to answer my own thread, I just ran one of my non-investor homes for a comp check on zillow. List is $1.25M, true value could be $1.16M to $1.26M, I think with what we're seeing in the area it may be going for $1.18M... But zillow says $1.52M - and honestly, it would never get that!
--A

I can see Zillow (and others) causing all kinds of problems for agents... not from a commission standpoint but from a listing valuation standpoint.

I can hear it now: "but Zillow says my house is worth 35k more...."

Just checked one that was recently appraised at $305K. Zillow says $291K but their info was wrong on number of bedrooms - it is a 4BR but they said 3BR -- when adjusting to 4BR, Zillow DROPPED the price to $247K. ?????

Perfect!, those are the same people who ignore the 9 valid comps and want to use the one comp that is way too high and had a view.

Those are the same people in which you say, Mr. / Mrs. Jones, thank you but I am sorry I just can't help you. I would recommend XYZ company. They would be happy to list your house for 35K over what we can see is most likely the market value.

Do me a favor, if you find that they cannot sell your home please cancel the listing and call me back.

Then RUN. I cannot understand why desparate agents take overpriced listings, I learned a long time ago those people just wear you out. This is one reason I like the discount model. You get so many listings you can just walk away from these irrational people and just work with the people who have enough common sense to listen to what you have to say.

"Do me a favor, if you find that they cannot sell your home please cancel the listing and call me back.

Then RUN. I cannot understand why desparate agents take overpriced listings, I learned a long time ago those people just wear you out. This is one reason I like the discount model. You get so many listings you can just walk away from these irrational people and just work with the people who have enough common sense to listen to what you have to say."


ITA!!!!
--A

Zillow's basis data source and delays assure it will always be behind the curve... both going up and going down. It has no ability to assess condition of property, nor any special circumstances of any specific sale....and when non-traditional property transfers occur the system is worthless and the numbers of those non-traditional property transfers are significantly increasing as more informed/ knowledgeable buyers and sellers AND agents assist their less knowledgeable buyers and sellers in understanding the benefits and procedure.

Zillow's main reason for existance is to sale marketing space and leads back to real estate agents foolish enough to buy them... read the recent Realty Times articles on Zillow.... several are posted in this forum.