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Does Zillow or other estimates matter?


BigOxley
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Reading the other thread, I was curious about the value of my home.

 

Back story, bought it in 2008 for $174k. 3 bed 1 bath, about 1100sq/ft. Only made improvements since. New siding, new heat pump and a/c, finished upstairs room, new carpet throughout, landscaping, new patio, and parking pad off alley.

 

Zillow is showing my at $169k today:

 

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House on a street over 3b/1b, 1054sq/ft sold for $222k in Oct. 2014:

 

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Another on a street over 3b/1b, 1054sq sold for $222k in Apr 2014

 

Capture2.jpg

 

Down the street, same size sold for $190k in May 2014

 

Capture4.jpg

 

WTF happened to my value?

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Zillow is an estimate. It also says it could be worth as much as $182k. If you made some significant improvements it'll be worth more.

 

It told me my house is worth 135k. I bought it for 96k and made substantial improvements. Realistically I should get $145-150k when I sell it this summer.

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Something similar happened to their estimates on our home last year. I wouldn't put a whole lot of stock in it. Probably just a 'glitch' in their equation, maybe someone very close to you with a very comparable house defaulted?

 

Also, no way they can know about the improvements you've done.

 

%5Bimg%5Dhttp%3A//www.columbusracing.com/forums/picture.php?albumid=563&pictureid=7973

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The online sites are full of misinformation and estimates. Many of the homes listed as for sale or sold or 8 contract. I've been a Realtor for over 20 years and a Broker for 15. Happy to help anyone on CR and give you discounts.
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Yeah, they are looking at comps in the area and trying to estimate price/Sq ft for your place, as far as I can tell. My neighborhood is newer and backs up to homes built in the 50's/60's, so that hurts Zillow's estimate.

 

If the neighbors house burns down and they sell the lot for scrap Zillow will lower your value. They don't know the condition or finishes in your house.

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My old house actually has two listing in Zillow for some reason. Same address, bed/bath, Sq footage, etc in both listings. Only one of them has last year's sale price in the equation.

 

http://tapatalk.imageshack.com/v2/15/01/08/7d56c70b2a24a4755ce2246da03f71e0.jpg

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It's a starting point. It matters without mattering. Your realtor will have a much better picture of the value and best examples of the comps that would pop on an appraisal. But obviously just as you are looking at it a potential buyer will as well. That is followed by their realtor giving them a better picture as to the actual value.

The best thing you can do is take ownership of the home on Zillow and update the information. Zillow runs it's Zestimate algorithm multiple times a week.

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I would trust the auditor's site more than zillow for a good ballpark figure but your house is worth what someone will pay for it.

 

 

Amazingly... when the auditor revalued the houses in Franklin Co. a few years ago, they valued it at the exact price I paid for it.

 

My house was one of the 9% of houses in Franklin County that actually increased in value.

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The auditor site is typically not close to actual values. They do not assess homes every year. And base value, largely, on the last sale. Thankfully, the value is usually low which is reflected in lower taxes.
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1) Selling at near $200 a square foot? Is there gold in your water?

 

2) the best "free" estimator is https://www.chase.com/mortgage/mortgage-resources/home-value-estimator which is loosely biased on comps. But, by best I mean they are all bad and I could only comment on accuracy on a case by case basis.

 

3)"improvements" rarely significantly effect value. Adding bedrooms/bathrooms or square footage is the only sure fire way to make a significant increase in property value.

 

As a note, I just applied for a HELOC with my CU, Chase was at 245k, Zillow was 202k Drive by appraisal came out at 249k.

 

 

At the end of the day, if you not selling your house, or taking out a mortgage, don't worry about it! ;)

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I just used that chase estimator. The address I typed in gave me a $266,050--$359,950 Est. Value. That's a wide range. Zillow was 334k a month ago now zillow says 320k My realtor wants to list this home for 329-339k This home is in Dublin with 2318 sqft. Prices are all over the place. No one way to pin point it down the way I see it.

 

Grandview real estate is high $$$

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I just used that chase estimator. The address I typed in gave me a $266,050--$359,950 Est. Value. That's a wide range. Zillow was 334k a month ago now zillow says 320k My realtor wants to list this home for 329-339k This home is in Dublin with 2318 sqft. Prices are all over the place. No one way to pin point it down the way I see it.

 

Grandview real estate is high $$$

 

That nuts about Grandview. We have a similar effect with Independence where I live, but its still selling 120-140 a square (which is high for the Cleveland area) and actually has better schools than Grandview. Maybe you guys should come up north and get a better deal? ;)

 

http://www.usnews.com/education/best-high-schools/ohio/districts/independence-local/independence-high-school-15478

 

http://www.usnews.com/education/best-high-schools/ohio/districts/grandview-heights-city/grandview-heights-high-school-15229

 

And whatever school this is seems the be the best in Cbus

 

http://www.usnews.com/education/best-high-schools/ohio/districts/olentangy-local/olentangy-liberty-high-school-15494?int=c0b4c1

 

Yeah Chase uses comps but it has no ability to consider intangibles like school district, waterfront, or substantially different size and scope properties that would not be considered in a regular appraisal. The nice thing about Chase is ti gives you the comps, and you can look though them to see what is a best fit to compare to your property.

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Drive by appraisal came out at 249k.

 

Drive by appraisal...:lol:. Is it 2006?

 

I give little to no weight to any of the online value sites. I will ask a realtor to pull comps within usual guidelines to get a ballpark on where value will be if I think there may be an issue. Even then it could be way off but at least you will have a real world idea of what area sales are going for. At the end of the day, your home is worth what someone is willing to pay for it.

-Marc

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Just bought a house in this school district for this exact reason. :fuckyeah:

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Drive by appraisal...:lol:. Is it 2006?

 

It is if your a credit until and you make your own rules :p

 

Only if they pay in cash. At the end of the day you can only get a mortgage for what it appraises for.

 

Yes but in a hot market people are willing to pay more than asking, and in some cases more than appraised value. I never recommend it, but when someone falls in love with a house its hard for them to think logically.

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