By James Haroutunian
Q: How accurate is Zillow.com, the website that evaluates the market value of my home?
A: The industry is apparently not yet ready for robot Realtors. The industry’s most popular real-estate valuation website, Zillow.com, still can’t achieve a comparable level of precision. There is no substitute for a professional.
Websites such as Zillow.com offer a low-quality version of a real-estate appraisal, called an “automated valuation model.” Zillow.com‘s terms and conditions acknowledge that its data should not be used for professional valuation purposes.
According to a 2014 story in The Washington Post, Zillow.com‘s estimates of market value fall within 5 percent of a property’s actual sales price — half the time. Further, Zillow.com is twice as likely to under-report your home’s value. This error margin grows even further with condominiums.
Zillow.com is more accurate with homes selling between $500,000 and $999,999, but for homes selling under $500,000 the accuracy drops.
Attorney James Haroutunian practice includes real estate, probate and estate planning law. Contact him to begin your estate plan or with questions at the Haroutunian Law Office at 630 Boston Road, Billerica, 978-671-0711, www.hlawoffice.com or email at james@hlawoffice.com
