Online Valuation: Tool or Toy?

Dscn0659Zillow, Domania, RealEstateABC… Are online home valuation tools really useful or simply fun to play with? Consider this: the typical appraiser strives for a 5% margin of error when completing a professional estimate of value. But the top performing online services, including those that charge $29.95 for a full property profile, are only accurate 57% of the time.

What the software misses, despite sophisticated valuation algorithms, are the condition of the home inside, extra features valued by the market such as views, landscaping, interior upgrades and preferred amenties, along with some of the finer points surrounding location. So, Dear Readers, if you really want to know what your property is worth in the current market (which often changes) you still need to consult an actual, live Realtor. read it

1 comment

  1. Mike Van Houten

    I always wondered about those online property value sites. For example Zillow appraises my houses at $202,000, however I doubt it takes into account the fact I restored the 85-year-old hardwood flooring and trim, added landcaping, and I doubt it takes into account how development and redevelopment raises property values as more infrastructure arrives. I bet I could easily sell my 2 bedroom Bungalow on Holcomb Ave for $260,000. The real estate market outside the McCarren loop may have slowed, but my across-the-street-neighbor sold his place in one day.

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