zillow.com, the new site for finding home values - CAUTION on Florida home values |
You may have already checked out this new site that allows you to enter a residential address to get what is called a Zestimate of the home's value. When you enter an address, a page comes up showing an aerial view of the home with what is supposed to be its current market value, their Zestimate. Here's the main problem: In valuing Florida homes in at least one county and probably many more, Zillow has not taken into account the consequences of Florida's Save Our Homes legislation. Zillow is using as one of its valuation factors the taxable assessed value of each home rather than the base assessed value. This means that the longer a home has been homesteaded by the same owner, the lower the value Zillow will assign and the more disproportionate that value will be to similar homes not homesteaded, or homesteaded by a succession of owners. Call me for more information and write to Zillow to complain. |
| Another problem with Zillow's values is the inability to keep up to date in areas where prices are rapidly appreciating. Even property appraisers working for lending institutions find it a challenge to reflect current values, so it would be an almost impossible task for a web site portraying millions of homes. As you explore the Site, it does attempt to give you information on how accurate their numbers are. But, there is no explanation on how their accuracy percentage relates to the Zestimate they provide for a specific home. So, you are left in the dark about what to do with the value they offer. I suggest you ignore it and consult a skilled local real estate professional. |
Toll Free: 800 551-3974 |
| Return to Current Thoughts and Advice |