In today's Crain's Chicago Business we read an article that said a suburban Chicago homeowner sued Zillow for it's 'sloppy' estimate. The homeowner is alleging that Zillow's estimate of her home's value has created a "roadblock" to selling at what she thinks it's worth.
So that posed the question: How accurate is Zillow's Zestimate? Not as accurate as you think!
Zillow's method of creating a Zestimate draws on public records and a proprietary algorithm. Zillow estimates the accuracy of chicago area homes come within 5 percent of the eventual sale price 47 percent of the time. It comes within 20 percent of the sale price 86 percent of the time.
Why is Zestimate inaccurate?
- Inaccurate basic information
- Mistakes or omissions in sales prices and property tax records
- Upgrades or unique features that are unaccounted for
The best way to learn the value of your home is to contact a real estate professional and get a property valuation.
Call Carolyn at 312-545-2834 or Jose at 312-799-7088 today!