Is Zillow Accurate? Evaluating the Reliability of Zestimates

In today’s real estate market, online tools like Zillow have become an integral part of buying and selling homes. One of Zillow’s most popular features is the Zestimate , a quick and easy way to get an estimate of a property’s value. But just how accurate are these Zestimates? If you’re looking to buy or sell a home, this is a crucial question. Let’s take a closer look at how Zillow’s home value estimates work and whether they can be trusted. How Does Zillow Calculate Its Zestimates? Zillow uses a proprietary algorithm to determine a home’s estimated value based on public data. This includes: Tax records : Historical property tax assessments and sale prices. Comparable home sales : Recent sales of similar homes in the area. Market trends : Broader real estate market conditions, including current listings and local price trends. Zillow updates its estimates regularly to reflect changes in the housing market, but the underlying formula remains an automated system. For homes currently on ...