Why You Can’t Trust Zillow

Zillow is one of the most popular real estate websites out there, but the home values it provides can be extremely unreliable. Here's why.

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Zillow has become one of the largest active real estate websites that people interact with online. So why are the home values determined by Zillow so unreliable? There are a number of reasons.

First and foremost, Zillow uses algorithms that take millions and millions of pieces of information and funnels them through a generic system. Many times, it's based on tax roles and generic information about homes, so Zillow doesn't have any information about a home's interior. It can't account for whether a home has been cared for or if it was used as a meth lab.

Additionally, Zillow can't take home upgrades into account, so it doesn't know if the kitchen was recently renovated or the basement is finished. All these details can add or subtract tens of thousands of dollars from the home depending on its condition.

Zillow can't take home upgrades into account.

Zillow's home value calculators are a guideline. You don't want to stake your hope in the value of a home based on Zillow's potentially false set of hypotheses. If you really want an accurate value of your home, one way is to hire a successful real estate agent to assess the property from the inside out and compare it to recent area sales. You could also hire an appraiser for a benchmark value for your home.

If you have any questions about your home's value or you're thinking about selling it, give me a call today. I'd be happy to help!

The True Pros and Cons of Homeownership

If you’ve been thinking about buying a home, it’s important to consider both the advantages and disadvantages of homeownership. Here are some of the main ones.

Selling your Massachusetts home? Get a home value report

Buying a Massachusetts home? Click here for full MLS access

I ran into a funny card I wanted to share with you today. Take a look at the video above for a picture of 'the young couple that waited for the price of real estate to come down.'

The fact of the matter is that the price of real estate has appreciated gradually and regularly over the years. There was a lapse in 2006 with about five years of declining real estate values, but over time, real estate definitely increases in value. So what are the advantages and disadvantages of owning real estate?

Let’s start with the advantages.

When you own a home, you have greater privacy, it will tend to increase in value over time, and your costs are predictable and more stable since you will have a mortgage based on a fixed interest rate. The interest on your mortgage and your property taxes are both tax deductions. Finally, there is the pride of homeownership and the sense of community.

As a homeowner, you have more privacy, predictable expenses, and the pride of homeownership.

As for the disadvantages, remember that it’s a long-term financial commitment. You’re also responsible for all the maintenance in your home and you’re tied to one particular area. Additionally, while mortgage payments are generally fixed, they can be higher than rent payments. Buying a home also requires a down payment, closing costs, and moving expenses.

If you have any other questions or you’d like to examine more of the advantages and disadvantages of buying a home, give us a call or send us an email. We’d be happy to help you!