Zillow Zestimate A 21000 Mistake In Lexington Kentucky

Zillow Zestimate A 21000 Mistake In Lexington Kentucky

The Zillow Z-Estimate

I frequently have clients quoting the Zillow Z-estimate.  Sometimes they are excited because they think their home is worth much more than they paid for it.  Sometimes they believe they should be paying less for a home.  It really is a mixed bag and can be very upsetting when I explain to them the real value.  When looking at Lexington Kentucky real estate I knew from experience that the z-estimate was not accurate.  So I did a bit of research and enlisted the help of a mathematician to help me analyze all of  the information.

What we found

We analyzed the past 6 months of sold data from the LBAR MLS and compared it to the Zillow Z-estimate at the time the home was listed for sale.  If the z-estimate is accurate we would expect these two figure to be about the same.  The average variance between the two wasn’t far off at $2,923.65.  However, when we look at the variance in the figures we see a much more different story.  The standard deviation of the data set was $20,792.70.  This means that 68.5% of all of the observations were +-$20,792.70 from the average.  When you consider the average home price was $178,101 a difference of $20k is huge!

What does it mean?

So what do all of these numbers mean?  The Zillow Z-estimate for real estate in Lexington on average is pretty damn close to accurate.  However, the amount of variance in the estimate vs. the real selling price is alarming.  If you are looking to buy or sell real estate in Lexington relying on the z-estimate could be a costly mistake.  To get a true understanding of a homes value give me a ring or an email and I will put together a competitive market analysis.  This report is based on real recent data and is a free service I provide.

  Morgan Franklin Signature

 









Watch the interview with Mathematician David Riddle



Morgan Franklin Headshot
Author:
Phone: 859-576-0801
Dated: April 4th 2017
Views: 6
About Morgan: Hi, I’m Morgan Franklin and I am a Realtor in Lexington Kentucky. I have lived here for over 25 ...

Property Search








RSS Feed

View our latest blog posts in your RSS reader. Click here to access. RSS

Search Blog

Our Bloggers

Saved Properties

This is a list of your favorite properties. We will email you if a property is reduced or leaves the market.

Click 'Save' to add a property to this list.

Register / Login

New & returning visitors please enter your information to login.

By clicking 'register' you are agreeing to our terms of use & giving us expressed written consent to contact you.

Questions? Comments? Complaints?

This message will go directly to the head of our team.

Location & Address

LexHomeHub
2357 Hueguenard Dr
Lexington, KY
859-554-2054