How accurate are value estimators? - Most online value estimation sites will only be able to judge a value if your local tax office has updated their online database. The results given are only going to be as good as the information available. To know a more accurate value for your home, you will need to hire an appraiser.One of the major drawbacks to online estimators is that they do not take into account specifics of your property that a realtor or appraiser would. For example take two identical houses that were built in right next to one another in 2001. House A has finished their basement added a deck and built a fence, while House B has remained unchanged since being built. In many cases the online property valuator would give both properties the same value, when in reality House A is quite possibly worth tens of thousands more.
Many online value estimators are actually tied to a realtor that will visit you within 1 to 2 days after entering your information, as a means to be the first realtor to visit you. The down side is that they may give you an unrealistic amount that you can expect to receive from the sale of your home, as a means to get the listing.
There are many different sources on-line for free estimates of the value of your home. Unless you are getting a true appraised value of your home you should not pay for the online estimates. If you would like a list of links that can help you determine the value of your home please contact me.
You can usually keep a finger on the pulse of the market by reading newspaper classifieds (real estate section), and inquiring of the price when a home in your neighborhood is for sale. This will achive far better results to determine the general value of your home, than using an online value estimator.
Online Property Value Estimators - Online value estimation sites are a good way to get an "IDEA" of what your home may be worth if you were to sell your home. You need to keep in mind that these estimates are based off of tax records and recent sales. If the tax records and sales databases are not up to date, then your value estimation could be off by a substantial amount. The reverse holds true with over valued estimates. These are tools for information purposes only and should be used only as such, and not used as a determination of actual value of your property.
The only way to determine the value of a property is by using a licensed real estate appraiser. The value that the appraiser gives is based on their physical inspection of the property, as well as nearby comparable sales. For most home loans, an appraisal performed by a licensed appraiser is required in order to fund the loan.
A major component in calculating the value of your home lies in the condition of your home and the condition of the comparable homes being used to compare your home to. An online property value estimator can not take the condition of your home or comparable homes into consideration because it just gives you a simple estimate based on basic county sales information.
Online property value estimators are pretty good in some neighborhoods where enough data has been entered into their system and the homes are similar, like tract homes. They are not so good for estimating values for unique properties.
On the plus side, however, many are free, making them a great starting point.
Online estimators are estimations that give you an idea of what your property "could" be worth. The only way to obtain the accurate information you need is to have a licensed real estate appraiser evaluate your home.
Zillow.com is a recent newcomer to the online evaluation scene. While some homes may receive accurate values in areas where local sales data is public data it is not as accurate in other areas. The value provided may be invalid and incorrect by thousands or even tens of thousands of dollars. Contact First Security Financial Services, Inc. for help in finding a local reputable appraiser.
