Online Appraisal Accuracy Study
May 9th, 2006 by Grant in: Real Estate
A recent article on MSN Money revealed the accuracy of online appraisal engines such as Zillow and RealtyTrac, and the results are interesting, but not surprising.
The study put a 5% variance on what a home sold for and what online AVM’s (automated valuation models) suggest the house might sell for. They looked at Zillow, RealtyTrac, HomeSmart, and Domania, among others, and how they compare to actual sales prices.
It turns out that none of the AVM’s are exactly stellar at what they do. In fact, Domania was the only one that scored higher than 50% in predicting the market value of a house, plus or minus a few percent.
All in all, the article suggests that these online tools should be used cautiously, and to not take the results as “holy”.
An interesting article to say the least, reveling how powerful (or useless in some cases) these online tools can be.
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May 9th, 2006 at 4:09 pm
http://www.HomePriceMaps.com
integrates how much homes SOLD for nationwide using the google mapping
technology. Simply select city and state from the city menu and click
search. If you don’t see data for your area simply email
HomePriceMaps@gmail.com with your zipcode and or address and they’ll
update the site with your info and email you within a few days.