Home Selling in 37064>Question Details

Jake Stratton, Both Buyer and Seller in 37205

Why did my property's trulia ESTIMATE drop $200,000 the day after I took my property off the market?

Asked by Jake Stratton, 37205 Sun Apr 28, 2013

I'm not asking for a lecture about how sellers are emotionally attached and always overprice and how clients are always dumb little children. Our agent recommended our price, and we got cash offers much higher than Trulia's estimate, and our asking price was in line with neighborhood comps. So please don't babble on about that. I just want to know why Tuesday our Trulia estimate was $500,000 and Wednesday it went off the market and the Trulia ESTIMATE dropped to $300,000. Thanks in advance!

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Answers

6
Trulia/Zillow estimates are not accurate, I believe they factor in homes that sold in your area (not sure exactly the size range they use). So if a few homes sold that are similar sqft/brs that maybe aren't as nice as your place, or short sales/foreclosures/auctions happened then that might affect their value.

Your home is worth what someone else will pay for it. Just because Trulia says it is not worth that, doesn't mean very much.

If you are looking for a new agent to list your home, I'd be happy to interview for the job and let you know what I would list it at.

Thanks
Greg Spackman
Keller William Realty
615-939-1252
gregspackman@kw.com
0 votes Thank Flag Link Sun Jun 29, 2014
The Trulia estimate algorithm is very unreliable, and I would not be too worried about that. Homes coming off the market (yours included) undoubtedly factors in to the assessments for the whole area. For example, did the estimates of homes next to yours also drop? I'd bet money that they did.

As a note, though, your area looks like it may be one of those which will be re-appraised by the county this year. Your local assessment value at the Property Assessor's office is a much more reliable account of what your property is worth on paper- though your local market conditions are going to win out hand over fist over any other agencies 'estimate' or 'appraisal' price.

You can learn more about the upcoming county-wide reappraisal here:
http://www.nashvillespropertysearch.com/blog/davidson-county…
0 votes Thank Flag Link Mon Apr 29, 2013
Trulia's estimates are based on an algorithm just like their favorite competitor. I ignore Zestimates etc because they lag the market in either direction - I don't know a competent agent that takes them seriously.

By withdrawing your house for sale you probably skewed the computation.

I've never looked in the fine print but I bet these valuations have a disclaimer that says they are for, "entertainment purposes only" or something to that end.

Good luck and if you got cash offers above the estimated price then you know how invalid an estimate it really is.

Thanks,
Simon
0 votes Thank Flag Link Sun Apr 28, 2013
It is amazing how true the expression "if it is on the internet, it must be true" can be sometimes.

I tell all of the people that I work with that Trulia, Zillow, and the like are never reliable. I have found houses on them that have been sold for 2 years. I have found prices way above and way below. Their estimates are done by a computer algorithm which only the site is privy to how it calculates. No human is involved. The best use of these sites is to see what sales have been like around you.

If you got offers higher than Trulia's estimate then there you go...you have indisputable prove as to the reliability of its estimates.

The true value of a house is what a buyer is willing to pay that a seller is willing to take. Even when an appraisal is done by a professional appraiser, it is still just an opinion of one person on a given day.
Web Reference: http://knoxcastles.com
0 votes Thank Flag Link Sun Apr 28, 2013
Jake,

If you reply with the address I can look into the possible reasoning for TRULIA (WHICH is a COMPUTER) to see if something makes sense.

contact men with the address outside this discussion group by using the blue contact link below my VIP photo.

MIKE
0 votes Thank Flag Link Sun Apr 28, 2013
I cannot tell you how Trulia's estimates are determined:
I will tell you to not worry about it!
The Internet web sites are nothing more than someone's opinion about your house; they have not been in that neighborhood, they haven't been inside the house, they haven't examined the Comp's, they don't know the market in that area. They have very little of the information that you have.
If you are worried about the effect it could have on potential Buyers; don't! Serious Buyers will do their own diligence to develope their own WORTH of the house. If they don't, if they rely on other's opinion, then they are not serious, intelligent Buyers.
Truilia is great for itself; it is a first-step; an information and entertainment site. It is not intended to be the only source for Buyers.
0 votes Thank Flag Link Sun Apr 28, 2013
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