Homeowners put a lot of faith into their zestimate.
They’ve been receiving their monthly updates for years and years now, and it’s like an old friend.
It’s been so long that they forgot the doubt and mistrust of the zestimates in the beginning, and now figure their old friend wouldn’t let them down. Especially when they check active listings and the zestimates are always within a couple of bucks of the list price.
It doesn’t occur to them that Zillow might be lying to them, and adjusting zestimates to be near the list price once a home goes on the market. Nooooo, instead they want to think that the zestimates must be getting more accurate!
Now the doubt and mistrust shifts to the agent when they deliver the real value. If the broker’s opinion of value is less than their zestimate, it’s the realtor who is wrong….obviously!
In a stable-to-declining market, this is real estate poison, and a main reason why listings will sit forever without selling. The homeowners are convinced that their price is right, mostly because their old friend said so.
This is 100% true + exactly correct.
On the way up greedy sellers make $$$.
On the way down it’s like musical chairs and the first one to sell makes the most $$$.
Yes thank you Shadash!
I told everyone to sell in the first quarter of 2025 (since October) and plenty shrugged it off and figured they knew better.
It’s a good thing the Zildoes aren’t in this business to make money rather than performing a public service with no ulterior motives.
I’d love someone to compare their zestguess with a buy my house offer from them.