The Truth About Zillow Estimates vs. Local Market Value
Terms Explained The Mark & Al Team May 5, 2025
Terms Explained The Mark & Al Team May 5, 2025
If you’ve ever looked up a home on Zillow, chances are you’ve seen the Zestimate—Zillow’s estimated home value. It’s fast, it’s free, and it’s tempting to treat it as fact. But how accurate is it really?
Let’s break down the difference between what online platforms estimate and what your home is actually worth in the current local market.
Zillow’s Zestimate is an automated valuation model (AVM) that uses public data and recent sales in the area to calculate an estimated home value. It’s based on algorithms—not human eyes or local expertise.
While it can be a helpful starting point, it’s not a professional appraisal or substitute for a real market analysis.
Here’s where Zestimates often miss the mark:
Local Nuance Isn’t Factored In
Zestimates don’t account for things like street appeal, renovations, lot views, or unique upgrades—details that significantly impact value in Glendora, San Dimas, or La Verne.
Outdated or Incomplete Data
If a home sale hasn’t been recorded yet, or if records are missing, the Zestimate might be outdated or inaccurate.
No Context for Current Market Trends
Zestimates rely on past data. A real-time shift—like a hot spring market or a sudden inventory crunch—won’t be reflected.
Local market value is what a buyer is willing to pay, and it’s based on:
Comparable sales of similar homes nearby (recent and relevant)
Current market demand and inventory
Condition, upgrades, and presentation of the property
Professional expertise, not just formulas
Zestimates can be a starting point, but they shouldn’t be your final word—especially if you’re planning to buy or sell. In a market as varied and dynamic as ours in Glendora, San Dimas, La Verne, or Covina, true home value comes from local knowledge and personalized analysis.
Thinking about buying or selling?
Let’s talk about what your home is really worth—or what you can realistically afford in today’s market.
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