Zillow, in some area, is high. In others, low. In some, “spot on”. It is of value to identify those scenarios by comparing the comps to the Zillow value. Knowing which way Zillow is leaning in “this” neighborhood is of value.
Say every home that sold, sold for 20% less than the Zestimate. When a seller puts “the Zillow Zesitmate” as the asking price, you will know it is likely too high and 10% under list price is not a “bargain” but paying too much.
Zillow does not have to be “accurate” to be “of value” as one of the tools used to determine price.
Same is true for an appraiser/appraiser. Every agent knows they will have more trouble getting a property to appraise if it is the best home in the area, than if it is the worst. If it is the worst…then all of the comps will be higher. If it is the best…then all of the comps will be lower.
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May 31st, 2008 
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