Profile picture for GyanJadal

Why is my home estimate going down continuously after I purchased 2 months back?

I bought a house in Oct. The estimate for the house then was showing way higher than what I purchased for. Then after the sale, its going down nonstop and I am really worried about this. Is there any basis for it to go down? I dont think the market is that bad in Bellevue. Is there an email address I can reach at to fix this?
  • December 01 2011 - Lake Hills
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Answers (6)

Profile picture for Dunes ..
Sorry to hear you received no response from Russ..
I'm sure someone will now point out they are understaffed or have other priorities or the dog ate the email..

There are a few who figure they've got it all figured out & show no shyness in expressing their amazement that everyone can not grasp how wonderful the Zestimates and Zillow are so perhaps you can look at any of the many many threads/questions in this Forum where they have explained all his to people who do not understand... and decide for yourself who does not understand what..

Good Luck ..sorry you received no Response from Zillow

  • January 03 2012
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Profile picture for GyanJadal
There is another EXACTLY similar house next to mine and its price was lower than mine. But that is has gone up since it was sold. Mine is going down. I am totally confused. Its weird.
I even emailed Russ about this biut I didnt get any response.
  • January 02 2012
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Profile picture for wordsmth
You answered your own question. You bought a house for far less than the Zestimate. The Zillow algorithm is taking your true purchase price and adjusting its previous (inaccurately high) valuation to bring it in line with reality.

That's likely the primary reason it's going down.

It's also possible that home prices in general are declining in Bellevue. That'd provide additional downward pressure on the Zestimate.

Question: How does the Zestimate compare with the price you actually paid? If it's within a few percent of--or if it's still higher than--what you paid for it, then there's no problem at all. If the Zestimate is substantially below what you really paid, then it's also a problem with an imperfect algorithm.

Hope that helps.
  • December 02 2011
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Profile picture for sunnyview
If your Zestimate was higher when you bought, it will often drop to come closer to the price you paid when the new information comes into Zillow. Houses are worth what a qualified buyer is willing to pay so the sales price on the open market would be the closest valuation at that moment in time. It also seems to figure heavily into the math mix for Zestimates.
 
When I bought my house, the Zestimate was about 100K higher than my sales price because the house was super ugly, dated and needed a new roof. The Zesitmate dropped about 75K once my much lower sales price was recorded, . As more houses sold in my area, the Zestimate tracked along with the rest of the neighborhood medians but since my original Z number was way too high based on a too high assessment it has never gone back up to that value.
  • December 02 2011
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Zillow uses the last purchase price and the tax assessment as parts of many facts to estimate the home's value, I won't worry about it if i were you. By the way if you buy the house for $100 then your home's value is $100 per your county assessor and Zillow doesn't see it differently.

  • December 02 2011
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Profile picture for Dunes ..
Well the CEO of Zillow Spencer Rascoff while talking about the Zestimate said yesterday in this Forum (LINK)

"If I referred your email to Russ, it was (and is) because it's his job to discuss these issues with our users"

So here is a Link to Russ (His Profile) where you can just hit the "Contact" and explain your concern..
Russ Hatfield Zillow Customer and Community Support

Let us know if it helps..The CEO does say it's his Job
  • December 01 2011
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