According to Zillow.com, the home I purchased last fall has increased by 70% in less than a year:
While I wish that was so, I have a hunch that any real estate agent I talked to would collapse if I suggested listing the property for what Zillow suggests.
There are two upward spikes in the green line on the graph that represents what Zillow has thought my home was worth over the past decade.
The first, a year ago, is when I purchased the house for WAY more than Zillow said it was worth at the time.
The second is when Zillow decided that the house was worth WAY more than I paid for it.
So which is it?
But, if you look at a large enough set of data, Zillow’s numbers are probably pretty good. Notice the trend of the Yellow line. That represents the median price of homes in Minneapolis, Minnesota.
But here’s the problem: I already know that my home is a bit above average if you take the entire city into consideration. You don’t need to show me a graph to explain that concept to me. What I care about is my OWN house, and I know that data is broken.
So what exactly is the value of this data beyond inspiration for a blog post?