The Truth About Online Home Value Estimates

It’s tempting to hop online, type in your address, and instantly know what your home is worth. Zillow, Realtor.com, Redfin, and other sites all offer quick value estimates—known as “Zestimates” or automated valuations. But how accurate are they, really?

The short answer: not very.

Online home value estimates can be a helpful starting point, but they often miss key factors that determine your home’s true market value. If you’re thinking about selling, relying solely on these numbers can set unrealistic expectations—or worse, cause you to underprice your biggest asset.

How Online Home Value Estimates Work

These platforms use something called an Automated Valuation Model (AVM). They pull data from public records, MLS listings, recent sales, and tax assessments. Then, they use algorithms to spit out a value.

But here’s the problem: an algorithm has never walked through your home.

Why They’re Often Wrong

1. They Can’t See Your Home’s Condition
   A computer doesn’t know if your kitchen was fully renovated last year or if your roof is 25 years old and leaking. Two homes with the same square footage and lot size can vary drastically in value depending on their condition.

2. They Miss Unique Features
   Upgrades like a finished basement, a mountain view, or custom landscaping don’t always show up in public data. These can significantly increase a home’s value but are often overlooked in online estimates.

3. They Rely on Incomplete or Outdated Data
   Public records aren’t always up to date. A recent renovation, addition, or even a recent sale down the street might not yet be reflected in the system.

4. They Don’t Factor in Market Trends
   The real estate market changes quickly. If demand in your area is surging (or slowing), online estimates may lag behind reality.

5. Location Nuances Matter
   One side of the street might be in a more desirable school district or have less traffic. AVMs often can’t pick up on these hyper-local differences that buyers care about.

What’s the Alternative?

The most accurate way to know your home’s value is to work with a local real estate expert. At Connexa Real Estate, we use a combination of:

• Recent comparable sales (and we know which ones are actually comparable)

• Current market conditions and buyer demand

• Your home’s unique features and upgrades

• A physical walkthrough to assess condition and layout

This approach gives you a value estimate you can trust—one that reflects what buyers in today’s market are truly willing to pay.

Final Thoughts

Online home value estimates are fine for curiosity’s sake, but they’re no substitute for a professional valuation. If you’re serious about selling (or just want a realistic picture of your equity), don’t leave it up to a computer.

Want to know your home’s true market value?
Connexa Real Estate offers free, no-obligation home value assessments. We’ll give you a clear picture of what your home could sell for—and the strategies to get top dollar when you’re ready.