Tagged: Zillow

Zestimate vs Appraiser... Will Zestimates Put Appraisers Out of Business? 19

Will Big Data Put Appraisers Out of Business?

Part of the boom in the availability of data has led to companies such as Trulia and Zillow who claim they can “Zestimate” a home’s value instantaneously. But can your potential customers trust such value? In the old days, if a homeowner really wanted to find out how much their property was worth in the current market, they called an appraiser. Our customers understood that a licenced and qualified appraiser is trained, experienced, knowledgeable, and unbiased in his or her own marketplace. In the past few years, the Information Age has flooded us with data; lots of data. Big data...

Be Part of the Solution & Stop Being Part of the Problem! 27

Be Part of the Solution & Not the Problem!

Why would a professional licensed appraiser not want to be part of the solution? The Appraisal Foundation has posted the National Real Estate Appraiser Job Analysis Study. The survey is to determine the areas that are relevant to our daily functions as appraisers. This is our profession and appraisers are the best source of information on what we do and how we do it. The results will be used to determine the criteria necessary going forward for license examinations. We all have experienced revision requests from a reviewer who does not understand the appraisal process. What about those revision requests...

A Flipper Transaction - Appraisal vs AVMs... Are AVMs Reliable? 3

Appraisal vs AVMs

…the ‘flipper’ realized that the list and contract price was way too high… I just saw an article titled “Realor.com now providing third-party home valuations” about Realtor.com now using a ‘new’ service to provide a home value. Just for grins, I thought I’d do this essay using one of my recent assignments for the case study, which was in Bellingham, WA. The home was undergoing renovations by a ‘flipper’, and it had a signed contract for a high $$ amount. The report was written ‘subject to’ completion of the repairs/renovations. During the initial inspection, the ‘flipper’ was present and doing...

Biden's Claim of Racial Bias in Appraisals Faces Criticism from Appraisers 28

Biden Claims on Racial Bias in Appraisals

Over the past week or so, Presidential Candidate Joe Biden publicly called for more regulation and oversight over appraisers to combat racial bias. He specifically cited the Brookings Institute Study ”The Devaluation of Assets in Black Neighborhoods, The Case of Residential Property”. If you are unfamiliar with this study, in a nutshell, the findings accuse appraisers of undervaluing properties in black neighborhoods. The study is an easy read and can be found here. We will warn you, much of the data used in the study carries very little weight as Census Bureau (self-reported data) and information from Zillow were used....

The Appraisal Management Company Business Model, Deceitful Little Lies 29

Deceitful Little Lies

At some point, appraisers need to take a stand against the appraisal management company business model. There are simply no benefits to appraisal management companies and there is no accountability for their actions. Haven’t we all been abused enough? Do the lenders really understand they are responsible for every action of the appraisal management company? Do the lenders really know the questionable ethics of the appraisal management companies? Are the appraisal management companies lying to the lenders? Deceitful, liars, bait and switch, trickery, fee shoppers, bottom feeders, empty promises and illegal activity are some of the nicer terms used to...

Zillow in Crosshairs - Zillow Has the Most Flawed Business Models 8

Zillow in Crosshairs

Steve Eisman, the hedge-fund manager famous for betting against the US housing market in 2008 explains why he is shorting online real estate company Zillow. “I would say Zillow has one of the most flawed business models I’ve seen in a very, very long time,” he said during an interview on CNBC. “They had a good business which was their internet real estate platform. The growth in that has slowed dramatically so that now the growth is zero… The most problematic is what they call their, I believe, iHome business, an internet buying business where they actually go out and...

Major Threat to Real Estate Agents on Horizon - Appraisers Blogs 6

Major Threat to Real Estate Agents

Appraisers, in case you are not aware, NINE law firms have begun the process to sue real estate agents and brokers across the US about how the commission process works to compensate the SELLING broker. It is believed that three of the best known internet based property purchasing and selling web sites are behind this effort. It’s being done so that they can build their own businesses, while jeopardizing the livelihood of real estate agents and brokers. The suits allege that there is collusion and racketeering among the real estate participants to ‘bake in’ a set commission for the selling agent...

Didja Know... Zillow is Better than Eyes! - Discern Quality Using Photos 33

Didja Know… Zillow is Better than Eyes!

How in the heck is Zillow supposed to discern QUALITY of these homes, and then magically produce a presumed value, when there is no actual data upon which to base a decision? Maybe it’s done with smoke and mirrors, rather than eyes? Appraisers, I was busy churning out reports, and didn’t have time to send out this bit of news about Zillow earlier: Zillow is watching: New algorithm uses photos of your home to check quality and curb appeal. Zillow is now claiming “it” can discern QUALITY of a home, just by looking at various photos they obtain from various sources! They...

Race Never Considered... Emerging Narrative of Appraisers Being Racists 71

Appraisers Don’t Use Race

Appraisers don’t use race… Race is NEVER considered during a valuation Last week in a congressional hearing on the future of the appraisal profession, some research was used to suggest appraisers are showing racial bias and essentially undervaluing black neighborhoods. I was not expecting the conversation to go that way during the hearing and I’ll admit I’m deeply concerned about the emerging narrative of appraisers being racists… In the congressional hearing a panelist talked about a study that shows black neighborhoods are devalued by $48,000 compared to otherwise similar white neighborhoods. That’s alarming and society needs to have some serious...

iBuying Platforms Misleading Consumers - Honesty in Real Estate Petition 19

Honesty in Real Estate

Stop unfair, deceptive, and abusive iBuying tactics. Consumers are being mislead into believing that heavily funded real estate iBuying platforms are cheaper and easier than using a Realtor. Sign and Share this petition demanding that there be clarity for consumers on these deceitful iBuying platforms. Click HERE. Summary: Real estate agents, and the buyers and sellers they have faithfully represented for decades, are under threat from a small number of technology companies looking to disrupt the real estate industry. This movement began back in 2004 when companies like Trulia and Zillow were formed, and has recently neared a tipping point...

xml sitemap