Why is Zillows data much lower than other websites?

Question

For looking at median home prices and comparing markets to get a general idea I have been using zillow. But the prices are so off. Dallas for example median home price is 336,973 with data thru july 31st 2022 on zillow. Realtor.com has the median house price at 529k.

I was using zillow to also use their website to get an estimate for rents. I figured it'd be more accurate to use one site for this information.

Lucia Rushton · Answer

@Gurjot Grewal your realtor can always give you accurate information. In Texas we are a non- disclosure state so you can’t get accurate information unless you pay for it or use your realtor partner.

Kyle Mccaw · Answer

@Gurjot Grewal maybe Zillow is in the business of buying or helping ibuyers purchase homes from the general public? If they lead people to believe their lower value then it helps the institutional investor make larger profits when they go to market at higher price. Just a thought.

Wale Lawal · Answer

@Gurjot Grewal

I recommend you to get in touch with an agent as they have access to more tools and sources to find the deal you are looking for.

A local Investor-Agent can help shorten your learning curve and save you a lot of headaches as they tend to understand the market better.

Good Luck!

Michael Dumler · Answer

@Gurjot Grewal, if I had to speculate, Zillow most likely pulls comps that have sold within the last 2-3 months, while other real estate platforms pull comps that have sold within a year. I can't speak on behalf of the Dallas market, but the reality is prices have been fluctuating these past months so the estimates will vary dramatically based on how much data is pulled. Either way, the algorithm for these platforms is extremely unreliable. I do not recommend using it for pricing or gauging market rents. Hope this helps!

Bruce Lynn · Answer

Could depend on how they define Dallas market.

Is it just city of Dallas, Dallas County, or the Metroplex, or the entire NTREIS MLS system which is fairly broad---Shreveport to Abilene more or less and Waco to Wichita Falls.

Could also depend on what date ranges they use and how often they update data of course.

Sales data normally better than rental data....much fewer rentals in public sites right now.

Happy to help you look at more specifics if you need it.

Aaron Breckenridge · Answer

Dallas market is going to vary heavily by location. I definitely recommend getting in touch with a local agent who knows the market. You could use the agent finder.

Why is Zillows data much lower than other websites?

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