Redfin Throws Down the AVM Gauntlet

All franchises must now scramble to pick it up Before the end of 2016 nearly every real estate franchise and large independent brokerage will offer an automated valuation model (AVM) on the internet, but the vast majority will have very little impact in the marketplace for two reasons. First is that it takes 3-5 years’ of research & development, and perhaps a $20-$50 … [Read more...]

AVM versus Broker: Who’s More Accurate at Valuing Homes

Brokers eschew Zillow’s AVM stating a lack of accuracy and the confusion it causes in the marketplace as their major complaints.  So let’s investigate how real estate brokers and Zillow’s AVM stack up against each other in terms of valuation accuracy. Zillow claims a median error rate of 8%.  Per Zillow’s website this means half of all automated valuations are within 8% of … [Read more...]