When we saw the news that Spencer Rascoff, the CEO of Zillow, sold his home in Seattle for $650,000 under its Zestimate, we decided to do some digging and test out the most reputable online pricing estimate sites. 

 
Spencer Rascoff's home sold for $1.05M and was estimated by Zillow to be worth $1.575M (via Zillow.com).

Spencer Rascoff's home sold for $1.05M and was estimated by Zillow to be worth $1.575M (via Zillow.com).

 

In order to test them, we first ran our standard pricing analysis for a home that we were familiar with. We looked to recent sales comps (three identical models that sold for $779,100 and $770,000 and $752,500) and then looked at the active listings comps (three identical models listed for $869,000, $869,00 and $819,000).

 
 

After obtaining pricing, we figured we would see online estimates between $750K and $870K.  However, given the disclosures regarding pricing accuracy, we should have known what we were in for. 

(via Zillow.com)

(via Zillow.com)

So, how did the online estimates turn out? 8 of 9 weren't even close. Some were up to 30% (over $200K!) less than what we were expecting. 

  • Trulia - $643,000
  • Zillow - $654,120
  • Redfin - $677,729
  • ReMax - $686,500
  • Homesnap - $697,000
  • Chase Bank - $706,000
  • Bank of America - $708,543
  • Realtor.com - $709,478
  • HouseCanary - $845,800

Want our advice? The next time you are looking to value a property, find a local expert. Even Zillow's CEO will tell you that there is no substitute for seeking guidance from the pros.