Let me explain why it’s not a good idea to trust online home valuation tools to determine the sales price of your home when selling. Or what price you should offer when buying a home. The tools are simply formulas that calculate various factors and spit out a number. And I can tell you from experience, they are often wrong. Algorithms can be great tools, but in the case of pricing a home, they simply don’t cut it. 

01. Home valuation tools do not consider the actual condition of your home. They don’t know what upgrades you’ve done or alternatively, what upgrades need to be done. 

02. These tools don’t extensively consider the context of your home. I’m sure this isn’t the case for your home, but take this example: can the tool know that your next door neighbor hasn’t cut their grass in 8 months and has a broken down car sitting in the drive way? No. The tools largely don’t consider factors like your home backing to the hillside vs a highway. Is it on a quiet cul-de-sac or a busy cut through street? 

03. MOST IMPORTANTLY, these tools simply do not have their finger on the pulse of your hyper local market. Buyer demand, seller sentiment, the ins and outs of whats actually on the market and what’s coming on the market.

So whether you’re pricing your home to sell or crafting an offer to buy a home, there’s some things only a human can do. And in this case, things only a local real estate agent can know. Looking to buy or sell your home in Los Angeles? Let’s talk.