No Comments

The Arizona Board of Appraisers has sent a cease and desist letter to Zillow to have them stop giving “Zestimates”. They say that you need a license to provide appraisals but Zillow says what they are offering aren’t appraisals.

In the letter to Zillow it states:
“The board requests that you cease and desist from all appraisal activities in the state of Arizona until such time as they are performed by a licensed or certified appraiser in this state. If you fail to comply with the board’s request to cease and desist from these activities, the board will have no option but to pursue injunctive relief.”

To me, what Zillow is doing is not appraisals but an online home valuation using public information. Some of their zestimates are close but many are 10-20% either too high or too low. It’s just one piece of data that people can use. Realtors aren’t licensed appraisers either but most homeowners will turn to Realtors to get an idea on what their home is worth as part of a Comparable Market Analysis (CMA).

Written by Keith Byrd - Go to Keith's Website/Profile