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Yeah, I saw that article too. But if Roseville suddenly has become so desirable, why aren't the other sellers upping their asking prices by 25+% as well? I could understand (a little) if this was some crazy owner who was really convinced somehow his/her property is worth way more than the neighbors' houses, but Zillow is a giant real estate corporation that is supposed to know how to make money, not lose it. IMO this place will sit on the market for weeks/months (just like @masssachoicetts reports) until either the market increases to where they are (not likely!) or Zillow reduces the price. Meanwhile it's just sitting on the books and they are paying utilities and prop taxes. I wonder whether they will rent it if they don't get their price.
I've seen some outrageous prices in my own neighborhood too. Even the seemingly ridiculous ones do sell but it just takes a little longer and they still get multiple offers. Then the next person to sell goes a bit higher thinking "if they can get that then I'll push it a bit more" - and it seems to be working.
If I were to sell right now - which I'm not as I don't know where I'd go next - I'd be looking at capital gains which I never in my wildest dreams thought I would have to deal with any time in the foreseeable future. But here we are.
If you scroll down on the Zillow page (right side) there is a blurb which says "The List Price and Zestimate for this home are very different, so we might be missing something." It's accompanied by a cartoon of a shocked-looking robot. Hmmm.
So the listing agent is Big Block Realty North. Is there a tie to Zillow there? I'm confused I guess. I wonder if there are any local realtors on C-D who could shed some light on this?
Now I'm on a roll. I looked up the property history on Realtor.com and found this:
Property Price
Date Event Price Price/Sq Ft Source
07/20/2021 Listed $639,900 $505 MetroList
09/09/2015 Sold $295,000 $233 MetroList
03/12/2015 Sold $295,000 $233 Public Record
01/29/2015 Listed $310,000 $245 MetroList
08/21/1998 Sold $140,000 $110 Public Record
11/09/1995 Sold $127,000 $100 Public Record
09/25/1989 Sold $119,000 $94 Public Record
Now I'm even more confused. Last recorded sale was $295K in 2015? I suppose I could call the listing agent but he have made an error and be hugely embarrassed. I think I'll just watch it for a few days and see what happens next.
I watched a YouTube video on this and they said that Zillow inflates the sold price by adding in some additional fees and such. I have found the same thing in the areas I watch in Florida. It doesn't look like they are making any profits. Weird.
What credits back to Zillow? You mean Zillow charged them 3% for an agency commission?
Selling to Zillow can cost as much as 12% in fees; 9% to Zillow and 3% to the Premier agent you dragged into the sale. Average without an agent involved is 7.5%. Depending on how the selling price is recorded, Zillow may be making more than it looks like at first glance.
Now I'm on a roll. I looked up the property history on Realtor.com and found this:
Property Price
Date Event Price Price/Sq Ft Source
07/20/2021 Listed $639,900 $505 MetroList
09/09/2015 Sold $295,000 $233 MetroList
03/12/2015 Sold $295,000 $233 Public Record
01/29/2015 Listed $310,000 $245 MetroList
08/21/1998 Sold $140,000 $110 Public Record
11/09/1995 Sold $127,000 $100 Public Record
09/25/1989 Sold $119,000 $94 Public Record
Now I'm even more confused. Last recorded sale was $295K in 2015? I suppose I could call the listing agent but he have made an error and be hugely embarrassed. I think I'll just watch it for a few days and see what happens next.
The Zillow property history shows that it was sold to Zillow on 7/10/21 for $564,729. Then relisted 10 days later for $639,900.
But the plot thickens! The Zillow listing when it first appeared gave a Zestimate of $501K. But now the Zestimate has "magically" increased to $671,900! I looked at recent "solds" of similar square footage in 95747, and the highest (2 of 65) were 100 - 200 sq ft larger properties at $600K. All the others sold for much less. I have kind of a hobby interest in local real estate, and it seems to me the market is softening, not increasing 11% month-to-month.
Sure looks like Zillow woke up and adjusted their Zestimate to match their inflated expectations.
Selling to Zillow can cost as much as 12% in fees; 9% to Zillow and 3% to the Premier agent you dragged into the sale. Average without an agent involved is 7.5%. Depending on how the selling price is recorded, Zillow may be making more than it looks like at first glance.
Hmm --- so you're saying Zillow didn't really pay $565K for the house? Subtracting 12% would mean they really got it for about $498K, which makes a lot more sense from a business standpoint, but is shady as can be.
The Zillow property history shows that it was sold to Zillow on 7/10/21 for $564,729. Then relisted 10 days later for $639,900.
But the plot thickens! The Zillow listing when it first appeared gave a Zestimate of $501K. But now the Zestimate has "magically" increased to $671,900! I looked at recent "solds" of similar square footage in 95747, and the highest (2 of 65) were 100 - 200 sq ft larger properties at $600K. All the others sold for much less. I have kind of a hobby interest in local real estate, and it seems to me the market is softening, not increasing 11% month-to-month.
Sure looks like Zillow woke up and adjusted their Zestimate to match their inflated expectations.
Oh boy. Something sure looks fishy to me. Why do the other big sites like Realtor.com and MetroList not show that Zillow transaction on 7/10/21?
I wonder what the sales price was that was recorded with the County? I rummaged around and all that I could find harks back to that 2015 sale.
I'm like you in that I follow the local real estate market and have for years, wherever I've lived. I'm going to be really interested to see how long it languishes on the market and what the sales price turns out to be. I don't find the upgrades to be of the highest level (for one thing, they painted the out-of-style cabinets in the kitchen only rather than update them), at least not enough to justify that price in this market. Would I pay that price for that house as it stands today? No. Looking at the comps at that price, both pending and for sale, those properties are considerably larger and much more appealing.
It will be interesting to watch what happens next. Thanks for the intel, semispherical.
The Zillow property history shows that it was sold to Zillow on 7/10/21 for $564,729. Then relisted 10 days later for $639,900.
But the plot thickens! The Zillow listing when it first appeared gave a Zestimate of $501K. But now the Zestimate has "magically" increased to $671,900! I looked at recent "solds" of similar square footage in 95747, and the highest (2 of 65) were 100 - 200 sq ft larger properties at $600K. All the others sold for much less. I have kind of a hobby interest in local real estate, and it seems to me the market is softening, not increasing 11% month-to-month.
Sure looks like Zillow woke up and adjusted their Zestimate to match their inflated expectations.
It has been widely assumed that Z adjusts their appraisal values to match listing prices.
Z denies it, of course, but many people don't buy their disclaimers.
Always be cautious when the seller appraises a house.
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