You’re sitting on the couch, scrolling through your phone, and you think, "I wonder what we could get for this place." You type your address into that search bar. Boom. A number pops up in big, bold text. Maybe it’s $542,000. Maybe it’s $1.2 million. Whatever it is, that number instantly changes your mood. You’re either planning a vacation or ready to call a lawyer to dispute your property taxes.
But here’s the thing about asking what is my house worth on Zillow: it’s not actually a valuation. It’s an algorithm’s best guess.
Honestly, Zillow is pretty open about this, but most of us ignore the fine print. They call it a Zestimate. It’s a mix of public records, tax assessments, and "machine learning." But a machine has never walked through your front door. It hasn't smelled the cookies you just baked or noticed that slightly damp spot in the basement that makes you nervous every time it rains.
Why the Zestimate is basically a ballpark, not a bullseye
If you’re looking at your home’s value on Zillow right now, you need to know the "median error rate." For 2026, Zillow’s own data suggests that for homes currently listed for sale, the error rate is surprisingly low—about 1.83% to 1.94% nationwide. That sounds great, right?
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It’s easy to be accurate when the house is already on the market and the listing price is public knowledge. The algorithm just looks at what you’re asking and says, "Yeah, sounds about right."
But if your house isn't for sale? The error rate jumps to over 7%.
On a $500,000 home, a 7% error is $35,000. That’s not pocket change. That’s a new car or a massive chunk of a down payment on your next place. In some cities, like San Francisco or New York, the error rate can swing even wider because the markets are so dense and weird.
The data gaps Zillow can't bridge
Zillow relies on "comps"—comparable sales. If your neighbor sold their house three months ago for $600,000, Zillow assumes yours is worth something similar.
But what if your neighbor’s house was a total wreck inside? What if they had a 1970s kitchen with avocado-colored appliances and a carpet that smelled like 1984? Zillow might not know that. If your house has a brand-new chef’s kitchen and quartz countertops, the algorithm might still be dragging your value down because of that neighbor.
It works the other way, too. If you’ve let the maintenance slide, Zillow might be giving you a "phantom" value that will disappear the second a real inspector walks in.
What is my house worth on Zillow vs. a real appraisal?
People often get these two confused. A Zestimate is an Automated Valuation Model (AVM). An appraisal is a legal document prepared by a human being who has a license and a clipboard.
A human appraiser looks at:
- The actual condition of your roof (not just the age from permit records).
- The "flow" of the floor plan.
- Whether the "third bedroom" is actually just a closet with a window.
- The specific view—is it a park or a power plant?
Zillow is getting better at using AI to "see" photos. They have tech now that scans listing photos to check for granite countertops or hardwood floors. But it’s still just a computer trying to interpret pixels. It can't feel if the floor is bouncy or hear the deafening sound of the highway two blocks away.
The 2026 market shift
We’re in a weird spot here in 2026. After a few years of "is it going to crash or not?" the market has finally settled into this sort of "meh" stability. Zillow’s economists are predicting a modest 1.2% rise in home values this year. It’s a "healthier" market, as Mischa Fisher at Zillow puts it, but it means the days of your Zestimate jumping $10k every month are probably over for now.
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This stability actually makes the algorithm a bit more reliable than it was during the chaos of 2021, but it also makes sellers more sensitive to small dips. If your Zestimate drops by $5,000, it feels like a personal insult.
How to actually make your Zestimate more accurate
Believe it or not, you can actually mess with the algorithm yourself. You’ve got more power than you think.
- Claim your home. If you haven't done this, go to Zillow, find your property, and click "Claim This Home."
- Update the facts. Zillow often works off old tax records. If you finished your basement or added a bathroom and it’s not showing up, your value is definitely wrong.
- Check the "Home Report." You can see which "comps" Zillow is using to calculate your value. If it's using a house from a much worse neighborhood across the tracks, you can sometimes flag that or at least understand why your number looks weird.
Is Redfin better?
You'll often see people comparing their Zestimate to their "Redfin Estimate." Usually, they aren't the same. Redfin claims their margin of error is slightly lower—around 1.87% for on-market homes. They use different data streams, often pulling more directly from the Multiple Listing Service (MLS).
If you really want to know what your house is worth, check both. Then check Realtor.com. If all three are within $10,000 of each other, you’re probably looking at a solid ballpark. If they are $50,000 apart? The algorithms are confused.
Don't fall for the "Zillow trap" when selling
The biggest mistake you can make is pricing your home based only on what Zillow says.
I’ve seen it happen. A seller insists on listing at $650,000 because Zillow said so. But the real estate agent knows that three similar houses nearby just sat on the market for 60 days before cutting their prices to $610,000.
The Zestimate is a lagging indicator. It looks at the past. A local agent looks at the "now"—the buyers who are currently touring homes and what they are complaining about.
Actionable steps for your home value
If you are serious about selling, or even just curious about your equity, don't stop at the search bar.
Start by claiming your home on Zillow and updating the specs. It takes five minutes and can actually move the needle on the Zestimate if you’ve added square footage or bedrooms.
Next, ask a local agent for a "Comparative Market Analysis" (CMA). Most will do this for free because they want your business later. This is a much more "human" version of what Zillow does.
Finally, if you're doing a major financial move—like a cash-out refinance or a divorce settlement—pay the $500 to $700 for a professional appraisal. It's the only number that a bank or a court will actually take seriously.
Zillow is great for "real estate porn" and dreaming about your net worth on a Tuesday night. But when it's time to sign papers, trust the people, not the pixels.