National Zillow Quarterly Trend Reports Released

By
Services for Real Estate Pros with Zillow

I often get asked how investors can use Zillow.  With a database of over 70 million homes, one of the best ways to use the site is to evaluate trends.  Each quarter Zillow organizes this data and releases it at a link that can be found at the very bottom on the Zillow home page.  Below I will highlight some of the national trends for the July-September 2007 data that was just released, but you can follow the link to find data for your specific area

  • National home values declined 5.7% year-over-over.  5 year United States Zindex Chart
  • This is the 4th consecutive quarter decline and the largest decline in more than 10 years.
  • The US Zindex is $244,000, down 2.8% from the previous quarter.  This is the median of all Zestimates

For the first time since releasing these reports, we analyzed these numbers compared with mortgage information on record for the home.  While we all know that real estate cycles up and down, these numbers were a little more scary to me.  However, the numbers illustrate why is it always ideal to have a long term strategy when doing any this of investing. 

  • 15.6% of those who bought within the last year have negative equity.
  • 17.5% of those who bought within the last 2 years have negative equity.
  • 1.8% of those who bought within the last 5 years have negative equity.

Despite these situations where homeowners could be upside down, there is still a strong case to buy real estate as most homeowners still have positive equity in their homes.  In fact, many that have purchased in the last two years have seen some sort of equity increase.  This increase or decrease in equity depended on factors such as when the home was purchased, down payment amount and net market appreciation. 

  • Homeowners who bought within the last 2 years made a median down payment of 10% and own 13% equity share in their home.
  • Homeowners who bought within the last 5 years made a median down payment of 11% and own a 41% equity share in their home, stemming from a annualized rate of 9.4% each year. 

Basically these numbers prove what you as real estate professionals already know.  You should encourage your clients to make smart real estate investments that are within their financial capabilities and goals.  And if you are going to get into the real estate game, the best strategy is a long term one. 

For detailed numbers in your area, click HERE

 

Posted by

 

-------------------------------------------------------------------------------------------

 

   Thanks for reading!  Subscribe here to be alerted of blog updates. rss sara bonert blog zillow  

Want to learn how to use Zillow better?  Check out:

 

 

I'm on Twitter too! Follow me at @sbonert

 

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the magnifying-glass to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Tags:
zillow
zestimate
zindex
quarterly reports

Comments 13 New Comment

Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the robot to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Show All Comments
Rainmaker
341,796
Dan Brudnok
REALTOR,e-PRO,ABR,GREEN,SRES,CSP
Keller Williams RE- Exton - PA License Number #RS225179L

Sara,

Any market information must be scrutinized carefully.  Used as one of many factors to consider is a good thing....as the only thing is BAD!

I hear Zillow very often, and I have to justify my numbers too many time because of it.

Have a great Thanksgiving.

November 21, 2007 11:07 AM
Rainer
103,109
Armando Rodriguez
Orlando Homes 4 Sale, Real Estate Broker-GRI
QUEST REALTY SERVICES

Very interesting. Let's hope it gets better out there.

Thanks for the info!

November 21, 2007 02:33 PM
Rainmaker
112,551
Sun City Peachtree® Resales Jessica Horton
#1 Resale Agent in Sun City Peachtree®
Jessica Horton & Associates
Sara:

I am happy to the report that for the first time ever...drum roll please....Zillow and I were only $200.00 off on recommended list price!  I plan to test it on some more after Thanksgiving. 

Speaking of Thanksgiving...Zappy Thanksgiving to you! =]

November 21, 2007 09:51 PM
Rainmaker
210,802
Lucky Lang
SRES, Davenport, Iowa Real Estate
Mel Foster Co.

Sara,

Those numbers don't look very optimistic!

Would you please see that it doesn't happen again next quarter?

Lucky :)

November 25, 2007 07:12 PM
Rainmaker
181,500
Sara Bonert
Real Estate Internet Marketing
Zillow
Lucky-  Ha!  I don't make the numbers, only report them.  :)  Hope you had a great thanksgiving!
November 25, 2007 07:14 PM
Rainmaker
210,802
Lucky Lang
SRES, Davenport, Iowa Real Estate
Mel Foster Co.

Sara,

I did!  And you?

Lucky :)

November 25, 2007 07:17 PM
Rainmaker
181,500
Sara Bonert
Real Estate Internet Marketing
Zillow
Oh yes!  My parents came in from IA for the weekend.  Black Friday is one of my top three favorite days of the entire year (next to my birthday and Christmas).  Having the long weekend from work was awesome (yet here I am blogging...).  And we got our first snow!
November 25, 2007 07:19 PM
Rainmaker
210,802
Lucky Lang
SRES, Davenport, Iowa Real Estate
Mel Foster Co.

Sara,

We just had flurries, no accumulation. 

Take care,

Lucky :)

November 25, 2007 07:22 PM
Rainmaker
110,439
Lewis Poretz
- Mortgage Branch Opportunities - Nationwide
Meadowbrook Financial Mortgage Bankers

Sara -   I always had a problem with the value zillow came up with until recently. Seems like it was always lagging behind the real value of properties but here in the Baltimore / DC area it seems to be a bit more accurate recently.  Thanks for the post....

 


November 25, 2007 07:33 PM
Rainmaker
181,500
Sara Bonert
Real Estate Internet Marketing
Zillow
Jecissa-  that is GREAT.  next step- get you a deal because of zillow!
November 26, 2007 07:39 AM
Rainmaker
271,173
Ken Cook
Writer For Hire
Digital Content Creator
Sara - Thank you for using the word NATIONAL. Your associate who has created a profile here omitted that word and simply alluded to "Housing Values Decreased 5.7%" (paraphrased). I personally have an issue with the globalization of the real estate market unless it is reported as global. I would also like to see the words "average" - even just using the term "national" makes it sound as though every home in America went down in value 5.7% - Welcome to Active Rain. You'll find me one of the more vocal bloggers here both uplifting and challenging.
November 26, 2007 08:35 AM
Rainmaker
181,500
Sara Bonert
Real Estate Internet Marketing
Zillow
Ken-  Thanks for the comment and good point about using the word National.  Did you happen to check out the link to where all of the information resides on the site?  We break everything down to a very local level there. 
November 26, 2007 01:47 PM
Rainmaker
325,145
Esko Kiuru

Sara,

As the numbers prove, real estate has held its own in the long term. Those who wish to make short-term profits in the industry have to be really quick and decisive and also lucky. In most part of the country now is a good time to buy.

November 26, 2007 04:40 PM
Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the sunglasses to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Show All Comments
Rainmaker
181,500

Sara Bonert

Real Estate Internet Marketing
Ask me a question
*
*
*
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the sunglasses to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Additional Information


Mortgage Rates on Zillow


\"sara

Most Expensive Homes in Atlanta
" style="overflow:hidden;" seamless scrolling="no" id="custom-widget-content" onload="resizeIframe()">Your browser does not support iframe.