If you’re buying or selling a home in North Dallas, Richardson, Plano, or anywhere across the DFW market, you’ve likely used Zillow at some point. It’s one of the biggest real estate websites in the country, but even Zillow, with all its data, couldn’t trust its own pricing. Remember when Zillow bought thousands of homes… and then lost hundreds of millions because the values were wrong? This news isn't new, but, in my opinion, it's so important as more and more consumers rely on Zillow for accurate information. 

It was a loud, expensive reminder of something local experts have known for years: real estate is local — not algorithmic.

Here’s why Zillow’s missteps matter to you… and what they reveal about pricing your home in today’s Dallas market.

🤖 The Problem With Algorithms: They Don’t Walk Through Your Home

Zillow’s estimates (Zestimates) rely on publicly available data including tax records, past sales, square footage, location.
But here’s what they don’t see:

• Your updates and renovations

• Your floor plan flow and functionality

• Condition, upgrades, and craftsmanship

• Natural light and curb appeal

• What buyers in Dallas or Richardson actually value right now

In short: Zillow can’t smell the new carpet or see the gorgeous Brentfield-area backyard at sunset. You know who can truly see, understand and properly evaluate your home's value? Your local trusted Realtor - ME!

📉 So… What Happened to Zillow’s Home-Buying Program?

Zillow launched “Zillow Offers,” where they bought homes directly and flipped them for profit. But they quickly discovered:

✅ Their own pricing model wrongly estimated home values
✅ Their forecasting couldn’t keep up with real-time market shifts
✅ They bought too high, sold too low, and couldn’t adjust fast enough

Result?
They shut the entire program down after losing hundreds of millions because their algorithm simply couldn’t price homes accurately at scale.

If the company that built the Zestimate couldn’t trust the Zestimate, why should a homeowner trying to price their biggest asset?

📍 Why Dallas Home Pricing Requires Local Knowledge (Not an Algorithm)

The North Dallas and Collin County markets don’t move in predictable patterns. Pricing can change block by block, especially in areas like:

• Prestonwood (75248)

• Canyon Creek (75080)

• Lake Highlands (75238)

• West Plano (75093)

• Allen (75013)

A Zestimate doesn’t factor in the things buyers actually compete for here:

• Dallas commute patterns

• School zones like RISD and PISD

• Walkability to coffee shops, parks, and trails

• Pool vs. no pool

• Updates and finishes that outperform comps

This is why Zillow’s accuracy in Texas markets is… let’s say inconsistent.

🏠 Zillow Doesn’t Sell Your Home — Your Strategy Does

A Zestimate won’t:

✔ Analyze buyer demand in your micro-market
✔ Compare your home to active competition
✔ Identify your strongest buyer demographic
✔ Strategically price to create urgency
✔ Market your home where real buyers are searching
✔ Negotiate offers, repairs, or appraisal issues

Only a seasoned local agent who knows North Dallas neighborhoods street by street can do that. Start your Home Value Estimate here. 

🔍 So… Should You Ignore Zillow Completely?

Not necessarily — Zillow is a great place to:

• Browse listings

• Save searches

• Get a general feel for home values

• See what’s new on the market

But should you rely on it to price your home? Absolutely not.

If Zillow couldn’t rely on Zillow… neither should you. Check out my FREE guide: The Real Cost of Selling your Home.

✨ The Bottom Line

Your home’s value is too important to trust to an algorithm — especially one that’s already proven its limits.

If you want a pricing strategy based on real-time data, neighborhood expertise, and what buyers in North Dallas, Richardson, and Plano actually pay, I’m here to help.

📩 Request an appointment with me to walk your home and come up with an accurate value here:
KellyReberRealEstate.com/contact

Or DM me anytime — even Zillow would. 😉