Join Australia's most dynamic and respected property investment community

Property Price estimating websites

Discussion in 'General Property Chat' started by Krisko, 24th Feb, 2016.

  1. Krisko

    Krisko Member

    Joined:
    9th Dec, 2015
    Posts:
    15
    Location:
    NSW
    Hi all

    I was wondering how reliable websites like www.onthehouse.com.au or the domain/real estate property prices estimating sites are.

    I was doing a comparison of my PPOR and there was quite a difference between all of them 2 said there was high degree of accuarcy in the prediction.

    Has anyone used them to found that they are accurate or are there other you sites that you prefer to use.
     
  2. larrylarry

    larrylarry Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    3,501
    Location:
    Sydney
    price estimating from these websites are never accurate, the property veterans here will tell you.
     
    Ozzie in Texas and York like this.
  3. EN710

    EN710 Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    2,099
    Location:
    NSW
    Take as grain of salt... I only use them as range. Broker can get you residex report with list of sales history in the area for comparison
     
  4. Ace in the Hole

    Ace in the Hole Well-Known Member Premium Member

    Joined:
    18th Jun, 2015
    Posts:
    1,515
    Location:
    Sydney
    Maybe for very common median priced property with a high number of sales, they would be accurate.
    Anything else would have too many variables, as the value is really what someone is willing to pay at that particular moment in time.
     
  5. York

    York Finance Broker Business Member

    Joined:
    24th Jun, 2015
    Posts:
    1,621
    Location:
    Sydney
    You better off just doing a simple comparables check on something like realestate.com.au. Search the suburb and look at the recently sold properties in that area. Look for properties that are similar to the one you want to compare to. That is - same bedrooms, bathrooms, block size etc. Also note how recent the sale was. This is more likely to be far more accurate than onthehouse.
     
    Ozzie in Texas and Leo2413 like this.
  6. Krisko

    Krisko Member

    Joined:
    9th Dec, 2015
    Posts:
    15
    Location:
    NSW
    That definitely sounds like the best option only problem being I have found a lot the prices are being withheld lately and there is not a huge turnover. But never mind it was just for curiosity sake.
     
  7. Rich W

    Rich W Well-Known Member

    Joined:
    16th Feb, 2016
    Posts:
    73
    Location:
    Sydney
    The Property Value (by CoreLogic) estimates I found the worst for my property. My house in Sydney is currently estimated $690,000 to $869,000 (High Confidence). and the property right next door which is exact same build/make/year and almost same land size is $870,000 to $1,099,000 (High confidence). That doesn't fill me with any "confidence".
     
    bamp likes this.
  8. Ace in the Hole

    Ace in the Hole Well-Known Member Premium Member

    Joined:
    18th Jun, 2015
    Posts:
    1,515
    Location:
    Sydney
    50% difference from lowest to highest between the two almost identical properties :confused:
     
  9. Rich W

    Rich W Well-Known Member

    Joined:
    16th Feb, 2016
    Posts:
    73
    Location:
    Sydney
    Just found it funny that it said "High Confidence". Of course its high if you have such a wide price range!
     
  10. Peter_Tersteeg

    Peter_Tersteeg Finance broker and strategist Business Member

    Joined:
    18th Jun, 2015
    Posts:
    2,095
    Location:
    Melbourne, Nationwide
    These websites are owned by those that provide RP Data or Residex and other reports. They're coming up with the same figures. Some are accurate, some aren't, and not always at the same time.

    You can't look at the quoted price range and simply call that the value. These results are based on statistics with quite a few assumptions. Sometimes those assumptions are reasonable but not always.

    The full CMA reports Residex and RP Data produce present a significant amount of data for you to look through in addition to the price summary. It's that data which is of real value not the figure on the front page. You can use that data as part of your research to get a better understanding of the market and come up with your own value for the property.

    Many mortgage brokers provide free CMA reports to clients. They're far more useful and relevant than a simple price summary.
     
    House likes this.