FREQUENTLY ASKED QUESTIONS (FAQS)

How do I use the Home Value Estimator?

If you’re looking for a home equity loan, the Home Value Estimator can give you an idea of what your home is worth from a lender’s point of view. From that, you can estimate your equity and calculate how much you might be able to borrow. There is no guarantee that your Home Value Estimator estimate would be the value used for your loan, and an appraisal or other type of valuation may be required for your specific loan.

How is the Home Value Estimator different?

You can search the Web and find thousands of sites that offer home value services. However, most of them are used to generate leads for real estate brokers. If you’re not selling your house, these services can be a huge waste of time for everyone.

Other services provide the same information as the Home Value Estimator, but they charge anywhere from $10 to $35 for reports. While these services can be useful if you’re selling or buying a house, they won’t help you with a home equity loan or refinance.

When should I consider an appraisal?

You probably have a pretty good sense of your home’s value. If the Home Value Estimator returns an estimate that you feel is off the mark, you could consider getting an appraisal (or broker market analysis) to get a more accurate value. Automated valuation methods (including the Home Value Estimator) are not substitutes for professional valuations that include a physical inspection and adjustments to comparable sales.

Can I use the Home Value Estimator to sell my house?

If you’re looking to sell your home, the Home Value Estimator can be a good starting point to establish a selling price. However, no automated valuation system (including the Home Value Estimator) can account for unique locations, curb appeal or special home improvements. For selling a home, you should use a real estate professional or appraiser to establish your asking price.

What does the Home Value Estimator tell me about my equity?

Home equity is simply the estimated value of your home, minus the balance of mortgage against the property. So, if your Home Value Estimator range is $225,000 to $250,000, and you have a first mortgage balance of $100,000 and a second mortgage (or home equity loan) balance of $25,000, your available home equity could range from $100,000 to $150,000.

How does the Home Value Estimator determine my home value?

The Home Value Estimator uses public record data, combined with professional appraisal techniques to arrive at a value estimate. For instance, the characteristics of your home (square footage, number of rooms, etc.) are compared to recent "comparable sales" in your neighborhood. Therefore, the Home Value Estimator estimates are specific to your home (as opposed to an average value of homes sold in your town or zip code), so it can be extremely accurate. However, because it does not include a physical inspection, the Home Value Estimator does not take the place of professional appraisal.

Where does the Home Value Estimator get its information?

The Home Value Estimator uses a database of more than 90 million real estate records that are updated every month with new sales. These public records include real estate sales (to establish prevailing market conditions), and assessor files (to determine common property characteristics.) These are the same sources a professional appraiser would use.

How accurate is my Home Value Estimator estimate?

Much depends on the quality and availability of real estate data in your area. If homes like yours have been selling at fair market prices, and available public record data on your home is complete and accurate, the Home Value Estimator will produce an effective value, usually within 5% of the actual selling value. When there is less information available, or if a property has unique characteristics (improvements, premium locations, etc.), the Home Value Estimator will have a broader confidence range.

Why am I getting a range instead of a value?

The Home Value Estimator uses multiple sources and models to calculate an estimated value. However, since data quality and availability can vary, the report you receive is shown as a range, which reflects the degree of confidence in the data. A wide range indicates that some data elements were missing, or there were inconsistencies between the valuation methods.

I’m getting an “Invalid Address” message.

First, the Home Value Estimator is designed to work with occupied residential single-family or condominium properties. If the address is commercial or multi-use, the Home Value Estimator is not the right tool.

The Home Value Estimator uses U.S. Postal Service address standards. Here are common address issues:

If your street or town is sometimes referred to by different names, try the alternate names. Sometimes Zip codes are incorrect; try the city/state combination or just the Zip code.
Double-check the street spelling and type (Rd, St., etc.)
If the property is a condo or high-rise, you will most likely need a Unit or Apartment number.
If the property is a building lot, the address will not work. New construction homes may take several weeks or months to be added to the US Postal Service address system.
If you are in a rural route delivery area, or if you receive your mail at a post office box, the Home Value Estimator may not be able to process your address correctly.
To double check your postal address, please visit www.usps.com and try your address under "Find A Zip Code". If you receive a corrected address, use that for the Home Value Estimator. If the above steps don't work, please send an email with the information to support at the Home Value Estimator.com.

My value estimate has changed in the past week (or month).

Home values are usually based on recent sales of comparable properties. If a house comparable and nearby to yours sold recently, it could affect the calculations used to produce your estimate. We also update our sales indexes every month.

The Home Value Estimator is not working (returning an estimate).

The Home Value Estimator works most of the time, but for some properties, no automated valuation system is applicable. For instance, a home that has not sold for 20 years and has no “comparable sales’ in the area would require a real estate broker or appraiser for an accurate estimate. The same goes with new construction. The purchase price is often spread out between land and building costs, and the public record data is just not up-to-date enough to be used. If the Home Value Estimator doesn’t work, and you’re dealing with a “normal” property, you probably need the services of an appraiser or real estate broker to get a value estimate.

My real estate broker says my house is worth more (or less)...

The Home Value Estimator can be a useful tool when selling or buying real estate, but it’s not as accurate as an estimate that includes a physical inspection and a localized market evaluation. All automated valuation systems tend to “lag” the market, because they rely on public record data, which can take weeks or months to be brought into the equation. Also keep in mind that the asking price is usually higher than the actual selling price.

What if my value estimate is inaccurate?

As the saying goes, "It depends." Common reasons include:

Your property is unique or doesn't fit the profile of homes being sold in your area.
the Home Value Estimator database doesn't contain enough property characteristic information to make accurate comparisons with recent sales.
You live in a rural area and there are not enough "comparable sales" in your market.
You may have paid a "bargain" price (or premium) for the house, which would impact value appreciation calculations.
If your Home Value Estimator estimate is considerably "off the mark," you should be prepared to use a professional appraiser to support your value estimate if you plan to refinance or apply for a home equity loan.

Can I use the Home Value Estimator instead of an appraisal?

The Home Value Estimator is intended to be used as an informational tool only.

How secure and private is my information?

The Home Value Estimator is provided as a complimentary service by Wachovia. The Home Value Estimator uses a secure, private network and only shares property address information with Wachovia.