Today I’d like to answer a question that we received from Karen, who asked us about Zillow’s “hot, cold, and cool zones” in the Triangle area and how they determine these zones.
My assumption is that Zillow uses year-over-year sales data, and what we have to look for in this type of data is what the inventory levels are that are driving those sales numbers, both from this year and last year.
This is important because a lot of times, what we’re seeing in the market is that sometimes the raw sales are really affected by whether or not there is actually inventory. Inventory drives the market more than demand for those houses does; however, people are more interested in know about demand because that is what drives prices up.
So what’s the best way to find out your property’s true market value, what the market is like in your particular neighborhood or area, and what the demand is for that area? Reach out to me and my team and we’ll do an absorption analysis, which will tell us exactly what the demand is for that particular property in that area.
If you have any other questions about home values or anything else related to real estate in the Raleigh area, give me a call or send me an email. I’d be happy to help you!