HOUSES WITH BLUE BATHROOMS AND MORE...

By
Real Estate Agent with Douglas Elliman Real Estate 30HA0800896

HOUSES WITH BLUE BATHROOMS AND MORE...

Now, here is an example of what one of the biggest issues we have with Z, is all about:  "Homes with Blue Bathrooms Sell For More?". Not to insinuate that Z is an appraisal company, of course--but what can you think when they come up with their ridiculous Zestimates??? Where do they get the data that gives them insight to price properties??? This post may address those questions:

This interesting statistic comes from a press release written by Zillow to reflect their statistics claiming that they found that "houses with blue bathrooms get $5,400 more than others, the highest sales premium of all colors analyzed".  This statistic apparently came from a press release sent to Jonathan Miller of Miller Samuel, Inc.,  about a color analysis from 2017.

There were pictures of Tim Geitner's home in 2009, where his house was listed with Zillow but did not sell---Geitner yanked it from the site after there was a joke about the blue bathroom on The Daily Show...Of course, this was during the last housing downturn in 2009 when Geitner was the Treasury Secretary in a very slow economy.

According to a quote from Jonathan Miller of Miller Samuels, Inc.:  "Like the Zestimate’s results that are presented to the nearest dollar, this type of presentation infers a market precision that does not exist. Labeled as “disrupters,” I think Zillow’s concept of “aggressively marketing an accuracy that is non-existent” is one of the biggest challenges facing real estate appraisers and brokers and in turn, the consumers. Numbers can be magic, especially when presented in an econ-sounding way. The consumer absorbs the results as gospel without challenge."

The humor may be lost on this, especially with the current antics of a company like Z who's sole purpose seems to be to disrupt the brokerage business right now.

They are obviously not expert at any of the "things" of real estate, its pricing and all its associated trades such as appraisals!!

 

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Topic:
Real Estate Best Practices
Groups:
Active Rain Newbies
Realtors®
Out Of The Box!
Almost Anything Goes
Addicted to Active Rain
Tags:
the real problem with zestimates
how to price properties
blue bathrooms

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Ambassador
3,780,664
Kathy Streib
Room Service Home Staging - Delray Beach, FL
Home Stager - Palm Beach County,FL -561-914-6224

                  

                     Thank you, Paula. 

May 18, 2019 07:01 PM #16
Rainmaker
487,873
Paula Hathaway, REALTOR, LBA
Douglas Elliman Real Estate - Southampton, NY
...The Most Informed Agent In The Hamptons!

Hi Kathy: So Funny!!! LOL, I think I mentioned it was Tim Geitners home with a blue bathroom and he yanked the listing off Z after he saw a joke about it on TV...These Jokers at Z need to get the heck out of this business before they destroy it completely!..and Thank you, Kathy!

May 18, 2019 07:49 PM #17
Rainmaker
3,177,928
Endre Barath, Jr.
Berkshire Hathaway HomeServices - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Paula, I loved this post and I so remember what a fool Tim Geitner was)) he was talking crap but could not sell his own home:))Endre

p.s.: where is he now? surprised he is not writing a book like all other fools...

May 18, 2019 11:05 PM #18
Rainmaker
1,851,245
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Hi Paula - this is really so funny but there are people that will hang on this information.

May 19, 2019 04:37 AM #19
Rainmaker
743,574
Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

"The consumer absorbs the results as gospel without challenge." This quote from Jonathan Miller of Miller Samuels, Inc.:  really is the bottom line when it comes to the whole Zillow controversy.

May 19, 2019 08:07 AM #20
Rainmaker
487,873
Paula Hathaway, REALTOR, LBA
Douglas Elliman Real Estate - Southampton, NY
...The Most Informed Agent In The Hamptons!

Hi Endre: You are so funny! He was a bit of a fool, now that I look back--And he thought his Blue Bath should have been a winner!! The Height of Narcissism! I think he did write a book but it was not a hit....much like his blue bathroom!

May 19, 2019 08:58 AM #21
Rainmaker
487,873
Paula Hathaway, REALTOR, LBA
Douglas Elliman Real Estate - Southampton, NY
...The Most Informed Agent In The Hamptons!

Hi Grant: Hang? I wouldn't go so far as to say they will "hang" but they certainly bought into it! Basically, because they don't know how to respond to such idiocy! That's the way I see it...who can challenge this? Pantone? Maybe they would have something to say...LOL.

May 19, 2019 09:01 AM #22
Rainmaker
487,873
Paula Hathaway, REALTOR, LBA
Douglas Elliman Real Estate - Southampton, NY
...The Most Informed Agent In The Hamptons!

Hi Jill: Jonathan is really something, isn't he. You may have heard he has taken on the whole idea of who has the right to "appraise" a property and who does not. There is a new law here in New York that was just passed that states, in effect, that unless you are a licensed Appraiser or a licensed agent/broker you can't give an opinion of worth on a property..We will see if the law sticks.

May 19, 2019 09:06 AM #23
Rainmaker
2,095,550
Sharon Tara
Sharon Tara Transformations - Portsmouth, NH
New Hampshire Home Stager

Crazy! I agree with Kathy, scratching my head here. 

 

May 20, 2019 09:36 AM #24
Rainmaker
487,873
Paula Hathaway, REALTOR, LBA
Douglas Elliman Real Estate - Southampton, NY
...The Most Informed Agent In The Hamptons!

Hi Sharon--Me too! It never gets boring though when you read it--the humor is literally falling out of the press release as they talk about the Blue Bathrooms as if that is actually a common color!! I think we are in a time warp and this crazyness is actually being perpetrated by a company who is trying to destroy brokerage!! In fact, they are merely showing their complete and total ignorance...They talk as if this is a fashion show or something just as off the mark! Thanks for reading and commenting...

May 20, 2019 09:46 AM #25
Rainmaker
250,989
Susan McCall, Independent Listing and Buyer Agent
Compass Realty Solutions - Portland, OR
Bringing buyers and sellers together!

We will never know where the comment came from, possibly someone sitting in the "bull pen" or whatever it is called where "writers" scroll the Internet for something to post.  They are not looking for a bonafide article written by someone of authority in the industry, but just something to throw out for the quota of contributing something for the day.  Isn't there an old saying that negative publicity is still publicity?

May 20, 2019 10:40 PM #26
Rainmaker
1,513,424
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

That is insane. It's sad that an uninformed public has been led to believe that Z is the ultimate authority.

May 21, 2019 08:41 AM #27
Rainmaker
2,477,843
Myrl Jeffcoat
GreatWest Realty - Sacramento, CA
Greater Sacramento Real Estate Agent

Crazy times!  Who could have imagined a decade ago that an algorithm would be trying to take over the real estate arena!

May 21, 2019 04:15 PM #28
Rainmaker
487,873
Paula Hathaway, REALTOR, LBA
Douglas Elliman Real Estate - Southampton, NY
...The Most Informed Agent In The Hamptons!

Hi Susan: Well, the press report that is a link above, in my post says that it came out in 2017 but the story behind the "Blue Bathroom" is an old one--from 2008, I believe. That is when Timothy Geitner, who's house was listed on Zillow with photos of his Blue Bathroom, pulled his home off their website because someone on the Daily Show poked fun and made a joke about it! That's about it--the bigger shock to me is that Z actually published a press release showing stats and "proof" that houses with blue baths get $5.4mil more than any other color! It is nothing short of insane that they actually think you can count sold houses and use bathroom colors as a statistic that affects pricing!

May 21, 2019 04:25 PM #29
Rainmaker
487,873
Paula Hathaway, REALTOR, LBA
Douglas Elliman Real Estate - Southampton, NY
...The Most Informed Agent In The Hamptons!

Hi Marte: You can say that again--to me, it is sum and substance of just how in over their heads they really are! The housing market will never be the same--and I just read where Redfin and Zillow have partnered up in 4 selling areas!! So, it is just a matter of time now...

May 21, 2019 04:27 PM #30
Rainmaker
487,873
Paula Hathaway, REALTOR, LBA
Douglas Elliman Real Estate - Southampton, NY
...The Most Informed Agent In The Hamptons!

Hi Myrl: It's AI--artificial intelligence being used as a wedge between two humans--the seller and the buyer--under the guise that those platforms are really improving the service that the public gets!! Somehow, I can hear Hal, the computer AI from Stanley Kubrick's film, "2001 Space Odyssey", in here somewhere, as he says to the owner of Zillow: "Rich, I know I've made some very bad decisions lately." as he takes over the running of the space ship...

May 21, 2019 04:56 PM #31
Ambassador
3,918,117
Jeff Dowler, CRS
Solutions Real Estate - Carlsbad, CA
The Southern California Relocation Dude

Hi Paula:

Well this was pretty entertaining, and as with so much I read about Z I am left shaking my head in wonderment, with a taste of dubiousness. Will we now start seeing more blue bathrooms?

Jeff

May 22, 2019 02:18 PM #32
Rainmaker
487,873
Paula Hathaway, REALTOR, LBA
Douglas Elliman Real Estate - Southampton, NY
...The Most Informed Agent In The Hamptons!

Hi Jeff: I haven't and I am sure that this was done by some AI --this study sounds so otherworldly to me....like from another planet! Apparently, there was no embarrassment on the part of Z as people began to make fun of the report. This was a press release from 2017 so if there was a "Blue Bathroom" surge, we all would have at least heard about it! LOL Thanks for reading and commenting, Jeff!

May 22, 2019 03:32 PM #33
Rainmaker
608,766
Carla Freund
Keller Williams Preferred Realty - Raleigh, NC
Raleigh - Cary Triangle Real Estate 919-602-8489

Paula, who knows where they come up with this stuff. It's just something that makes people stop and read what they're writing. And, maybe blue bathrooms were selling because that was the Pantone color of the year? Or maybe HGTV featured a lot of blue bathrooms? Next year yellow bathrooms might be selling because that's the hot color of the year. Who knows? People change their preferences like they change clothes.

May 26, 2019 06:04 AM #34
Rainmaker
487,873
Paula Hathaway, REALTOR, LBA
Douglas Elliman Real Estate - Southampton, NY
...The Most Informed Agent In The Hamptons!

Hi Carla: The funny thing is that they actually did a study--using the photos that agents paid for and put on their websites and Z took those photos from properties sold and looked at the sales, by room, by color!!! they then looked at the price the property sold for and actually used the stats  (read the link on the post--first paragraph) You won't believe what they were using to validate their theory!!If it weren't so pathetic it would be laughable!

May 27, 2019 02:31 PM #35
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainmaker
487,873

Paula Hathaway, REALTOR, LBA

...The Most Informed Agent In The Hamptons!
Ask Me About Luxury Townhouses In Southampton Village
*
*
*
*
Spam prevention

Additional Information