As the real estate appraiser profession dwindles, Big Data keeps getting stronger and stronger.
Curbed reports that new technology is closing the gap on real estate appraisals. Zillow’s Zestimate tool uses algorithms, public records, MLS data, and information from brokers and users to provide an accurate, though not perfect, estimate of the value of a home.
Meanwhile, the number of licensed appraisers has dropped from 120,000 in 2012 to 78,000 this year. The typical age of an appraiser is between 52 and 55.
“If numbers continue the way they are, there may not be enough appraisers to meet the needs of the marketplace,” says Appraisal Institute President Jim Amorin. “We worry about how the automated models will serve the needs of consumers.”