Sellers Could Get Hurt Severely If They Use Zillow

There has been a tremendous amount of hype about a new website called Zillow.com. It supposedly has valuation information about 60 million properties, and is designed to get sellers to sell their homes themselves to "save money."

I have tested the site twice with different property information that I know the true market of, and in both cases, the valuation from Zillow came back 20% below market! If the seller of a property really worth $500,000 used the Zillow valuation to list their home, the listing price would be $400,000! I am having trouble understanding how that saves the seller money.

Using (and paying) a professional real estate executive would actually save the seller a lot more money!

Your thoughts about, and experiences with Zillow?