Friday, December 5, 2014

Homebuyers MUST Validate Home Values at Self-directed Sites. Homequant Pioneers!

Instead of either accepting some model-driven estimates from online brokerage sites (we all know those estimates are not explainable) or blindly relying on salespeople's comps, prospective homebuyers MUST do their own validations at Self-directed Sites.

A Self-directed Site will allow users to go through the valuation process in a step-by-step manner via the following FOUR steps:

1. Defining the Subject:  Subject property data from Public Records is often unreliable. As a homeowner, you know your home better than any such records. In Self-directed Sites, you can define/enter your own home data, without being forced to accept the data from Public Records. Here is an example of the basic subject data that you would be entering into a Self-directed system...

                          (ONE Click on image to enlarge)

2.  Selecting Comps:  A list of sales - by default - does not become comps; nor do some cute model-derived estimates provide true home values. Comps - however close they are to the subject - require proper selection and adjustments. In a Self-directed Site you will get to enter your own comp selection and adjustment criteria. Here is an example...

3. Ensuring Proper Location:  The concept of Spatial comps (picking comps right off the map) is always a better way as it helps avoid picking comps from the "other side of the freeway" which could be a pricier economic neighborhood, thus inflating the value of your subject. Here is an example...

4. Understanding Final Value:  A statistically significant range, say 25th to 75th percentile, is a more meaningful way to understand comps-based subject valuation than one unique parameter.  Here is an example...

You may try out your subjects at the Homequant site. It is absolutely free and requires no registration whatsoever...

Other Related Posts:
Homebuyers MUST Demand to See the Comps, Spatially. Homequant Illustrates!

Homebuyers MUST Differentiate between Local Sales and Comps. Homequant Explains!

Homebuyers MUST Choose Least Adjustment over Distance or Sales Recency. Homequant Enlightens!

Three Sales from Three Prior Quarters – Unadjusted for Time - are NOT Comps. Homequant Describes!

Homebuyers MUST Verify Appraiser’s Values in Four Easy Steps. Homequant Reveals!

Homebuyers MUST Validate Home Values at Self-directed Sites. Homequant Pioneers!

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