Friday, February 26, 2016

Homequant Offers Free AVM Class - 100% Excel-based!


Thursday, February 25, 2016

Homequant Offers Practical Books on Automated Valuation Modeling (AVM)

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"Anybody can read Kindle books—even without a Kindle device—with the FREE Kindle App for smartphones, tablets and computers." - Amazon

Need More Info? Use 'Contact Us' on Homequant site

Homequant Offers Excel Pivot Table Services

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Use 'Contact Us' on Homequant site

* Excel is registered trademark/product of Microsoft Corp.

Homequant Offers Inexpensive Sales Ratio Studies for Taxing Jurisdictions

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The sample graphic above makes the case for a Sales Ratio study before an assessment roll is released, thus allowing last minute identification and correction of all embedded inconsistencies. 

Here is Homequant's solution...
 Use 'Contact Us' on Homequant site

Monday, February 22, 2016

Minneapolis, Staten Island, Tampa and Denver - Where are the Largest Homes, Statistically?

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And, the answer is Denver. Statistically speaking, a median home in Denver is larger than its counterparts in Minneapolis, Staten Island and Tampa.

This analysis is extracted from Homequant's Town Analyst site. Try out your Town or Neighborhood. Absolutely free and requires no registration whatsoever...


Atlanta, Boston, Cleveland and Denver - Where are the Largest Homes, Statistically?

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Answer: City of Atlanta / Fulton County.  Statistically speaking, across the board - from median homes to smaller homes (<25th Percentile) to larger homes (>75th Percentile). 

This analysis is extracted from Homequant's Town Analyst site. Try out your Town or Neighborhood. Absolutely free and requires no registration whatsoever...


Dallas, Ft Lauderdale, Salt Lake City and Wash DC - Where are the Largest Homes, Statistically?

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Answer: Ft Lauderdale Metro. Statistically speaking, a median home in Ft Lauderdale is larger than its counterparts in Dallas, Salt Lake City and Washington DC.

This analysis is extracted from Homequant's Town Analyst site. Try out your Town or Neighborhood. Absolutely free and requires no registration whatsoever...

Orlando, Queens, Phoenix and Portland - Where are the Largest Homes, Statistically?

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Answer - City of Orlando. Statistically speaking, across the board - from median homes to smaller homes (<25th Percentile) to larger homes (>75th Percentile).

This analysis is extracted from Homequant's Town Analyst site. Try out your Town or Neighborhood. Absolutely free and requires no registration whatsoever...


Miami, Houston, Las Vegas and Seattle - Where are the Largest Homes, Statistically?

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Answer - City of Houston. Statistically speaking, across the board - from median homes to smaller homes (<25th Percentile) to larger homes (>75th Percentile).

This analysis is extracted from Homequant's Town Analyst site. Try out your Town or Neighborhood. Absolutely free and requires no registration whatsoever...


Thursday, February 4, 2016

Property Tax Appeals Consultants MUST Use AVM Values - Upfront - to Validate Tax Rolls

While an Automated Valuation Model ("AVM") - also known as Computer-Assisted-Mass-Appraisal ("CAMA") in municipal finance - is often used in developing property assessment rolls to ensure they are fair and equitable (as statutorily required), it is an equally powerful tool in identifying the weaknesses embedded in such rolls. Of course, in order to use AVMs in identifying such weaknesses, the following issues must also be taken into consideration:

1. Comparing independently developed AVM Values to County Market Values will point to the areas of failure - over- and under-assessment - on the Roll. Often, the higher value properties are under-assessed while the lower value properties are over-assessed. If the comparison points in that direction, the Property Tax Appeals Consultants ("Consultants") must work up a small sample - using comps - to further authenticate the discovery. If the comps sample validates the discovery, Consultants must pay special attention to that over-assessed segment of the population. 

FYI - many such Consultants use our free Homequant site to work up samples. Our site, unlike other free valuation sites, allows users to arrive at their own value conclusions. Homequant is a true valuation site with advanced features like specific comps selection and adjustment mechanism, distance matrix, time adjustment, flexible valuation date, multiple ranking methods, interactive spatial interface, comps grid, value analysis, to name a few.

2. In choosing AVM Vendors, Consultants must make sure that those AVM Values are developed specifically for the Tax Status Date. If the Status Date is 01-01-2016 but the AVM Values were developed in June 2015, those values would produce a flawed picture when compared to the County Values. It is therefore advisable to work with AVM Vendors that develop specialized models for the Appeals industry, per se. It is also in the best interest of the Appeals Consultants to work with such vendors.

3. Many AVM Vendors also sell Comps Reports. However, the best bet for the Appeals Consultants is to work with those specialized AVM Vendors that additionally tie their AVMs to the Comps production. In other words, the specialized AVM Vendors who connect model coefficients and adjustments to the comps Adjustment Matrix tend to produce the most optimal values. If a Consultant is looking for a long-term vendor, this is a question always worth asking.

4. In course of the due diligence Consultants may ask for a sample Adjustment Matrix for the comps production. The sample itself could say a lot about the quality of their valuation process. For example, if the Adjustment Matrix shows Lot SF coefficient of .10 (10 cents per Lot SF, assuming it's transferred from a linear regression-based AVM model), just dump them and move on (Hint: it's not multi-collinearity). It would be a clear indication that they are working with totally unqualified "make-shift" modelers. While no AVM Vendor would be forthcoming to show their AVM models, they might share a sample Adjustment Matrix. It could be telling! 

Our Sites:
http://www.homequant.com/
http://www.townanalyst.com/
http://locvalu.com/

FYI - To learn more about AVM, you may request complimentary copies of our trend-setting books on AVM: 
-- How to Build a Better AVM 
-- Alternate Applications of AVM.

Thanks,

Sid Som
President, Homequant, Inc.
contact@homequant.com 

How AVM Helps Improve Portfolio and Assessment Performance

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When a Market AVM is developed using the recent arms-length sales, it generates an econometric solution (bottom graph).

As the model gets further fine-tuned (not shown here), the r-squared tends to approach .90 and COD/COV falls below 10 - at which point it can be applied on to dated mortgage portfolios / prior assessment rolls in order to have them re-priced / re-assessed in line with the market.