Sunday, December 31, 2017

Homequant Offers Benchmark Automated Valuation Modeling (AVM)

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A Good Office Valuation Site must be Mobile-friendly to Additionally Work as an App

How Mobile-friendly SkylineValue.com Site Looks and Works as an App on iPhone
http://www.skylinevalue.com/



Most Websites are built on the old web technology so they are not mobile friendly, needing separate Android or iOS Apps. 

SkylineValue.com is mobile-friendly so it does not require any such special Apps. From your smart phone, just access internet and type in the URL as you would from your laptop or desktop and you would be using the site as if it were an App. 



I used SkylineValue.com to  produce these graphics as I own and operate the site, to avoid having to deal with any unintended copyright issues. It simulates office valuations in 60 seconds or less. It's totally FREE and NO login/registration of any sort is required. 80 Major Office Markets in the US and Canada are currently covered. 

Just click on the market of your choice on our homepage and follow the prompt. If you need help, use 'TRY IT' from the homepage.

What the Experts are Saying

“I checked out SkylineValue.com and I have to say that its awesome.  This is a classic case of good things come in small packages.  I was excited to see that the [XXXXXX] market is included.  I could see this being a very handy tool for investors, appraisers, portfolio managers or just average Joe’s who like to dabble in Commercial real estate.   For my own purposes, I selected different parts of Long Island and different sub groups of properties and I was astonished at how much flexibility and how quickly I was able to retrieve accurate values without the need for full blown work ups.  The fact that I can get a valuation right on my device in about 60 seconds is a breath of fresh air.  I will be using SkylineValue regularly!”    

Friday, December 29, 2017

Why First-time Homebuyers Must Start Research at a Top-down Valuation Site

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A Top-down home valuation site is one that allows users to work up the value of a "simulated" home without having to deal with a series of random comps. A good Top-down site generally offers the following features:

1. Sub-markets: All (socio-economically) prominent sub-markets with the market (say, Orlando) are generally supported, allowing users to toggle between sub-markets to evaluate and understand the variations in home values.


2. Home Type and Style: Home types (Detached, Attached, HOA, Townhouse, Condo, etc.) and styles (Ranch, Cape, Colonial, Conventional, Contemporary, Tudor, etc.) are important consideration for home-buyers so a good Top-down site should incorporate them.


3. Location: A good school district would fetch higher value that its counterpart with lesser known schools. Good sites allow users to understand how such qualitative factors contribute to home value.


4. land and Building Sizes: Users are allowed to educate themselves how the changes (increase/decrease) in sizes impact values within a given sub-market. Some sites would allow users to further differentiate between total improved area and heated area, corner lot vs. non-corner, etc. Bath count is also important as it helps understand if the home is optimized or a lifestyle one.


5. Building Age and Condition: Users can quickly learn how age and overall condition (including quality of rehab) impact values in a sub-market. Some sites might combine these two variable into one called effective age. Either way, these are important considerations in pre-owned homes.


6. View: A waterfront home could fetch significantly higher value than a non-waterfront one within the same sub-market. Similarly, a house with other enhancing views (park, bridge, skyline, golf course, etc.) could be pricier.

7. Amenities: Central A/C, In-ground Pool, Upgraded Porch, Tennis/Basketball Court, etc. often add value to homes so a good site would allow users to experiment with such options as well. 

Case Study

Our First-time Homebuyer = John Doe

John must be methodical in his research leading to the home buying. After a pre-qual of $300K, he has decided to focus on two Orlando-area sub-markets: Maitland and Winter Park. 

He finds a Top-down site which allows him to perform his research without having to work up some random comps. He realizes that while Winter Park has beautiful tree-lined streets, he gets more modern and slightly bigger homes in Maitland (a screened-in Pool could be a bonus). He is very happy that the site allows him to evaluate numerous possible combinations including location, type, size, style, amenities and view. He also notices that the site meaningfully curves values as home size increases.

I picked the above graphics from Homeyada.com as I own and operate it, to avoid having to deal with any copyright issues. My Homeyada site is Mobile-friendly (no separate apps are needed), totally self-directed (no modeled values), totally free (no strings), and requires no login or registration whatsoever. It has a built-in non-linear value curve/scale tied to the home size, as well. Anyway, please use the site/system that works best for you.

Wednesday, December 27, 2017

A Good Office Valuation System Allows Comparison of Values Across All Classes

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Based on the quality of construction, architecture, size, amenities, location, stories, tenancy, view, upkeep, etc. office properties are classified into three major categories: Class-A, Class-B and Class-C. Of course, in major cities, a limited number of Trophy properties (for example, One World Trade Center in NYC Downtown and Empire State Building in Midtown) exist as well. 

Accordingly, their rental rates are significantly different, with A class properties (save Trophies) commanding much higher rental rates than their lower counterparts. Similarly, B and C classes rarely attract upscale ground floor retail and triple-A office tenants.

I used SkylineValue.com to produce these sample valuations as I own and operate the site, to avoid having to deal with any copyright issues. The site is mobile-friendly so no additional Apps are needed. It's also totally FREE and NO login/registration of any sort is required. 

In order to value an office property on this site, all one needs to know is the general location, rentable square feet and a few general property characteristics, all of which are easily obtainable online. Once these data elements are available, users can have the system process the valuation in 60 seconds or less. 

This system is designed for the Pros and Non-Pros, offering a "Quick Look" valuation and is intended to complement the traditional valuation, not replace it. 80 Major Office Markets in the US and Canada are currently covered. 

Just click on the market of your choice on our homepage and follow the prompt. If you need help, use 'TRY IT' from the homepage. Here is the link to SkylineValue.com:


What the Experts are Saying:
“I checked out SkylineValue.com and I have to say that its awesome.  This is a classic case of good things come in small packages.  I was excited to see that the [XXXX] market is included.  I could see this being a very handy tool for investors, appraisers, portfolio managers or just average Joe’s who like to dabble in Commercial real estate.   For my own purposes, I selected different parts of Long Island and different sub groups of properties and I was astonished at how much flexibility and how quickly I was able to retrieve accurate values without the need for full blown work ups.  The fact that I can get a valuation right on my device in about 60 seconds is a breath of fresh air.  I will be using SkylineValue regularly!”     

Tuesday, December 26, 2017

A Good Top-down Office Valuation System Must Allow All Major Office Classes - Trophy to Class A, B and C

(Click on the image to enlarge)

The top graphic represents the sample valuation of One World Trade Center, a trophy office property in Downtown NYC. The bottom three graphics represent sample valuations of the sub-classes of  the Class-A (in this system they are called Max, Mid and Min) office properties in downtown San Francisco. 

I used SkylineValue.com to produce these sample valuations as I own and operate the site, to avoid having to deal with any copyright issues. The site is mobile-friendly so no additional Apps are needed. It's also totally FREE and NO login/registration of any sort is required. 

In order to value an office property on this site, all one needs to know is the general location, rentable square feet and a few general property characteristics, all of which are easily obtainable online. Once these data elements are available, the system can process the valuation in 60 seconds or less. 

This system is designed for the Pros and Non-Pros, offering a "Quick Look" valuation and is intended to complement the traditional valuation, not replace it. 80+ Major Office Markets in the US and Canada are currently covered. 

Just click on the market of your choice on our homepage and follow the prompt. If you need help, use 'TRY IT' from the homepage. Here is the link to SkylineValue.com:



What the Experts are Saying:
“I checked out SkylineValue.com and I have to say that its awesome.  This is a classic case of good things come in small packages.  I was excited to see that the Long Island market is included.  I could see this being a very handy tool for investors, appraisers, portfolio managers or just average Joe’s who like to dabble in Commercial real estate.   For my own purposes, I selected different parts of Long Island and different sub groups of properties and I was astonished at how much flexibility and how quickly I was able to retrieve accurate values without the need for full blown work ups.  The fact that I can get a valuation right on my device in about 60 seconds is a breath of fresh air.  I will be using SkylineValue regularly!”     

      Our Current AVM & Other Offerings

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  2. QA/Review AVM

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Sunday, December 24, 2017

How Five Contiguous Zip Codes May Have Vastly Different Residential Location Values

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Housing market is primarily about "location, location, location." Most first-time homebuyers do not understand the impact of location on home values; instead, they tend to get carried away by the size, age, grade and condition, ignoring the biggest contributor to the value, i.e., location.

The above spatial graphic shows how the five contiguous Zip Codes have vastly different residential location values, ranging in value between 0.50 and 2.0 -- a whopping factor of four. In other words, a $500K house in Zip 32808 would jump to $1.68M in 32804 and to $2M in 32789 and so forth.

One of the easiest and quickest ways to understand the residential location value is to study the published median home values by the Zip Code. Of course, another step is required to derive (a simplistic form of) location value for the Zip. The Zip-wise median home value needs to be normalized (divided by) by the median heated area (square feet) so the location value comparison becomes apples-to-apples.

I picked the above graphic from LocValu.com as I own and operate it, to avoid having to deal with any unintended copyright issues. My LocValu site is totally self-directed (no modeled values), totally free (no strings), and requires no registration/log-ins whatsoever. Please use the site/system that works best for you.

Thursday, December 21, 2017

A Good Condo Valuation System Allows Factors that Specifically Impact Condo Pricing

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The above graphics show that a 2,000 SF condo in a downtown high-rise with world class amenities will be significantly pricier than its similar size counterpart in a mid-rise building with typical amenities in the suburb. 

Such price differences are more stark in major cities; for example, a condo in Midtown Manhattan will be at least 5-to-10 fold pricier than a similar one in Queens (suburb). 

Similarly, a high-rise condo unit with panaromic river or park view could be significantly pricier than the comparable ones in the same building without such views.  

Therefore, a good Condo Valuation System must allow all these experimentations so the users understand how location, type of complex, amenities, view, etc. impact condo prices.

I picked the above graphics from Condoyada.com as I own and operate it, to avoid having to deal with any copyright issues. My Condoyada site is a 60-second top-down condo valuation system. It's self-directed (no modeled values), totally free (no strings), and requires no login or registration whatsoever. Moreover, it has a built-in non-linear value curve/scale tied to the condo size. Anyway, please choose the system that works best for you.

To learn more about a Top-down Valuation System, please read: 

Why First-time Homebuyers must Start at a Top-down Valuation Site:

Tuesday, December 19, 2017

A Good Property Assessment System Allows Easy Comparison of County vs. Town Ratios

Countywide Sales Ratio
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    Over-assessed (Town-1)
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Under-assessed (Town-2)
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Sales Ratio (County Market Value to Adjusted Sales) is a better indicator of the proper assessment level than the Assessment Ratio (County Assessed Value to Adjusted Sales), as the latter often includes Town-wise special assessment, abatement, exemption, etc. 

All sales therefore must be adjusted to the taxable status date so the two values (county vs. town) are comparable and the resulting ratios are statistically significant. 

In this example, since the Countywide Median Sales Ratio is .743, all Towns in that County must be valued at or close to this ratio so that the Assessment Roll becomes fair and equitable. Better yet, compare the 25th to 75th percentile of the ratio curve. If the sales are individually validated for ratio eligibility (ours are not), a much wider range – say, 5th to 95th - could be considered.

The Town-1 however shows a significantly higher Median Sales Ratio (.831), making it an over-assessed Town in that County.

The Town-2, on the other hand, shows a much lower  Median Sales Ratio (.7), making it an under-assessed Town in that County.

While this is the Town-wise summary of ratios, in a separate Blog post we will further drill down to the areas in the Town - spatially - where the incidence of over and under assessments could be more severe. 

I picked the above graphic from TownAnalyst.com as I own and operate it, to avoid having to deal with any copyright issues. My TownAnalyst site is totally free (no strings) and requires no login or registration whatsoever. Please use the assessment evaluation system that works best for you.

http://www.townanalyst.com/
homequant@gmail.com

Disclaimer: This analysis is strictly illustrative. Any commercial or legal use of it is totally prohibited. Always consult a Tax Attorney on statutory requirements.     

Monday, December 18, 2017

A Ratio-based Spatial Graphic is a Good Starting Point to Analyze Assessment Equity


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Since the Median Countywide Sales Ratio points to a ratio of .80, all Towns in this County must be valued close to this ratio (assuming, of course, a countywide uniform assessment statute) so that the Assessment Roll becomes fair and equitable.

While one would expect to see all Blue and Green balloons (legends on top right) on the spatial chart above, many Red and Yellow ones - even side by side - exist, indicating the presence of some seemingly serious under and over-assessed parcels. This scenario is quite normal as - more often than not - similar properties in the same neighborhood do not necessarily sell for the same price, which, in turn, introduces (visual) conflicts amongst individual ratios.

That is why Town-wise statistical summaries are always better front-line indicators. Of course, if an arms-length subject sale significantly deviates from its Town's, it may require a re-examination.    

Obviously, sales must be individually validated and the outliers removed from the sales universe. Better yet, those sales should then be modeled (AVM applied) and the resulting model-defined outliers removed as well, thus paving the way for a more scientific universe of ratio-eligible sales.

I picked the above graphic from TownAnalyst.com as I own and operate it, to avoid having to deal with any copyright issues. My TownAnalyst site is totally free (no strings) and requires no login or registrations whatsoever. Please use the assessment evaluation system that works best for you.
Disclaimer: This analysis is strictly illustrative. Any  personal, commercial or legal use of it is totally prohibited. Always consult a Tax Attorney on statutory requirements.