Whether you’re valuing a single property or hundreds of properties, you need to understand how reliable the valuation is — and whether there’s anything else you can do or another product you can use to achieve a more accurate result. Value Analysis allows you to identify the most difficult properties to value in seconds; then you can concentrate your resources on those assets, minimizing your cost and time spent.
HouseCanary’s Value Analysis tool provides a built-in method for determining which valuation method will be best for the properties in your portfolio. You can run the Value Analysis tool on hundreds or even thousands of properties at once, and it will generate feedback as to which HouseCanary product is going to provide the most accurate home valuation for your current portfolio and your needs.
When you run Value Analysis on a list of homes, it will examine the data that HouseCanary has available for those properties, then provide you with a suggested valuation tool to use for each home. There are three possible Value Analysis outcomes:
- No exceptions – automate: HouseCanary has high confidence in the true value of this property because we have sufficient data and details about this property and the block and neighborhood where it’s located, so an automated value is likely to yield an accurate result.
- Minor exceptions – human review: Sufficient data is available for us to provide the best possible point estimate of value, but a lack of similar comparables or neighborhood liquidity make this a challenging property to value. A desktop review tool featuring analytic heat maps and photos to select comps, such as HouseCanary Property Explorer, can be helpful in validating automated valuations and providing neighborhood context for support.
- Major exceptions – onsite review: There is missing or insufficient geolocation, property details (for example: bed, bath, square footage), or neighborhood information, so a valuation methodology including an onsite visit could be used to increase the data density for the property.
To determine which outcome will work best for the homes you need to value, HouseCanary Value Analysis instantly examines a number of different property, neighborhood, and data attributes, including whether we have access to:
- All the necessary detail to identify a specific residence (including the unit number for a multi-unit address)
- A precise geocode for the address location
- A supported property type: single-family residential, condominium, townhouse, multi-family property, or manufactured/mobile home
- Value distribution data for the census block group
- Value per square foot data for at least 70% of properties in the block group
- Square-footage data for the property
- At least five highly similar comparable properties
- A property within the 5th or 95th percentile of neighborhood values — in other words, a property that is not an outlier
The goal of Value Analysis is to focus valuation resources where most needed, to ensure an optimal balance of valuation confidence, cost, and turn time for each individual asset and use case. Try Value Analysis today!