Computer processes for clustering properties into neighborhoods and generating neighborhood-specific models

A computing system comprising one or more computing devices programmed with executable program code stored in computer memory, the computing system programmed to implement a process that comprises:

• calculating measures of similarity between real estate properties, said measures of similarity based at least partly on designations in appraisal reports of particular real estate properties as comparable;
• and
• forming links between pairs of the real estate properties based on the measures of similarity;
• aggregating the links to generate a normalized score between each pair of real estate properties representing a degree of similarity between the real estate properties;
• grouping the real estate properties into neighborhoods based on the normalized scores such that each neighborhood has a contiguous geographic boundary, wherein grouping the real estate properties into neighborhoods comprises executing a clustering algorithm;
• and
• generating, for each neighborhood formed by application of the clustering algorithm, a neighborhood-specific model configured to estimate values of properties in the neighborhood.

A computing system comprising one or more computing devices programmed with executable program code stored in computer memory, the computing system programmed to implement a process that comprises:

• determining a plurality of blocks within a geographic area, each block comprising a plurality of residential properties;
• determining a neighborhood that comprises a subset of the blocks, said neighborhood having a contiguous geographic boundary, wherein determining the neighborhood comprises:
• forming links between pairs of the blocks based on measures of similarity between residential properties;
• aggregating the links to generate a normalized score for each pair of the blocks representing a degree of similarity between the blocks;
• merging neighboring blocks of said plurality of blocks based on the normalized scores;
• and
• determining correlations between property attributes and property values of residential properties in the neighborhood based on a neighborhood-specific model, wherein determining said correlations comprises executing the neighborhood-specific model that learns said correlations.