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US 6,401,070 B1Granted
System and method for providing house price forecasts based on repeat sales model
AssigneeFreddie Mac
InventorsDouglas A. McManus, Sol T. Mumey
Life of this patent
Estimating the term…
Abstract
Method and system for estimating real estate property values based on repeat sales model. The method estimates the price index using property value data from refinance transactions, as well as from purchase transactions. In so estimating, the method compensates for the transaction bias arising from using data from refinance transactions, which may exhibit incentive and selection biases. The property at issue may be estimated based on the so-computed price index. The price index and/or the bias component may be estimated using nonparametric functions.
Claims102
A method of estimating the value of a real estate property, comprising the steps of:
- accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- determining, based on the set of property value data, a time-varying price index indicating a change of the values of the plurality of properties over time, wherein the time-varying price index takes into account a transaction type bias corresponding to different types of transactions involving each of the plurality of properties;
- and
- estimating the value of a real estate property based on the time-varying price index to allow use of the estimated value in evaluating a financial decision related to the real estate property.
1 more element
A method of estimating the value of a real estate property, comprising the steps of:
- accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- determining, based on the set of property value data, a time-varying price index using a nonparametric technique, wherein the time-varying price index indicates a change of the values of the plurality of properties over time;
- and
- estimating the value of a real estate property based on the time-varying price index to allow use of the estimated value in evaluating a financial decision related to the real estate property.
1 more element
A method of estimating the value of a real estate property, comprising the steps of:
- accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- determining, based on the set of property value data, a time-varying price index using a nonparametric technique, wherein the time-varying price index indicates a change of the values of the plurality of properties over time and takes into account a transaction type bias corresponding to different types of transactions involving each of the plurality of properties;
- and
- estimating the value of a real estate property based on the time-varying price index to allow use of the estimated value in evaluating a financial decision related to the real estate property.
1 more element
A system for estimating the value of a real estate property, comprising:
- means for accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- means for determining, based on the set of property value data, a time-varying price index indicating a change of the values of the plurality of properties over time, wherein the time-varying price index takes into account a transaction type bias corresponding to different types of transactions involving each of the plurality of properties;
- and
- means for estimating the value of a real estate property based on the time-varying price index to allow use of the estimated value in evaluating a financial decision related to the real estate property.
1 more element
A system for estimating the value of a real estate property, comprising:
- means for accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- means for determining, based on the set of property value data, a time-varying price index using a nonparametric technique, wherein the time-varying price index indicates a change of the values of the plurality of properties over time;
- and
- means for estimating the value of a real estate property based on the time-varying price index to allow use of the estimated value in evaluating a financial decision related to the real estate property.
1 more element
A system for estimating the value of a real estate property, comprising:
- means for accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- means for determining, based on the set of property value data, a time-varying price index using a nonparametric technique, wherein the time-varying price index indicates a change of the values of the plurality of properties over time and takes into account a transaction type bias corresponding to different types of transactions involving each of the plurality of properties;
- and
- means for estimating the value of a real estate property based on the time-varying price index to allow use of the estimated value in evaluating a financial decision related to the real estate property.
1 more element
An article of manufacture capable of configuring a data processor to estimate the value of a real estate property, the article comprising program code to cause the data processor to perform the steps of:
- accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- determining, based on the set of property value data, a time-varying price index indicating a change of the values of the plurality of properties over time, wherein the time-varying price index takes into account a transaction type bias corresponding to different types of transactions involving each of the plurality of properties;
- and
- estimating the value of a real estate property based on the time-varying price index to allow use of the estimated value in evaluating a financial decision related to the real estate property.
1 more element
An article of manufacture capable of configuring a data processor to estimate the value of a real estate property, the article comprising program code to cause the data processor to perform the steps of:
- accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- determining, based on the set of property value data, a time-varying price index using a nonparametric technique, wherein the time-varying price index indicates a change of the values of the plurality of properties over time;
- and
- estimating the value of a real estate property based on the time-varying price index to allow use of the estimated value in evaluating a financial decision related to the real estate property.
1 more element
An article of manufacture capable of configuring a data processor to estimate the value of a real estate property, the article comprising program code to cause the data processor to perform the steps of:
- accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- determining, based on the set of property value data, a time-varying price index using a nonparametric technique, wherein the time-varying price index indicates a change of the values of the plurality of properties over time and takes into account a transaction type bias corresponding to different types of transactions involving each of the plurality of properties;
- and
- estimating the value of a real estate property based on the time-varying price index to allow use of the estimated value in evaluating a financial decision related to the real estate property.
1 more element
A method for use with a real estate property, comprising the steps of:
- accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- determining, based on the set of property value data, a time-varying price index indicating a change of the values of the plurality of properties over time, wherein the time-varying price index takes into account a transaction type bias corresponding to different types of transactions involving each of the plurality of properties;
- estimating the value of a real estate property based on the time-varying price index;
- and
- evaluating a financial decision related to the real estate property based on the estimated value.
2 more elements
A method for use with a real estate property, comprising the steps of:
- accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- determining, based on the set of property value data, a time-varying price index using a nonparametric technique, wherein the time-varying price index indicates a change of the values of the plurality of properties over time;
- estimating the value of a real estate property based on the time-varying price index;
- and
- evaluating a financial decision related to the real estate property based on the estimated value.
2 more elements
A method for use with a real estate property, comprising the steps of:
- accessing a set of property value data for a plurality of properties, wherein the property value data corresponds to a transaction involving each of the plurality of properties;
- determining, based on the set of property value data, a time-varying price index using a nonparametric technique, wherein the time-varying price index indicates a change of the values of the plurality of properties over time and takes into account a transaction type bias corresponding to different types of transactions involving each of the plurality of properties;
- estimating the value of a real estate property based on the time-varying price index;
- and
- evaluating a financial decision related to the real estate property based on the estimated value.
2 more elements
Dependencies are inferred from the claim text.