eHow.com - How to Use Electronic Appraiser

A home appraisal is a market valuation of real estate or property by a professional. Before a bank or lender will invest their money in your home loan, they will require an appraisal to ensure the property is as valuable as you say it is. The collateral for the loan must be valued at no less than the amount of the loan you are requesting. The bank will usually choose the appraiser if you are buying. If you’ll be selling your home, you can use Electronic Appraiser.

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Has housing market bottomed out?

Sales of existing homes fell in 2006 at fastest rate in nearly 20 years

The final housing numbers for 2006 are in, and they confirm what anyone who bought or sold a home last year has suspected: It was the worst housing slump in nearly two decades.

The freshest numbers also provided tea leaves for the more pressing question: has the housing market bottomed out yet — or will prices slide further before the market recovers?

Read the full article - MSNBC - http://www.msnbc.msn.com/id/16812267/

What is AVM? (Automated Valuation Model)

AVM is short for "Automated Valuation Model". Appraisers, Wall Street and Lending Institutions all use AVM technology in their analysis of residential property. An AVM is a residential Valuation Report that can be obtained in a matter of seconds. It is a technology driven report. The product of an automated valuation technology analysis, public record data, and computer decision logic combined to provide a logical calculated estimate of a probable selling price of a residential property.

An AVM generally uses a combination of two types of evaluation, the running of a hedonic model and a repeat sales index. The results of each are weighed, analyzed and then reported as a final estimate of value based on a requested reasoning date.

Each AVM includes:

> A highly accurate market value estimate for residential property nationwide.

> The Tax assessor’s indication of value, where appropriate.

> Subject property information and sales history.

> Comparable Sales analysis of like properties.

Electronic Appraiser uses this same AVM technology to deliver a Complete Property Valuation over the Internet; it is highly accurate, and easy to use via any standard web browser.

Electronic Appraiser has the tools you need to determine property values. Now you can see the same home values, property data, sales comparables, and supporting real estate sales data that Lenders use to make risk decisions for mortgages, home equity loans, and credit lines.

Market Conditions - November 2006 Existing - Home Sales Rise Again

Existing-home sales continued to recover last month following a rise in October, with the level of sales activity suggesting a turn in the market, according to the National Association of Realtors®.

Total existing-home sales "including single-family, townhomes, condominiums and co-ops" rose 0.6 percent to a seasonally adjusted annual rate of 6.28 million units in November from a level of 6.24 million in October, but were 10.7 percent below the 7.03 million-unit pace in November 2005.

David Lereah, NAR�s chief economist, said modest gains are expected for home sales. "As the housing market recovers from its correction, existing-home sales should be rising gradually during 2007 "it looks like we may have reached the low point for the current cycle in September," he said. "We�ve entered a more sustainable period of home sales now, and we expect greater support for prices over time as inventory levels are eventually drawn down."

Total housing inventory levels fell 1.0 percent at the end of November to 3.82 million existing homes available for sale, which represents a 7.3-month supply at the current sales pace.

The national median existing-home price for all housing types was $218,000 in November, which is 3.1 percent lower than November 2005 when the median price was $225,000. The median is a typical market price where half of the homes sold for more and half sold for less. "For every 1.0 percent drop in home prices, we project an additional 50,000 buyers are drawn into the market," Lereah said.

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage was 6.24 percent in November, down from 6.36 percent in October; the rate was 6.33 percent in November 2005.

Single-family home sales increased 0.2 percent to a seasonally adjusted annual rate of 5.52 million in November from a pace of 5.51 million in October, but were 10.2 percent lower than the 6.15 million-unit level in November 2005. The median existing single-family home price was $217,200 in November, which is 3.6 percent lower than a year ago.

Regionally, existing-home sales in the Northeast increased 6.0 percent to a level of 1.06 million in November, but were 4.5 percent below November 2005. The median existing-home price in the Northeast was $269,000, down 2.2 percent from a year earlier. Existing-home sales in the West rose 0.8 percent to an annual pace of 1.32 million in November but were 17.5 percent lower than a year earlier. The median price in the West was $351,000, down 0.8 percent from November 2005.

Existing-home sales in the Midwest were unchanged in November, holding at a level of 1.42 million, and were 9.6 percent lower than November 2005. The median price in the Midwest was $165,000, which is 3.5 percent below a year ago.

Existing-home sales in the South fell 1.6 percent to an annual sales rate of 2.47 million in November, and were 10.2 percent below a year ago. The median price in the South was $179,000, down 3.2 percent from November 2005.

Source: The National Association of Realtors®

MSN Article Ranks Electronic Appraiser First In Home Value Tools

Consumers Flock to Electronic Appraiser to Value Properties, More Than Doubling Traffic Over the Last 30-Days

RISMEDIA, June 12, 2006 -- Electronic Appraiser, a provider of online home valuations direct to the consumer, has been ranked first in accuracy, value and ease of use in an article by MSN(R) Money Central, comparing Electronic Appraiser with other providers offering similar products. A popular choice in the For Sale By Owner (FSBO) market, EA has helped thousands of homebuyers and sellers to successfully cut the middleman out of the real estate transaction. Since the release of the article, EA has seen a dramatic increase in both consumer orders, as well as increased partnership interest.

"We've been waiting for conversations to be geared towards consumers about these kinds of solutions and we are honored by MSN ranking us number one amongst our competitors," said Greg Sullivan, president for Electronic Appraiser. "We believe a consumer brought into the real estate transaction, or more aptly put -- driving the real estate transaction -- creates additional fluidity in real estate markets, and those closely tied to it, such as mortgage, insurance and the like. We've been hearing from the large Lenders, and the feedback on our market strategy is very positive. We hope that this will continue the expansion of useful real estate solutions into the consumer market."

The magic of this solution is no illusion. Electronic Appraiser's home valuation report is produced by an automated valuation model, or AVM for short, that returns a value based on current public record data and proven mathematical algorithms -- the very same tool that Lenders have been using for years to make credit risk decisions or to evaluate its own portfolio of properties. While Lenders are generally limited to just a few of the top models, Electronic Appraiser -- as a preferred distributor, provides consumer's access to all the top performers available today.

The MSN(R) Money Central article notes that when it comes to the precise science of home value, a Realtor or appraiser is probably a better route -- such as with homes where an AVM can't take into account: "...view, landscaping, remodeling, condition and wear, curb appeal, fine fixtures and materials, floor plan, room sizes, neighbors and the appeal of neighboring properties, access..." said Appraiser-Realtor Francois "Frank" K. Gregoire. However, Electronic Appraiser contends that between human and AVM valuations, there is no exact science in setting home price.

"Today homeowners can gather pertinent property information through web resources, by talking to neighbors and doing their own homework, to confidently set a fair asking price themselves," said Sullivan. "Market value is ultimately determined by the price at which a buyer is ready, willing and able to buy; and a seller is ready, willing, and able to sell. Having a qualified starting point on a fair market price can be measured in saving thousands of dollars in commissions for the do-it-your-self homebuyer or seller. While using a Realtor or appraiser has been the industry standard for decades, the methods in which real estate is now marketed are changing rapidly."

Visit Electronic Appraiser - www.electronicappraiser.com

Can you get an accurate value by using an AVM?

What is AVM?
AVM is short for "Automated Valuation Model". Appraisers, Wall Street and Lending Institutions all use AVM technology in their analysis of residential property. An AVM is a residential Valuation Report that can be obtained in a matter of seconds. It is a technology driven report. The product of an automated valuation technology analysis, public record data, and computer decision logic combined to provide a logical calculated estimate of a probable selling price of a residential property. An AVM generally uses a combination of two types of evaluation, the running of a hedonic model and a repeat sales index. The results of each are weighed, analyzed and then reported as a final estimate of value based on a requested reasoning date.

Each AVM includes:

• A highly accurate market value estimate for residential property nationwide.
• The Tax assessor’s indication of value, where appropriate.
• Subject property information and sales history.
• Comparable Sales analysis of like properties.

Estimated Market Value

Our Estimated Market Value uses a highly sophisticated technology also known as an AVM, (Automated Valuation Model). This is the same type of report that banks and mortgage companies use to make loan decisions. It is a highly accurate analysis, of both public record data, and computer decisioning logic combined to provide a precise calculated estimate of the probable selling price of a property. This is the most accurate technology report available on the market.

Electronic Appraiser uses this same AVM technology to deliver a Complete Property Valuation over the Internet; it is highly accurate, and easy to use via any standard web browser.

Electronic Appraiser has the tools you need to determine property values. Now you can see the same home values, property data, sales comparables, and supporting real estate sales data that Lenders use to make risk decisions for mortgages, home equity loans, and credit lines.

Visit Electronic Appraiser - www.electronicappraiser.com - for more information!

10 Easy Ways To Increase Property Value

"You have to pretend you're 100 percent sure. You have to take action; you can't hesitate or hedge your bets. Anything less will condemn your efforts to failure."-Andrew Grove

When you sell your home you want to make sure you are maximizing your profit and getting the best possible price for it. Most people do little to prepare their homes for the real estate market. However, with just a few easy updates, the market value of your own home can increase drastically. Not only that, but having an attractive home, will bring in multiple offers which can compete against each other. This is how the price of a home can go well above, sometimes in the thousands, the market value. You might be thinking "I don't have the money to spend on home renovations, after all I am moving!" The suggestions below are not high cost home remodeling suggestions but low cost and quick ways to breath new life into your old house and inspire potential owners to fall in love with it.

Color. Color in a house is good but keep it neutral. Most home owners do not like dark colors. Paint out rooms in off whites and light tans. This will make your home feel comfortable and prevent potential home owners from worrying that their personal items will clash with the colors in the house. Light colors also make rooms look bigger because they reflect the light.

Organize Storage Spaces. Attics, garages, and even basements are places where we tuck junk. However, potential buyers want to see these areas. It is better to have them organized and show how much room is available for the new owners.

Clean and Clean. If you have pets, or kids everything in the house needs to be clean professionally. Carpets, drapes, and furniture all hold on to smells far after the dirt has been vacuumed or washed up. Make sure your windows, appliances, and floors are squeaky clean. Make sure to remove clutter and any personal items from all the rooms.

Leaks. If you have a leak and repaired it, odds are the evidence is still on the walls or ceiling. Paint over stains and patch holes to make sure there is no sign of damage. This is a big turn off to buyers.

Replacement. Anything that is broken from door handles, to light switches, to a crack toilet seat needs to be replaced before you put your home on the market. Most potential buyers are looking for for a well cared for and loved home.

Lawn. Make sure you keep your lawn cut, rake leaves, sweep sidewalks, and porches. Flowers and hanging plants are a great way to update the exterior of your house.

Doors. All exterior doors should be cleaned and painted. Each entrance should have a clean doormat.

Visit Electronic Appraiser - www.electronicappraiser.com - for more information.

What type of information is contained in your reports?

Electronic Appraiser reports contain important information used in the automated valuation process, these include: A reliable value for each home, detail on the subject property, comparable properties, sales price per square foot, assessed value/sales price ratio, comparable detail, demographic information, comparison tables, School and Hospital Information plus so much more! These items are further explained below:

Detail of the Subject Property This is a detailed report on the analyzed property with recent history as to sales price, current owner, tax assessed value and a description of the size of both the structure and property. This information is used as the basis to find Comparable properties.

Comparable properties These are properties which exhibit similar characteristics to that of the property being analyzed. The living area size and distance from the property being analyzed are key components in estimating the value. Properties of similar size and characteristics in the same area tend to have similar values. Comparable sales relate to sales prices of Comparable properties.

Sales Price Per Square Foot This is a mathematical calculation obtained by dividing the sales price of a comparable property by its size in square feet. Thus a $200,000 home that was 2000 sq. ft. would have a sales price per square foot of $100.00. An average of the sales price per square foot of Comparable properties can then be used to estimate value.

Assessed Value/Sales Price Ratio This is a mathematical calculation where the tax assessed value (the value the local taxing authority has placed on the property) is divided by the most recent sales price. Most tax assessments are lower than actual sale value but the ratio is used as a valuation tool.

Demographic Information This is information on the location and characteristics of the community the property is located. A census tract is a geographic designation established by the U.S Census which is assigned a designated number to keep track of population trends and census information.

Price Trends This compares the price trend of the zip code in which the subject property is located as well as the price trend in the county that the property is located. The property which is being analyzed is referred to as the subject and is abbreviated on the bar graph as Sub. The subject property will always be delineated in another color as depicted in the graphs and charts noted on the report.

10 dos and don'ts from the pros when it comes to showing your home.

A Quick Checklist

1. Make the front entrance inviting
2. Clear away clutter.
3. Clean the house thoroughly.
4. Freshen the appearance of rooms.
5. Arrange furniture for spaciousness.
6. Do all you can to reduce odors.
7. Perform minor repairs, if necessary.
8. Replace outdated light fixtures.
9. Clean the carpeting.
10. Don't forget the garage and basement.

Please visit Electronic Appraiser - www.electronicappraiser.com - for more information.