Blog
Notes from the testing desk.
Commentary on AVM testing, regulation and the housing market from the team that runs the independent benchmark.
FeaturedArticlesAVM Regulation – Twists and Turns to Get HereThe regulatory environment was easier to read three years ago. Now, it's a tougher question, even though there's a Task Force Report with recommendations on AVM regulation. Read the article →FeaturedArticlesHonors for the #1 AVM Changes HandsThe #1 AVM in each county for the last 8 quarters shows a very dynamic market with constant changes in AVM rankings.Read the article →FeaturedArticlesDemystifying home pricing models with Lee KennedyLee Kennedy appeared on the HousingWire Daily podcast with Matthew Blake to discuss Zillow's iBuying challenges, democratizing data, and how AVMs can best be used.Read the article →FeaturedArticlesHow AVMetrics Tests AVMs Using our New Testing MethodologyAVMetrics has a new method of testing AVMs. The goal is to avoid the process of "anchoring," which is when AVMs adjust their valuations based on listing prices. Our new method is a dramatic innovation that will level the playing field for all the AVMs. Read the article →FeaturedAnnouncementsAVMetrics Responds to FHFA on New Appraisal PracticesFHFA, the oversight agency for Fannie Mae and Freddie Mac, published a Request for Input on December 28, 2020 . The RFI covered Appraisal-Related Policies, Practices and Processes. AVMetrics put forth a response including several pages and several exhibits making the case for using AVMs responsibly and effectively in a Model Preference Table®. Here is…Read the article →FeaturedArticlesProperty Inspection Waivers Took Off After the Pandemic Set InAppraisals are the gold standard when it comes to valuing residential real estate, but they aren't always necessary. They're expensive and time-consuming, and in the era of COVID-19, they're inconvenient. What's the alternative? Well, Fannie and Freddie implemented a "Property Inspection Waiver" (PIW) alternative more than a decade ago. However, it's been slow to catch…Read the article →FeaturedAnnouncementsBlack Knight's Cascade ImprovedBlack Knight's premier Cascade improved with the addition of Collateral Analytics' CA VAlue AVM and AVMetrics' independent testing.Read the article →
FeaturedArticlesFour Points to Consider Before Outsourcing AVM ValidationAVMs are great, but using them properly requires being careful to follow the rules set by the OCC. This paper outlines how to outsource AVM validation and stay in "compliance" with regulators' requirements.Read the article →
FeaturedArticlesIn the World of AVMs, Confidence Isn't OverratedThe "Confidence Scores" provided with most AVMs are not standardized, but they are a very effective guideline estimating the accuracy and precision of AVM value estimates.Read the article →
FeaturedArticlesFour Points to Consider Before Outsourcing AVM ValidationAVMs are great, but using them properly requires being careful to follow the rules set by the OCC. This paper outlines how to outsource AVM validation and stay in "compliance" with regulators' requirements.Read the article →FeaturedArticlesIn the World of AVMs, Confidence Isn't OverratedThe "Confidence Scores" provided with most AVMs are not standardized, but they are a very effective guideline estimating the accuracy and precision of AVM value estimates.Read the article →