Cape Analytics uses computer vision and geospatial imagery to feed property condition data into the new ValPro+ AVM, powering more profitable real estate investments
Today, Weiss Analytics, creator of next-generation home price indexing and forecasting, and Cape Analytics, a pioneer in the automated analysis of property through geospatial imagery, are announcing the launch of ValPro+, a condition-enhanced home price valuation engine. Now, for the first time, real estate investors, real estate brokers, and mortgage originators can access an instantly available valuation tool that takes into account current property condition and multi-factor property analytics, to identify below market price purchase opportunities.
Real estate decisions need to be made accurately and quickly. However, existing approaches to determining property condition—which can substantially impact value—such as appraisals and broker price opinions (BPOs) are costly and time-consuming. Cape Analytics leverages geospatial imagery and computer vision to provide the industry’s first property condition dataset spanning 110 million buildings across the United States. ValPro+ is the first automated valuation model to take advantage of this dataset, using advanced machine learning across millions of recent sales to dial in valuation accuracy.
“ValPro+ combines Weiss Analytics’ house level machine learning models, alongside Cape Analytics’ geospatial property condition information, to become the first condition-enhanced AVM available to real estate and loan investors,” said Allan Weiss, Founder and CEO, Weiss Analytics. “Investors can leverage more accurate, instant home price valuations to identify opportunities and make more profitable bids with higher conversion rates.”
Better Targeting of Off-Market Investment Opportunities
Often, loan traders, refinance and HELOC originators, as well as iBuyers, want to bid on a home that is not on the market and does not come with an asking price. ValPro+ offers the industry’s most accurate AVM valuations of off-market homes, by taking condition and house-specific price trends into account. No asking price? No problem.
Overall, off-market houses sell for about 2.5% below their on-market peers. However, in a recent off-market test, houses flagged as distressed using Cape and Weiss Analytics sold for a median discount of 10% compared to their on-market peers.
With ValPro+, off-market buyers can…
- Get a list of all houses discounted below market value due to condition issues
- Get a list of all houses with lower values due to condition and other indicators
- Get a list of all houses less expensive than the top of a buy box that were seemingly out of reach
- Screen leads, or all houses that have a propensity to sell at a discount
- Access a warm lead-generation service with ads, a chatbot questionnaire, and phone interview
Better Targeting of On-Market Investment Opportunities
Real estate investors, real estate brokers, and mortgage originators all desire more accurate home valuations. Today, for example, many investors are making fixed discount offers based on listing price. AVMs that take property condition and house-specific analytics into account offer far better insight to calculate the right offer range for each home. In fact, recent tests combining Cape and Weiss property information show a 7.7% improvement in PPE-10 predictions of on-market valuations.
Now, real estate investors, real estate brokers, and mortgage originators can…
- Automatically scan real-time MLS listings to bid first on the best deals when they hit the market
- Use accurate condition-sensitive valuations to void bids that are too high
- Effectively screen houses so low bids are justified to maintain credibility with local agents
About Weiss Analytics
Weiss Analytics provides the next generation of home price indexing, forecasting, and analytics and is the only provider of house-specific repeat sales indexes in the US. Founded by national housing index expert Allan N. Weiss, co-founder of Case Shiller Weiss, Weiss Analytics combines leading industry experience, proprietary analytics, and state-of-the-art data computing platforms to deliver revolutionary products with unprecedented market resolution. Weiss Analytics is an independent and trusted information source for home buyers and sellers, real estate professionals, financial institutions, and hedge funds.
About Cape Analytics
Cape Analytics was founded in 2014 to revolutionize how property data is created and used. Cape Analytics leverages geospatial imagery, computer vision, and machine learning to instantly and automatically extract proprietary property intelligence, such as roof and parcel condition for properties across the United States. Cape Analytics establishes a new category of property intelligence, offering the immediacy and coverage of pre-filled data, but with new, value-predictive property attributes that previously required time-consuming in-person appraisals or opinions. Cape Analytics seamlessly integrates into customer workflows via API.
More about Cape Analytics’ real estate and mortgage offerings: