System and method for evaluating real estate transactions

• US 20090024454A1
• Filed: 09/17/2008
• Published: 01/22/2009
• Est. Priority Date: 02/12/2002
• Status: Active Grant

• Current Assignee: GE Capital US Holdings, Inc. (General Electric Company)
• Original Assignee: General Electric Capital Corporation (General Electric Company)
• Inventors: Lowery, Thomas Tyson, Dunn, Catherine M., Rieger, Robert
• Granted Patent: US 7,860,788 B2
• Time in Patent Office: Days
• US Class Current: 705/10
• CPC Class Codes: G06Q 30/0205 Location or geographical consideration
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis

Abstract

Evaluating a real estate transaction based on preliminary data about the transaction. An evaluation system employs a transaction evaluator software module that can receive input about a customer and a type of financial product. The transaction evaluator software module also has access to a variety of data sources defining parameters for the investing institution. When the transaction evaluator receives input for a customer, it retrieves the relevant parameters for investing and performs a series of calculations to determine the likelihood that the customer'"'"'s transaction will be approved. The results of the calculations can be displayed to the user in a graphical format for a range of transaction values. The graphical presentation of the calculations assists the user in determining whether to proceed with the transaction.

Claims

1-44. -44. (canceled)

45. A computer-implemented method for making a preliminary evaluation of a probability an investor will approve a real estate transaction comprising the steps of:

receiving at a computer identifying information from a customer comprising a product type, a collateral type, and a geographic market;

retrieving from a database coupled to the computer a market hurdle corresponding to the received identifying information, the market hurdle predetermined by the investor;

comparing at the computer the received identifying information and the market hurdle;

if the identifying information satisfies the market hurdle, prompting the customer for product specific information, and receiving at the computer, the product specific information from the customer comprising an amount of the product, a product fee, and a collateral age, where the product specific information is related to the identifying information;

determining the probability that a real estate transaction will be approved based on the received product specific information; and

presenting the probability for the preliminary evaluation of the real estate transaction to the investor.

46. The method of claim 45, wherein the product type is one selected from the group comprising on-book debt, equity, and mortgage-backed securities.

47. The method of claim 45, wherein determining a probability that the transaction will be approved comprises:

calculating a loan size array;

calculating a minimum price curve;

calculating a maximum price curve;

calculating a proceed cutoff curve; and

determining the position of the amount of the product in relation to the minimum price curve, the maximum price curve, and the proceed cutoff curve.

48. A computer-implemented method for making a preliminary evaluation of a probability an investor will approve a real estate transaction comprising the steps of:

receiving at a computer identifying information from a customer comprising a product type, a collateral type, and a geographic market;

retrieving from a database coupled to the computer a market hurdle corresponding to the received identifying information, the market hurdle predetermined by the investor;

comparing at the computer the received identifying information and the market hurdle;

if the identifying information satisfies the market hurdle, prompting the customer for product specific information, and receiving at the computer, the product specific information from the customer comprising an amount of the product, a product fee, and a collateral age, where the product specific information is related to the identifying information;

retrieving from a database coupled to the computer an impact parameter for each item of product specific information received, the impact parameter predetermined by the investor;

calculating a total impact from each of the impact parameters for each item of product specific information; and

comparing the total impact to a predetermined strike zone hurdle and presenting the comparison to the investor.

49. The method of claim 48, wherein the product type is one selected from the group comprising on-book debt, equity, and mortgage-backed securities.

50. A computer-readable medium having computer-executable instructions for making a preliminary evaluation of a probability an investor will approve a real estate transaction comprising:

first instructions to receive at a computer identifying information from a customer comprising a product type, a collateral type, and a geographic market;

second instructions to retrieve from a database coupled to the computer a market hurdle corresponding to the received identifying information, the market hurdle predetermined by the investor;

third instructions to compare at the computer the received identifying information and the market hurdle;

fourth instructions, if the identifying information satisfies the market hurdle, to prompt the customer for product specific information, and to receive at the computer, the product specific information from the customer comprising an amount of the product, a product fee, and a collateral age, where the product specific information is related to the identifying information;

fifth instructions to determine the probability that a real estate transaction will be approved based on the received product specific information; and

sixth instructions to present the probability for the preliminary evaluation of the real estate transaction to the investor.

51. The computer-readable medium of claim 50, wherein the product type is one selected from the group comprising on-book debt, equity, and mortgage-backed securities.

52. The computer-readable medium of claim 50, wherein the fifth instructions to determine the probability that the transaction will be approved further comprise:

seventh instructions to calculate a loan size array;

eighth instructions to calculate a minimum price curve;

ninth instructions to calculate a maximum price curve;

tenth instructions to calculate a proceed cutoff curve; and

eleventh instructions to determine the position of the amount of the product in relation to the minimum price curve, the maximum price curve, and the proceed cutoff curve.

53. A computer-readable medium having computer-executable instructions for making a preliminary evaluation of a probability an investor will approve a real estate transaction comprising:

first instructions to receive at a computer identifying information from a customer comprising a product type, a collateral type, and a geographic market;

second instructions to retrieve from a database coupled to the computer a market hurdle corresponding to the received identifying information, the market hurdle predetermined by the investor;

third instructions to compare at the computer the received identifying information and the market hurdle;

fourth instructions, if the identifying information satisfies the market hurdle, to prompt the customer for product specific information, and to receive at the computer, the product specific information from the customer comprising an amount of the product, a product fee, and a collateral age, where the product specific information is related to the identifying information;

fifth instructions to retrieve from a database coupled to the computer an impact parameter for each item of product specific information received, the impact parameter predetermined by the investor;

sixth instruction to calculate a total impact from each of the impact parameters for each item of product specific information; and

seventh instructions to compare the total impact to a predetermined strike zone hurdle and presenting the comparison to the investor.

54. The computer-readable medium of claim 53, wherein the product type is one selected from the group comprising on-book debt, equity, and mortgage-backed securities.

55. A system for evaluating a real estate transaction comprising:

a server computer coupled to a client computer via a computer network;

a data source coupled to the server computer;

a transaction evaluator software module stored and running on the server and operable for;

receiving identifying information from the client computer, where the identifying information includes a product type, a collateral type, and a geographic market;

retrieving from the data source coupled to the server computer a market hurdle corresponding to the received identifying information, the market hurdle predetermined by an investor;

comparing at the server computer the received identifying information and the market hurdle;

if the identifying information satisfies the market hurdle, presenting a prompt at the client computer for product specific information, and receiving at the server computer, the product specific information from the client computer comprising an amount of the product, a product fee, and a collateral age, where the product specific information is related to the identifying information;

determining the probability that a real estate transaction will be approved based on the received product specific information; and

presenting the probability for the preliminary evaluation of the real estate transaction to the investor.

56. The system of claim 55, wherein the client computer is operated by a loan originator.

57. The system of claim 55, wherein the client computer is operated by a customer.

58. A system for evaluating a real estate transaction comprising:

a server computer coupled to a client computer via a computer network;

a data source coupled to the server computer;

a transaction evaluator software module stored and running on the server and operable for;

receiving identifying information from the client computer, where the identifying information includes a product type, a collateral type, and a geographic market;

retrieving from the data source coupled to the server computer a market hurdle corresponding to the received identifying information, the market hurdle predetermined by an investor;

comparing at the server computer the received identifying information and the market hurdle;

if the identifying information satisfies the market hurdle, presenting a prompt at the client computer for product specific information, and receiving at the server computer, the product specific information from the client computer comprising an amount of the product, a product fee, and a collateral age, where the product specific information is related to the identifying information;

retrieving from the data source coupled to the server computer an impact parameter for each item of product specific information, the impact parameters predetermined by the investor;

calculating a total impact from each of the impact parameters for each item of product specific information; and

comparing the total impact to a predetermined strike zone hurdle and presenting the comparison to the investor.

59. The system of claim 58, wherein the client computer is operated by a loan originator.

60. The system of claim 58, wherein the client computer is operated by a customer.