HOUSING PRICE ESTIMATOR

• US 20140316857A1
• Filed: 07/10/2013
• Published: 10/23/2014
• Est. Priority Date: 04/22/2013
• Status: Abandoned Application

• Current Assignee: Lawrence Roberts
• Original Assignee: Lawrence Roberts
• Inventors: Roberts, Lawrence
• Application Number:
  US13/939,116
• Publication Number:
  US 20140316857A1
• Time in Patent Office: Days
• US Class Current: 705/7.34
• CPC Class Codes: G06Q 30/0206 Price or cost determination based on market factors
• CPC Class Codes: G06Q 30/0283 Price estimation or determination
• CPC Class Codes: G06Q 50/16 Real estate

Abstract

A method of valuing real estate properties includes the steps of calculating a premium or discount to rental parity for a historically stable time period and the current time period. Another method of timing a real estate market is also disclosed. Another method of searching for relevant property based on the personal income and/or expense of the buyer is also disclosed.

Claims

1. A computer for downloading housing data and manipulating the housing data for presentation to the end user, the computer comprising:

an input port for connection to one or more housing data sources;

an output port for connection to present the manipulated housing data to the one or more end users;

a processor with software loaded thereon for performing the following steps;

determining a first ratio between a cost to own versus a cost to rent for a first time period, the determining the first ratio includes the steps of;

downloading housing sales transaction data;

filtering the downloaded housing sales transaction data based on a geographic limitation and the first time period;

calculating the cost of ownership based on the filtered housing sales transaction data;

downloading rental transaction data;

filtering the downloaded rental transaction data based on the geographic limitation and the first time period;

calculating the cost to rent based on the filtered rental transaction data;

calculating a first cost ratio based on the calculated cost of ownership and the calculated cost to rent;

presenting the first ratio to the end user.

2. The computer of claim 1 wherein the processor further includes the steps of:

determining a second ratio between a cost to own versus a cost to rent for a second time period, the determining the second ratio includes the steps of;

downloading housing sales transaction data;

filtering the downloaded housing sales transaction data based on a geographic limitation and the second time period;

calculating the cost of ownership based on the filtered housing sales transaction data;

downloading rental transaction data;

filtering the downloaded rental transaction data based on the geographic limitation and the second time period;

calculating the cost to rent based on the filtered rental transaction data;

calculating a second cost ratio based on the calculated cost of ownership and the calculated cost to rent;

presenting the second ratio to the end user.

3. The computer of claim 2 wherein the first time period is a time period more than 1 year ago and the second time period is a time period less than 1 year ago.

4. The computer of claim 3 wherein the steps of calculating the cost of ownership includes calculating PITI and adjustments to PITI.

9. The method of claim 3 wherein the cost to own is calculated by computing PITI and adjustments to PITI.

5. A computer for downloading housing data and manipulating the housing data for presentation to the end user, the computer comprising:

an input port for connection to one or more housing data sources;

an output port for connection to present the manipulated housing data to the one or more end users;

a processor with software loaded thereon for performing the following steps;

determining a first ratio between sales transaction data versus price at rental parity for a first time period, the determining the first ratio includes the steps of;

downloading housing sales transaction data;

filtering the downloaded housing sales transaction data based on a geographic limitation and the first time period;

calculating the sales transaction data based on the filtered housing sales transaction data;

downloading rental transaction data;

filtering the downloaded rental transaction data based on the geographic limitation and the first time period;

calculating the price at rental parity base on the filtered rental transaction data;

calculating a first price ratio based on the calculated cost of ownership and the calculated cost to rent;

determining a second price ratio between a cost to own versus a cost to rent for a second time period, the determining the second ratio includes the steps of;

downloading housing sales transaction data;

filtering the downloaded housing sales transaction data based on a geographic limitation and the second time period;

calculating the cost of ownership based on the filtered housing sales transaction data;

downloading rental transaction data;

filtering the downloaded rental transaction data based on the geographic limitation and the second time period;

calculating the cost to rent based on the filtered rental transaction data;

calculating a cost ratio based on the calculated cost of ownership and the calculated cost to rent;

presenting the first and second ratios to the end user.

6. A method for searching for real estate properties, the method comprising the steps receiving a plurality of first inputs regarding personal information of an internet user;

receiving a plurality of second inputs regarding real estate criteria on desired real estate properties;

calculating a cost to own for each individual property within a real estate data set;

associating the cost to own to each individual property;

calculating an affordability level of the internet user based on the first inputs;

filtering the data set of real estate properties to only those properties that match the second inputs and the affordability level of the internet user;

presenting the filtered data set of real estate properties to the user through a website.

7. The method of claim 6 wherein the personal information includes one or more income, expenses, assets and loan type.

8. The method of claim 6 wherein the real estate criteria includes one or more of square footage, lot size, number of bedrooms, view, location, number of baths, parking, year built, garage and property type.

10. The method of claim 6 wherein the affordability level takes into account a desired loan type including one or more of FHA, 30 year fixed, adjustable rate mortgage.

11. A method for rating real estate, the method comprising the steps of:

downloading real estate transaction data for rental and resale of real estate properties;

assigning a market valuation rating based on real estate transaction prices for a current market compared to real estate transaction prices for a predetermined historical period of time;

assigning a resale rating based on a rate of rising or falling prices of real estate properties;

assigning a rental rating based on a rate of rising or falling rents;

summing the calculated market valuation rating, resale rating and rental rating;

presenting the summed ratings to an internet user via a website, paper document, electronic document or email.

12. The method of claim 11 wherein the assigning the market valuation rating step includes the steps of:

calculating a premium or discount of resale prices of real estate properties compared to rental parity for the predetermined historical period of time;

calculating a premium or discount of resale prices of real estate properties compared to rental parity for the current market; and

assigning the market valuation rating based a difference between the calculated premiums or discounts for the predetermined historical period of time and the current market.

13. The method of claim 11 wherein the assigning the resale rating step includes the steps of:

calculating a year-over-year change in resale dollars-per-square-foot price utilizing an average of a prior six month'"'"'s data;

assigning the resale rating based on the calculated resale year-over-year change.

14. The method of claim 11 wherein the assigning the rental rating step includes the steps of:

calculating a year-over-year change in rental dollars-per-square-foot price utilizing an average of a prior six month'"'"'s data;

assigning the rental rating based on the calculated rental year-over-year change.

15. The method of claim 11 wherein the real estate transaction data is for a particular state, city, community or custom geographical region.