Method and system for property valuation in an on-line computing environment

• US 7,130,810 B2
• Filed: 01/22/2001
• Issued: 10/31/2006
• Est. Priority Date: 11/20/2000
• Status: Active Grant

• Current Assignee: GE Capital US Holdings, Inc. (General Electric Company)
• Original Assignee: General Electric Capital Corporation (General Electric Company)
• Inventors: Shea, David, Foster, Paul, Rieger, Robert
• Primary Examiner(s): PATEL, JAGDISH
• Application Number:
  US09/766,779
• Publication Number:
  US 20040073508A1
• Time in Patent Office: 2,108 Days
• Field of Search: 705/10, 705/20, 705/38, 705/35
• US Class Current: 705/80
• CPC Class Codes: G06Q 10/06375 Prediction of business process outcome or impact based on a proposed change
• CPC Class Codes: G06Q 30/0206 Price or cost determination based on market factors
• CPC Class Codes: G06Q 30/06 Buying, selling or leasing transactions
• 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 50/188 Electronic negotiation

Abstract

The present invention relates to providing on-line tools for property-related on-line calculations. A distributed computer network can enable a user to access multiple databases and to obtain comparables data related to a property of interest for use in calculations. A user can access the latest, broadest set of relevant property data and to select relevant comparable values quickly and with minimal manual intervention. An on-line property management environment can comprise a distributed computer network coupled to numerous client computers, a property services server platform connected to a local data base, and numerous property information databases. A valuation tool, lease improvement calculator, refinancing calculator, capitalization rate calculator, mortgage and amortization calculator, and an affordability calculator can enable a user to make multiple property-related on-line calculations.

Claims

1. A computer-implemented system for determining a valuation of a real estate property in an on-line computing environment, comprising:

a property management services server;

a plurality of databases coupled to the property management services server via a distributed computer network; and

a plurality of client computers, each coupled to the distributed computer network,

wherein the property management services server hosts a valuation program module for calculating a valuation for a selected real estate property,

wherein the databases store real estate property-related data, including property comparables data for a plurality of real estate properties,

wherein each of the client computers represents an entity that is different from at least one entity represented by another one of the client computers, wherein each different entity performs a different role in the valuation of a selected real estate property, and wherein each of the client computers is operable to access the valuation program module operating on the property management services server to input predetermined information about the selected real estate property in accordance with the role of the entity represented by the corresponding client computer in support of a valuation calculation for the selected real estate property, and

wherein, responsive to receiving the input predetermined information about the selected real estate property from at least two of the plurality of client computers in accordance with the role of the entity represented by the corresponding client computers, the valuation program module operating on the property management services server accesses the property data in at least one of the databases via the computer network to obtain comparables data relevant to the selected real estate property, calculates the valuation for the selected real estate property based on the input predetermined information, and presents the valuation and the comparables data for the selected real estate property.

2. The system of claim 1, wherein the client computers comprise:

a client computer representing a tenant and operable to input an evaluation of the selected real estate property for a potential purchase or lease;

a client computer representing a lender and operable to input property financing requirements for the selected real estate property;

a client computer representing a site visit agent and operable to input an on-site review and analysis of the selected real estate property;

a client computer representing a property specialist and operable to input property-related expertise information for the selected real estate property; and

a client computer representing a deal agent and operable to input information regarding screening, negotiating, and closing of property-related transactions related to the selected real estate property.

3. The system of claim 2, wherein the property specialist client computer represents an entity selected from one of:

a property appraisal specialist;

a property engineering specialist; and

a property environmental specialist.

4. The system of claim 1, wherein the property management services server further comprises at least one program module for at least one property valuation tool.

5. The system of claim 4, wherein the at least one property valuation tool comprises at least one of:

a property valuation tool operable to value an asset for the selected real estate property;

a payback calculation tool operable to determine a profit from lease improvements, capitalization rates of property payments, and refinancing savings for the selected real estate property;

a cash flow calculation tool operable to determine payment and loan amounts for the selected real estate property; and

a space calculation tool operable to determine an amount of required office space in connection with the selected real estate property.

6. The system of claim 5, wherein the payback calculation tool comprises at least one of:

a lease improvement calculator operable to determine an amount of standard rent that will support building standard improvements for the selected real estate property and an amount of profit that is available from the standard improvements;

a direct capitalization calculator operable to determine a capitalization rate of payments for the selected real estate property; and

a refinancing calculator operable to determine refinance loan savings and breakeven terms for a property loan related to to selected real estate property.

7. The system of claim 5, wherein the cash flow calculation tool comprises at least one of:

a mortgage and amortization calculator operable to determine mortgage payments, principal payments, and interest payments for the selected real estate property; and

an affordability calculator operable to determine a loan amount for the selected real estate property.

8. The system of claim 1, further comprising a valuation report electronically transmitted to a plurality of the entities for the selected real estate property.

9. A computer-implemented method for calculating an estimate of the value of a property, comprising the steps of:

entering property details for a selected real estate property into a program module operating on a server via a first one of a plurality of client computers operating in a distributed computing environment in support of a valuation calculation for the selected real estate property, each of the client computers representing an entity that is different from at least one entity represented by another one of the client computers, with each different entity performing a different role in a valuation of the selected real estate property, and each of the client computers being operable to access the valuation program module operating on the property management services server to input predetermined information about the selected real estate property in accordance with the role of the entity represented by the corresponding client computer in support of the valuation calculation for the selected real estate property;

obtaining comparables data for the property by accessing at least one database accessible in the distributed computing environment, each database storing comparables data for a plurality of properties;

entering capital expenses, mortgage details, and investment details for the property into the program module via at least a second one of the client computers operating in the distributed computer environment in accordance with the role of the entity renresented by the corresponding client computer;

determining a value for the property based on the property details, the comparables data, the capital expenses, the mortgage details, and the investment details; and

presenting a report indicating the value for the property.

10. The method of claim 9, wherein the mortgage details for the property comprise:

a payment for the property;

a rate type for the property; and

a term for the property.

11. The method of claim 10, wherein the investment details for the property comprise;

a price for the property;

a future value for the property; and

a discount rate for the property.

12. The method of claim 9, wherein the step of presenting the report indicating the value of the property comprises electronically transmitting a valuation report comprising the value of the property to a plurality of the entities via corresponding ones of the client computers.

13. The method of claim 9, wherein the step of entering property details comprises at least one of:

evaluating the selected real estate property for one of a potential tenant purchase and a potential tenant lease;

supporting lender financing requirements for the selected real estate property;

supporting on-site review and analysis of the selected real estate property by a site visit agent;

providing property-related expertise information of a property specialist in connection with the selected real estate property; and

providing deal agent information related to screening, negotiating, and closing property-related transactions related to the selected real estate property.

14. The method of claim 9, wherein the step of determining a value for the property comprises:

valuing an asset for the selected real estate property;

determining a profit from lease improvements, capitalization rates of property payments, and refinancing savings for the selected real estate property;

determining payment and loan amounts for the selected real estate property; and

determining an amount of required office space in connection with the selected real estate property.

15. A computer-implemented system for determining a valuation of a selected real estate property, comprising:

a property management services server hosting a valuation program module for calculating a valuation for a selected real estate property;

a plurality of databases coupled to the property management services server and storing real estate property-related data, including property comparables data for a plurality of real estate properties; and

a plurality of client computers, wherein each of the client computers represents an entity that is different from at least one entity represented by another one of the client computers, wherein each different entity performs a different role in the valuation of a selected real estate property, and wherein each of the client computers is operable to input predetermined information about the selected real estate property into the valuation program module in accordance with the role of the entity represented by the corresponding client computer in support of the valuation calculation for the selected real estate property,

wherein, in response to receiving the input predetermined information about the selected real estate property from at least two of the plurality of client computers in accordance with the role of the entity represented by the corresponding client computers the valuation program obtains comparables data relevant to the selected real estate property from the property data in at least one of the databases, calculates the valuation for the selected real estate property based on the input predetermined information, and presents the valuation and the comparables data for the selected real estate property via at least two of the client computers.

16. The system of claim 15, wherein the plurality of client computers comprises two or more of:

a client computer representing a tenant and operable to input an evaluation of the selected real estate property for one of a potential purchase and a potential lease;

a client computer representing a lender and operable to input property financing requirements for the selected real estate property;

a client computer representing a site visit agent and operable to input information regarding an on-site review and analysis of the selected real estate property;

a client computer representing a property specialist and operable to input property-related expertise information for the selected real estate property; and

a client computer representing a deal agent and operable to input information regarding screening, negotiating, and closing of property-related transactions related to the selected real estate property.

17. The system of claim 15, wherein the property management services server further comprises at least one program module for at least one property valuation tool.

18. The system of claim 15, wherein the at least one property valuation tool comprises at least one of:

a property valuation tool operable to value an asset for the selected real estate property;

a payback calculation tool operable to determine a profit from lease improvements, capitalization rates of property payments, and refinancing savings for the selected real estate property;

a cash flow calculation tool operable to determine payment and loan amounts for the selected real estate property; and

a space calculation tool operable to determine an amount of required office space in connection with the selected real estate property.