Computerized system and method for acquiring and analyzing data pertaining to real estate

• US 7,249,146 B2
• Filed: 09/06/2001
• Issued: 07/24/2007
• Est. Priority Date: 09/06/2001
• Status: Expired due to Term

• Current Assignee: Shimon Brecher
• Original Assignee: Shimon Brecher
• Inventors: Brecher, Shimon
• Primary Examiner(s): RUDY, ANDREW J
• Application Number:
  US09/947,897
• Publication Number:
  US 20030046211A1
• Time in Patent Office: 2,147 Days
• Field of Search: 705 7- 10, 705/36, 705/35, 707/10, 707/102, 707/104.1
• US Class Current: 1/1
• CPC Class Codes: G06Q 30/06 Buying, selling or leasing transactions
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis
• CPC Class Codes: Y10S 707/99945 Object-oriented database structure processing
• CPC Class Codes: Y10S 707/99948 Application of database or data structure, e.g. distributed, multimedia, or image

Abstract

A substantial amount of publicly available and private information pertaining to buildings in an area is inputted into a computerized data base programmed to produce statistical standards (norms) which can then serve as a basis for subsequent comparison with particular, selected, structures. The information is organized and formatted to facilitate the analysis of various income and expense items (including the taxes) pertaining to selected structures. Various special screens (forms) are used to aid in entering data pertaining to selected buildings and portfolios of buildings into the computerized data base and to interactively assist in the analysis of the data entered in view of the information contained in the computerized data base including the generation and display of significant statistical information regarding the selected properties and the generation of various reports. The system includes programs which enable the efficient comparison of various structures regarding their income and expenses and for the generation of reports for local property and/or income tax purposes, assessments determination, management purposes and/or investment decisions.

Claims

1. A method of using a computerized data base for analyzing data pertaining to a selected building comprising the steps of:

inputting data into a computerized data base, where said data pertains to a multiplicity of buildings obtained from numerous different selected sources including governmental agencies and private sources, and wherein said data includes various income and expense items and other building descriptions pertaining to said multiplicity of buildings;

programming the computerized data base for selectively processing the data pertaining to the multiplicity of buildings for enabling the selective development of different sets of standard values based on different conditions and characteristics of the buildings, said data base being programmed to selectively generate said different standard values in numerous different formats including at least one of statistical percentiles and averages for selected ones of the income and expense items;

inputting into the computerized data base selected data pertaining to income and expense items pertaining to the selected building using a specially designed screen containing specially designed sections and prompts for enabling selected income and expense data to be entered into and processed by the data base;

the screen being part of a set of specially designed screens for arranging the storing and processing of data related to the real estate industry and performing analytic and reporting functions related to the operation, evaluation and management of buildings; and

programming the computerized data base for enabling a user to selectively and interactively compare the selected data pertaining to income and expenses of the selected building with selected ones of the standard values developed for like buildings; and

wherein;

(a) the steps of inputting data into the computerized data base and programming the data base includes the use of at least one of the specially designed screens containing specially designed sections and prompts to input the data in predetermined formats into the computerized data base for enabling an ordered entry of data into the computer base and the efficient processing of the data obtained from the numerous different sources and the further processing of the inputted data to generate the different standard values, and (b) wherein the step of inputting into the computerized data base includes the use of selected ones of specialized screens containing specially designed sections and prompts to assist in interactively making data available to a user and for enabling the data to be updated and to retrieve and display data in multiple comparative and analytical formats, depending on a user'"'"'s needs from the computerized data base.

2. A method as claimed in claim 1, wherein the step of programming the computerized data base includes the step of processing the inputted data using selected ones of the specialized screens designed and programmed for enabling selected ones of the expense and income items to be calculated and compared on at least one of the following bases:

(a) a per unit area basis;

(b) a per unit basis; and

as a percentage of the income of the building; and

wherein the step of programming the computerized data base includes using a selected screen for enabling a user to selectively select at least one of said percentiles and average formats to selectively display information pertaining to a selected building and the comparison of the selected building to the multiplicity of buildings.

3. A method as claimed in claim 1, wherein the buildings in the multiplicity of buildings may be selectively arranged according to different criteria and categories selected from the following:

by types and location and by year built, by number of stories, by neighborhood and by area quality; and

wherein, using selected ones of the specialized screens containing specially designed sections and prompts and also designed and programmed to interactively process the data, the selected building is selectively compared according to selected criteria to the selected standard values generated for like buildings for automatically generating at least one of a display and report indicative of the condition of the selected building and its comparison to said multiplicity of buildings.

4. A method as claimed in claim 3, wherein data pertaining to the multiplicity of buildings includes infomiation pertaining to the age, location, and type of structure and wherein like information pertaining to the selected building is inputted into the computerized data base using selected ones of the specialized screens to enable selective and interactive comparison of the particular building with like buildings having similar characteristics.

5. A method as claimed in claim 1, wherein selected ones of the specially designed screens are designed and programmed to interface with the data base for enabling the automatic generation of alerts to conditions outside of a predetermined range from standard for facilitating the management of a selected building.

6. A method as claimed in claim 1, including the use of the specially designed screens designed and programmed to input data in specific detailed formats into the computerized data base, to retrieve and display data in multiple comparative and analytical formats, depending on a user'"'"'s need, from the computerized data base, and to issue various comparative, analytical, descriptive and explanatory reports.

7. A method as claimed in claim 6, wherein the computerized data base is programmed using the specialized screens to selectively issue comparative, analytical, descriptive and explanatory reports based on the processing of the inputted information to at least one of the following:

(a) a government agency;

(b) a tax authority;

owner or manager of the particular property; and

(d) an investor or appraiser of the property.

8. A method as claimed in claim 1 wherein the computerized data base is programmed using a specially screens designed for appeals to issue a report specially specially prepare for appealing an assessed valuation (AV) of the property.

9. A method as claimed in claim 6, wherein the specially designed screens are designed and programmed to store the information issued in selected reports in the computerized data base in order to keep track of the information issued in these certain reports and to enable the tracking of any changes subsequently made to these reports or the information within them.

10. A method as claimed in claim 6 wherein data obtained and inputted into the computerized data base includes selected government and market generated guidelines pertaining to capitalization rate ranges, income and expense expectations and net operating income (NOI) ranges, and wherein, by using specially designed screens, the user may select any desired capitalization rate and the data base is programmed to automatically calculate an expected assessed valuation (AV) on the basis of the actual NOI or on the basis of multiple model NOIs, or on the basis of the rent roll.

11. A method as claimed in claim 10 wherein, by using a specially designed screen, a user can select a model NOI by adjusting selected income and expense items as a function of the standard values created for the selected property type and location, and, using selected ones of the screens, the data base is programmed to calculate a pro-forma assessed value based on a selected model NOI;

and, wherein using a selected screen the user can selectively produce a corresponding report using an assessed value.

12. A method as claimed in claim 6 wherein the computer base is programmed using specially designed screens designed and programmed to generate and provide various explanatory sentences in the reports to assist in the preparation of the reports and the submission of the reports;

where the explanatory sentences pertain to selected ones of the income and expenses, and for comparing selected income and expense items to selected standard values and other selected data.

13. A method as claimed in claim 1 wherein the computerized data base is programmed using a specially designed screen to prepare at least one of a comparative and analytical income and expense report, an assessment valuation appeals report, a comparative and analytical client review report and an assessment recommendation report.

14. A method as claimed in claim 13 wherein using selected ones of the specially designed screens selected reports are prepared and submitted to selected government agencies;

and including the step of using specially designed screens for collectively updating information submitted to selected government agencies including the steps of keeping and storing the original information submitted to a government agency, noting on the original set of data that had been updated, storing the updated versions of that information and tracking on the updated version what information had been changed.

15. A method of using a computerized data base for

analyzing data pertaining to a selected building comprising the steps of:

obtaining data pertaining to a multiplicity of buildings from selected sources including governmental agencies and private sources;

where said data includes certain physical characteristics of the buildings and various income and expense items pertaining to said buildings;

inputting said data into the computerized data base and developing standard values for selected ones of the income and expense items;

inputting into the computerized data base selected data, including data pertaining to income and expense items pertaining to the selected building, using specially designed screens containing specially designed sections and prompts to control and direct the entry of the data in a predetermined manner and order;

programming the computerized data base to compare the selected data pertaining to income and expenses of the selected building with the standard values developed for like buildings using selected specially designed and programmed screens;

the screens being part of a set of specially designed screens for arranging the storing and processing of data related to the real estate industry and for performing analytic and reporting functions related to the operation, evaluation and management of buildings; and

using selected ones of the specially designed screens containing specially designed sections and prompts for controlling the entry of data and the programming of the computerized data base, for facilitating and assisting in the efficient processing of the data, and for assisting in the production of reports including reports pertaining to income and expenses and to the assessed valuation of the selected building thereby providing a tool for the more efficient management of a selected building.

16. A method as claimed in claim 15 wherein the specially designed screens directing the entry of data into computerized data base include specialized screens for inputting and viewing income and expense data for a particular building where the specialized screens are programmed to enable at least one of the following:

(a) track which set of information is the latest available;

(b) prompt a user to enter the income and expense items grouped by specific master categories;

automatically prompt a user for the next entry when one entry is completed, while allowing the user to override the prompt;

(d) allow the user to further detail the income and expense items by subcategories while forcing the selection of a master category;

(e) calculate and display the totals by category as well as the overall income and expense totals and the net operating income (NOI);

(f) automatically calculate and display each category and the overall income and expenses on at least one of a per unit basis, a per unit area basis and, for the expenses, as a percentage of the overall income;

(g) calculate any expenses that need to be amortized over a period of years and applying the correct amount to the current set of expenses and tracking the additional amounts for future years until they expire so that the building does not lose the benefit of reporting these expenses;

(h) alerting the user that there are outstanding amortized expenses from prior years that need to be appended, and enabling the user to selectively append them;

(i) allow the user to shift expenses from one master category to another, and track the shifts as an audit trail; and

(j) supply links to other forms for lookup of other pertinent data.

17. A method as claimed in claim 15 wherein the specially designed screens directing the entry of data into computerized data base include specialized screens for inputting and viewing basic building data for a particular building with selected screens being programmed to correspondingly show at least one of the following:

(a) various detailed building descriptions, uses, government classifications, government descriptions as compared to the user'"'"'s descriptions; and

(b) alert the user to any changes made to the basic data and provide a link for the user to view what information was changed and on what basis.

18. A method as claimed in claim 15 wherein the specially designed screens directing the entry of data into computerized data base includes specialized screens for enabling the analysis of income and expense data and selected ones of the current assessments and assessment history, current appeal status and appeal history, and rent roll information.

19. A method as claimed in claim 18, wherein selected screens are programmed to display all the gathered information, as well as the expected income, expense, net operating income (NOI), and cap rate ranges.

20. A method as claimed in claim 15, wherein the specially designed screens directing the entry of data into the computerized data base include specialized screens programmed to enable the performance of at least one of the following:

(a) automatically analyze the selected income and expenses of a selected building and compare them to the standard values generated during a selected time period for like buildings in a given area;

(b) display the results of the analysis by selective use of at least one of different colors and a series of checkboxes to indicate if any selected income or expense item is high, low or normal as compared to the standard values;

enable a user to view and interface with the standard values for a selected building type, area and income and expense for a selected period by selecting a particular expense item and opening a corresponding screen showing standard values by percentiles;

(d) enable a user to adjust selected figures by comparison to statistical standard values, or to some other objective or subjective standards to create an adjusted NOI;

(e) create a series of pro forma assessed values based on an NOI (net operating income) derived from at least one of the actual income and expenses, from adjusted income and expenses, from model income and expenses, or from a potential rent roll combined with a selected cap rate; and

(e) generate analytical and explanatory phrases regarding the income, expenses, cap rate chosen, and resulting pro forma assessment.

21. A method as claimed in claim 15 wherein the specially designed screens directing the entry of data into the computerized data base include specialized screens for generating standard statistical values in numerous different formats including a format showing at least one of percentiles and averages.

22. A method as claimed in claim 21 wherein the generated statistical values are generated as a function of geographic area and building type and include income and expense items for selected time periods;

and wherein selected screens are programmed to generate a series of statistics for a selected time period based on a selected combination of descriptors.

23. A method as claimed in claim 22 wherein the descriptors include at least one of:

(a) any selected expense item;

with the screen being programmed to cycle through selected expense groups;

(b) analysis based on a selected one of a per unit basis, a per unit area basis and a percent of income basis;

analysis based on a certain building type selected from a group including at least one of;

(a) only residential buildings;

(b) residential elevator buildings only;

office buildings only;

(d) offices and lofts;

(e) retail buildings (d) analysis based on buildings having selected sizes;

(e) analysis based on a selected buildings within a given area, including those within any zip code; and

(f) within a certain income range per unit area or any other selected base.

24. A method as claimed in claim 15 wherein the specially designed screens directing the entry of data into the computerized data base include specialized screens for comparing selected items of income and expense data to those of like buildings in the immediate surrounding area, with the area range and property types being set by a user;

and wherein selected screens are programmed to automatically print a detailed comparison report which can be selectively saved in the database for future reporting and appealing purposes.

25. A method as claimed in claim 15 wherein the specially designed screens define a set of screens to control and direct the entry of data into computerized data base and are designed for assisting in the processing of the data and the production of reports includes specialized screens for enabling a user to selectively perform any one of the following functions:

(a) select a particular property or portfolio of properties and run a series of statistical comparisons of selected income and expenses and assessments between a selected property and surrounding properties;

(b) select a specific distance or geographic area within which to run the comparison;

select a specific building class or group(s) of building classes including;

(i) a run for only a selected property'"'"'s class;

(ii) a run for an entire building type;

(iii) a run of comparisons for each of the above combinations;

(iv) create any combination deemed useful by the user;

(d) selecting minimum number of properties to include;

(e) selecting which income or expense categories to compare;

(f) selecting which year'"'"'s information on which to run the comparison; and

wherein the programming of the computerized data base includes means for enabling the user to selectively calculate the comparison and selectively display the comparison and preserve the generated information for present and future use.

26. The method as claimed in claim 25 wherein the screens enable the selective and interactive generation of any one of the following:

(a) graphs of any selected expense item on a per square foot basis or on a per unit basis for a selected property compared to the average or percentile cost of that expense item on a per square foot or per unit basis for all like properties within a selected distance or area;

(b) graphs depicting the calculation of the assessed value of a selected property per square foot or per unit compared to average assessed valuations per square foot or per unit for other properties within a selected distance or area; and

wherein the graphs assist a user in ascertaining and showing a property'"'"'s income and expenses and/or the property'"'"'s assessments as compared to other (like) properties within a selected distance or area of the selected building for selected time periods and for selected expense and income items.

27. The method as claimed in claim 15 wherein information is inputted into the computerized data base and extracted therefrom via input and output (I/O) devices and wherein the data base is programmed using selected ones of the specially designed screens to selectively enable the processing and analysis of income and expense items and to produce specially formatted data suitable to produce several reports, including:

a) income and expense (I &

E) reports;

b) client reports;

c) appeals reports;

d) reports to Tax Commission (TC);

e) reports to pepartment of Finance (DOF) and f) selected miscellaneous reports; and

wherein selected information may be selectively retained in the data base to make permanent records available within the data base of selected information.

28. The method as claimed in claim 15 wherein the programming of the computerized data base using selected screens enables a user to selectively retrieve and enter physical and other data pertaining to selected buildings and the retrieved and entered data is compared with data provided by a user to also update and selectively correct stored data for enabling a user to consider, evaluate, assess, investigate, or examine a selected building.

29. The method as claimed in claim 15 wherein selected ones of the screens enable selected ones of the following functions:

a—

initiation of a look-up request by supplying the address of the selected building, or its borough, block and lot number (BBL), via an I/O device to the data base with a request that all pertinent information stored in the data base relative to that building be retrieved;

b—

prompts to a user to supply information in a prescribed sequence and manner;

c—

comparison of stored information with the latest user supplied information;

d—

feeding back updated and corrected information to the data base based on the comparison; and

e—

tracking the changes in the information.

30. The method as claimed in claim 15, wherein a screen is specially designed to include prompts for inputting the following information:

a—

look up for block, lot, borough, and street address;

b—

client and address information;

c—

information pertaining to assessed valuation (av);

d—

brief description of the building;

e—

building class;

f—

information regarding the use of the property, commercial, retail, residential, mixed use;

g—

the number of units in the building, defining the number of apartments and stores, per third parties and per client;

h—

square footage of a building per third parties and per client;

i—

purchase date of building;

j—

purchase price of building;

k—

client'"'"'s building codes;

l—

summary of reporting services provided for this property.

31. The method as claimed in claim 15 wherein the specially designed screens include an income and expense (I&

E) screen for entering income and expense (I&

E) data into the data base for processing of the income and expense items and wherein the I&

E screen is designed to include sections for entering or determining selected ones of the following;

a—

client name;

b—

borough, block and lot number (BBL);

c—

the time period of interest;

d—

correction status;

e—

address of the property in question;

f—

alternate address name (AKA), and corporate name;

g—

real estate taxes;

h—

source of data i—

income;

j—

net operating income (NOI) which is equal to gross income minus total expenses;

k—

the percentage of the income retained as NOI;

l—

the number of units according to third parties and according to the client;

m—

the building class (BC);

n—

entries pertaining to various expenses organized according to categories defined by the client or by third parties;

o—

selected expense and income entries which a user can selectively move from one category to another category;

q—

entries for tracking capital repairs;

r—

entries for determining the number of years over which a corresponding item is to be amortized;

s—

the number of years remaining for the item to be amortized;

t—

entries for tracking income by categories;

u—

a section for tabulating the various expenses and the cost of the various expense items on either;

(i) a per square foot basis;

(ii) a percent of income basis; and

(iii) a per unit basis; and

v—

a tabulation of various income items including per sq. ft. basis and per unit basis.

32. The method as claimed in claim 31, wherein the data base is programmed for selectively enabling information entered for selected ones of the expense and income items to be summed for the different expense and income categories and to generate total income, the total expenses, and net operating income (NOI) information which information is recorded and stored in accordance with the income and expense (I&

E) screen making the pertinent data available to a user who can then interactively assess and update the information.

33. The method as claimed in claim 15 wherein the specially designed screens include an income and expense (I&

E) screen for entering income and expense (I&

E) data into the data base for processing of the income and expense items and wherein the I&

E screen form is designed to include prompts to enable a user to introduce a new category or to correct an entry to an existing one;

wherein a user can selectively shift certain items from one category to another; and

wherein the data base is programmed to keep a record of what was shifted for generating an audit trail.

34. The method as claimed in claim 15 wherein the screens include an income and expense (I&

E) screen for entering income and expense (I&

E) data into the data base for processing of the income and expense items and wherein the I&

E screen is designed to include a section for entering and handling specialized data including capital repairs for allowing storage of detailed information pertaining to the specialized data and Capital Repairs, which may be amortized over a specified number of years, and the data base is programmed to calculate the annual allocation of the total amortization amount and indicate the amortization amounts available in future years and the already amortized amounts; and

enabling the user to selectively bring forward and revise the remaining amortization schedule and selectively display the information.

35. The method as claimed in claim 15 wherein the screens include an income and expense (I&

E) screen for entering income and expense (I&

E) data into the data base for processing of the income and expense items and wherein the I&

E screen is designed to include a notation as to whether the data has already been reported to a governmental agency or other end-user; and

the data base is programmed so that if that notation is marked as submitted, the data is locked and can no longer be altered.

36. The method as claimed in claim 15 wherein the screens include an income and expense (I&

E) screen for entering income and expense (I&

E) data into the data base for processing the income and expense items and wherein the I&

E screen is designed to include a function enabling a user to automatically create a copy of a selected record in order to correct the data without altering the original set of data that may have been submitted to an end-user, and to track which version of the data each record is.

37. The method as claimed in claim 15 wherein the screens include a screen specially designed for selectively updating income and expense (I&

E) data already in the data base for enabling a user to automatically update selected income and expense records for a selected property owner, for a selected time period, to reflect a selected amount on one of;

a) a per unit area basis;

b) a per unit basis;

c) as a percentage of income; and

d) a fixed total amount, for a selected expense, by;

(i) altering the expense entered, (ii) adding a new expense, or (iii) shifting the selected amount from one expense to another, and the user can select whether to update a) all selected records, b) only selected records where selected expense is higher than new selected amount or c) only selected records where selected expense is lower than new selected amount.

38. The method as claimed in claim 15 wherein the specially designed screens define a set of screens which includes at least one of the following specialized screens:

an income and expense screen for processing income and expense items;

a client review screen for processing selected building data and providing reports to entities having an interest in selected buildings;

an appeals screens for processing selected building data for preparing cases for third parties including governmental bodies; and

a plurality of analysis screens for processing and analyzing different aspects and conditions of the building data.