Design of an automated comparable data collection tool to optimise pricing techniques

Abstract

Unlike the stock market, where bids and offers for each asset are public, with real est ate there is no direct contact between buyer and seller, in most of the cases, and offers made by other potential buyers are normally not disclosed, hence most trading decisions are based on subjective valuations. The present document reviews briefly wh ich are the real estate valuation methods available within the literature that has holistic point of view. Subsequent step is to identify which are the methods that can be automated by considering the public information available on internet. The third o bjective is to study the applicability of the methods identified in a particular property market such as the UK one, by establishing the roadmap to develop an automated tool that supports the valuator establishing the optimal price of real estate assets lo cated in this market. Finally, a pilot will be developed and tested by followi ng the established development roadmap. This should be able to automatically gather comparables’ and other relevant data from some of the publicly available data sources and pr esent it in a dashboard useful for the user. This tool will allow different kind of players involved in the real estate market (estate agents, municipal officers managing social housing, investors, asset managers and others) to value properties in a fast er way.