Quantitative Comps

Current Model

When two Realtorstry to acquire a listingor support their offer, boththeir offers are technicallyaccurate.

Traditional Model

The properties are compared by average, with price fluctuation created from qualitative comparison and interpretation of amenities.

Error is consistently large and unchecked.

Property A Property B Property CEppraisal $275,025 $175,698 $171,564 Price

$233,771 $149,343 $145,829 Low$316,278 $202,052 $197,298 High

15% 15% 15% ErrorZillow $289,500 $185,500 $182,500 Price

$257,655 $161,385 $166,075 Low$303,975 $191,065 $189,800 High

8% 9% 7% ErrorQuantitative Comps $287,344 $205,496 $161,050 Price

$272,789 $196,364 $157,241 Low$301,899 $214,629 $164,860 High

5% 4% 2% Error

Price fluctuation created from qualitative comparison and interpretation of amenities:

Error is consistently large and unchecked.

Supporting Information

If a Realtor presents compswith analysis that keeps error in check, and as a by-productrepresents the surrounding neighborhood, the competing realtor cannot justify the refutingcomps.

New Comprehensive Model

Quantitative Comps provides a Market Price based on a survey of properties that represents the entire neighborhood in relation to the property, keeps error in check,and additionally provides trending data to show market forces that may affect demand for that property.

Models Compared

•A 2667 SqFt house, Property X, is priced where market demand is focused, not over-priced

• The tight price range with detailed market data sets a substantially backed launching point for the Realtor to begin their expert based on-site final analysis

•Error is in check, and the price will be supported by strong market data that can be presented in a listing presentation or in an offer

Property X Market Price Low High ErrorEppraisal $313,002 $266,051 $359,952 15%Zillow $332,500 $299,250 $352,450 8%

Quantitative Comps $307,276 $299,909 $314,643 2%

Qualitative Properties Used Price Sold Date SqFtProperty A1 $355,000 6/25/2010 2854Property A2 $300,000 7/2/2010 2398Property A3 $360,000 6/10/2010 2601Property A4 $285,000 9/8/2010 2280Property A5 $288,000 8/10/2010 2488

Quantitative Properties Used Random Properties From:Falls River Properties Kings Crest

Raven PointeRiver Run

Neuse Savannah RidgeFalls River Spring WoodRaleigh Wood Spring27614 Woodbridge

A Stronger Price is Giving

Measured Price

In Depth Trending

Number of Data Points

Probability of Correct Price

Quantitative CompsHow it Works

Report FormatThe Report Format is broken down into two major sections:

•Market Price Determination

•Consumer Demand Analysis

Number of Data Points = 40 vs 4

In Depth Trending = Calibrator can be usedfor other properties

Correlation Coefficient = Strong Correlation Yielding a Correct Price

Measured Price = NOT ESTIMATED

Choosing the Data

This is the dataset that goes into the preliminary analysis

Trending the Slope, Trend Result 1

Following the Money,Trend Result 2

Market Demand for Subdivision

6.88E-05 Slope

2.67E+00 Intercept

11/8/2010 Date40490 Date Conversion

$286,711

Most Popular Price in Micro-Market, Consumer Demand

“I can now see in numbers what I knew in my gut…”An accurate number does not mean a quick and easy sale.

The number one killer to pricing is ConsumerDemand. The larger the divergence, the moreemotion will play into the pricing of a property.

• In the end, it’s all about the amount of error in the number

This represents: While this represents:

Quantitative Comps

Giving Realtors the data they need to help build the best price.