Market Machine

The Market Machine is an excel-based stand-alone tool for real estate appraisers and other valuers, for use on PCs (not for Mac). Market Machine uses the data that you export from your MLS or other data source. It requires Excel 2010 or 2013 (or newer). Once you buy it, you have it for your use, with no monthly or annual fee. Your local data stays with you.

PRODUCT OVERVIEW:
You export your own MLS data, typically 24 months of sales along with all the current actives, pendings, and under-contracts. Then, within Market Machine, you generate charts, graphs, and narrative summary of the data. A main feature is the regression model page, where you to build a custom statistical analysis of property characteristics for a particular market segment. You can attach any of the output as PDF pages to your appraisal report. Additionally, the Market Machine generates an excel file all the data you used, for storage in your workfile.

NOTABLE FEATURES:
•  Included are 1004MC and ERC formats, as well as more robust and informative charts and graphs related to prices, unit prices, ages, concessions, distress sales, new properties, number of sales, supply, and other indicators broken out by month, quarter, and year, and showing highs, lows, percentiles, and central-tendancies.*
•  You can choose to import just a small pool of sales and listings from your MLS, or you can import the entire “universe” of sales and listings from your MLS and run multiple sets of reports. Or, apply filters to the data after importing your data. It’s your choice!
•  Build a regression model to isolate the statistically-likely values of sq.ft., acreage, garage, being a distress sale, and other characteristics you exported from your MLS. Customize the model each time you use the Market Machine, depending on the specific market you are studying.
•  A market summary page provides narrative-type statistics, assisting in completing various parts of the URAR, 1004MC, and other forms.
•  Use it to generate reports and graphs in minutes, beginning to end. End up with accurate statistical information, for summarizing and supporting market and adjustment conclusions in your appraisal.
(*Note that the Market Machine completes most of the numeric fields on the 1004MC, but does not populate the prior periods’ Active listings.)

SEE MORE:
View the videos, including segments and entire run-throughs, on the Market Machine playlist on youtube: https://www.youtube.com/playlist?list=PLv_E6Gn2CiW0GKQNotWABEW6Vbe72khuC

 

HOW DO I GET THE MARKET MACHINE?

You’ll export a sample of data from your MLS and fill out a quick Questionnaire, to help us map your data so the Market Machine works with your specific data.

Step One:

Your Market Machine will use data you export from your local MLS. To be able to run up-to-date market reports and regression models, you’ll want to export a fresh set of data periodically weekly or monthly. Each export should have 24 months of sales, and all actives, pendings, under-contracts, etc. on that day.

We’ll map your data to a Market Machine designed just for you, using a sample of your data that includes all types of sales and listings. To map your Market Machine we’ll need you to…

Export a sample from your MLS, with the following fields/columns:
• Date of Sale
• Sale Price
• Price at which property was listed at time of sale
• Price at which property was originally listed
• Days on market
• Year Built
• Area in Square feet
• Amount ($) of Seller Concessions
• Seller Concessions (Y or N type)
• REO and/or HUD Sales
• Short Sales
• Status

Additional fields/columns you may include in your MLS export:
• Acres
• Garage bays
• Or any other fields that you will use later for sorting data or including as a regression variable, like subdivision, market area, address fields.

If you need assistance in exporting from your MLS, contact your MLS provider. Be sure to export the correct data fields. For example, if your MLS has 4 different fields related to days on market, decide which is the field you want to include in your analysis; or, if your MLS includes fields for total sq.ft. and total finished sq.ft., decide which is the field you want to include in your analysis.

Step Two:

After exporting the sales and listings, complete the yellow fields in the Questionnaire to explain your data (fields, columns, and labels), and type any additional explanation on the form as needed. For example, if your MLS uses one column called Sale Type to cover REO, HUD, and Shorts, indicate that; or, if it uses 3 separate columns called REO, HUD, and Short, and uses Yes and No in each column, tell us about that.

Here’s a video that explains how to fill out the Questionnaire…
https://youtu.be/gAvV5dKJtos?list=PLv_E6Gn2CiW0GKQNotWABEW6Vbe72khuC

Step Three:

Now, email:
• the completed Questionnaire (xls or xlsx file), and
• your MLS data sample file (xls, xlsx, or csv file)
to joshua@activeappraiser.com .

Cost is $250 for one user; discounts apply for multiple users in an office.

 

About 

Joshua Walitt is a Certified Residential Appraiser. He writes blogs and articles for online and print magazines, and presents talks and seminars to lenders, AMCs, homeowner groups, regulators, and clients, at national conferences and online webinars. He served on Colorado’s ‘AMC Rulemaking Task Force’ in 2013. Walitt designs and teaches online and classroom courses. In addition, he designed the Market Machine, a regression software used by appraisers.