The Real Estate Institute of New Zealand (REINZ) has launched its next-generation automated valuation model (AVM) that uses advanced modelling and deep machine learning techniques to produce accurate estimates and up-to-date sales predictions for residential properties in New Zealand.
REINZ has been producing an AVM for years. However, the organisation’s new and updated technology has allowed it to develop a better model for those who would like to understand a property’s estimated current market value.
The organisation claims that its new model has access to the most up-to-date sales data, providing a key advantage and increasing confidence levels in making accurate and informed valuation predictions. It will cover more properties in the market and provide more accurate estimates closer to actual sales prices, within a narrower range and with less time lag to detect changing trends.
Wendy Alexander, the acting chief executive at REINZ, commented: “Property valuation plays an integral part in the end-to-end real estate sales process, not to mention the value that this information brings to other sectors such as banking, government, insurance, capital investment, and economic forecasting.
“While there is, of course, a place for an in-depth property valuation to be carried out by a registered valuer in person, in an age of data-driven decision making, and the insatiable appetite for instantaneous information, the industry has become accustomed to the presence of AVMs producing an ‘on the spot’ estimate when required.”
The REINZ AVM will be available to members via the organisation’s Statistics Platform and PropertySmarts product. The public can access the new AVM data through property listings on realestate.co.nz.