Accuracy

We have mixed feelings about Mark Sennott's whitepaper. He echoes our concerns about why AVM testing is important, but he reveals that AVM test results are NOT determining which AVMs are used.

Regulators are signaling that they are going to be looking at AVM testing. They are focused on valuation discrimination. This represents a change in the focus on AVMs and the need for all lenders to focus on AVM validation to avoid unfavorable attention.

Brookings Oct 2023 AVM Whitepaper makes some excellent points. We provide our perspective, support most of their recommendations, and point out how they underappreciated our contribution to the AVM industry.

AVM testing is broken and has been for some time, which means that we don’t really know how much we can or should rely on AVMs for accurate valuations. AVMetrics is proud to unveil our game-changing Predictive Testing Methodology (PTM™), designed specifically to circumvent the problem that is invalidating all current testing.

AVMetrics has a new method of testing AVMs. The goal is to avoid the process of "anchoring," which is when AVMs adjust their valuations based on listing prices. Our new method is a dramatic innovation that will level the playing field for all the AVMs.