Fuzzy Numbers for the Real Estate Valuation

2002 ◽  
Author(s):  
Filiz Ersoz ◽  
Taner Ersoz ◽  
Muhammet Soydan

Abstract Construction sector has an important place in Turkey’s economy. Real estate sales for the sector are increasing in parallel. However, the purchase cost is also important for those who are willing to buy a real estate. In the acquisition of real estate, factors such as size, location and age of the house are taken into consideration. The aim of the article is to conduct research on factors affecting real estate values by data mining. In this study, the most important variables that determine the value of the real estate have been investigated by data mining methods. The research has been carried out in Karabük and the variables determined according to the opinions of real estate experts. As classification methods, CHAID and C&RT algorithms have been used. It has been evaluated that both algorithm estimation results can be used. Within the framework of the study, the variables that have the most impact on the unit price have been determined, such as the size of the real estate, the distance to the city centre, the popularity, and the age of the building. The use of advanced technologies, such as statistical modelling and machine learning in real estate valuation and automatic value estimation, is of importance in determining the real value of the real estate.


Valuation profession is a link between the borrower and the lender. Fraud is an intentional deliberate deception committed for illegitimate personal gain. There are several forms of real estate fraud, especially when the real estate market is facing a boom. The most widespread types of real estate fraud include the preparation of two sets of settlement statements, property flipping, and fraudulent qualifications. There are mainly three types of valuation to look out for. Valuation may be received from an unauthorized agency. Furthermore, a real valuation may be altered from the original to generate profit. Thirdly, intentional inflation of the value of a property will hide the real market value. It is usually difficult to spot real estate fraudulent activities, so deep investigations and professionalism is needed. This chapter explores real estate fraud.


2013 ◽  
Vol 859 ◽  
pp. 562-565 ◽  
Author(s):  
Jian Ping Yang ◽  
Qing Bai

With the continuous development of the real estate industry, the real estate valuation business volume increasing coverage, valuation of more extensive, therefore it has become increasingly difficult. This article mainly from the characteristics of the real estate valuation and the existing problems, study of the geographic information system (GIS) is applied to real estate evaluation system of the necessity and feasibility, and puts forward the main function of the GIS system of real estate appraisal module.


2019 ◽  
Vol 27 (4) ◽  
pp. 15-26
Author(s):  
Krzysztof Dmytrów ◽  
Sebastian Gnat

Abstract Property valuation in the comparative approach requires the determination of the impact of market characteristics on the formation of prices on the local real estate market. Valuers have a variety of methods for determining weights. Some of them require the collection of a sufficiently large database of information on transactions. However, this is not always possible. In the absence of sufficient data, alternative approaches, including an expert approach, may be used. The goal of the article is the proposal of an expert approach at the stage of assessing the influence of attributes on the value of the real estate. The AHP (Analytical Hierarchy Process) method will be used. On its basis, pairwise comparisons of the importance of attributes will be done by experts (valuers). By means of the AHP method, the weights of each attribute will be obtained and, subsequently, the influence of each attribute on the real estate value will be assessed. Research will be done on the basis of 318 real estates in Szczecin.


2018 ◽  
Vol 26 (1) ◽  
pp. 122-130 ◽  
Author(s):  
Agnieszka Bieda

Abstract* Real estate valuation is carried out correctly if it takes into account all the conditions occurring on a given market at the time of its performance. One of the important determinants of correct valuation is the proper determination of the land use class of the property being valued. It is equally important to find similar properties with the same land use classes as the property subjected to valuation. This does not pose a problem when a property is located within an area with one specific land use zone. If, however, its land use zoning is not homogeneous, finding similar properties may be difficult. If those contained in the database of comparable properties differ from the real estate being valued with regard to land uses of individual areas or proportions of areas with a specific use, it is suggested to divide transaction prices obtained for the whole property into components of those prices that correspond to the fragments of this property with specific land uses. In this paper, the conditional model has been used for this purpose.


2020 ◽  
Vol 12 ◽  
pp. 44-52
Author(s):  
Vladimir Surgelas ◽  
Vivita Pukite ◽  
Irina Arhipova

In the field of civil engineering, there are some traditional methods of property evaluation that deal with these techniques. However, there is controversy about what would bring the best performance, a greater degree of ease and clarity without presenting multicollinearity. This controversy is due to the difficulty of finding appropriate predictive variables in real estate valuation since they often do not fit the binary model, involving human subjectivity. From this, the research aims to propose improvements in the property evaluation process with the use of artificial intelligence without presenting the effects of multicollinearity and autocorrelation, to predict the value of the real estate market. The object of study is a standard 2-bedroom residential apartment with 48m-2 located in the central area of Jelgava, Latvia, in October 2019. Therefore, the methodology uses statistical inference as an initial analysis parameter and the fuzzy logic incorporates the best association rules which are originated from artificial intelligence extracted from the apriori algorithm. Finally, the results obtained by regression and fuzzy were compared with the value in euros m-2, according to the official publication of the government of Latvia, referring to the market value of a 2-bedroom residential apartment in the city of Jelgava, Latvia, in October 2019, this government publication is the reference for this study. The statistical hypotheses that allowed its validation were accepted. In the Fuzzy model, the results indicated an excellent equivalence to market prices in relation to the traditional valuation process.


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