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Clear Capital Unveils New PI+AVM Product

Tool applies qualitative adjustments to AVM for increased confidence in value conclusion


Truckee, Calif. (August 31, 2004) – Clear Capital (formerly BPO Tracker), a proven and reliable provider of loan valuation outsourcing, today unveiled a new valuation tool that marries man and machine. Clear Capital has developed a proprietary ‘PI+AVM’ product, which applies supportable human adjustments to an AVM value conclusion for a more refined and confident value outcome.


The new Clear Capital PI+AVM is more than just an AVM stapled to a property inspection. Rather, the PI+AVM provides additional clarity to an AVM report by analyzing property characteristics that often reside below the radar of automation.


‘Clear Capital’s PI+AVM effectively captures the space between AVMs and solely human valuations,’ says David J. DeMello, chief appraiser and vice president of business development for Clear Capital. ‘By analyzing and weighting the results of a unique property inspection, we are able to determine whether the property’s relative condition and lot characteristics would influence the AVM value in a positive or negative manner. Essentially, we are giving the analysis a pulse.’


While an AVM compares a subject’s quantitative factors to nearby properties, the PI+AVM is the first product in the industry to provide a property inspector’s answers to six relevant qualitative assessments: 1) condition of the ROOF in COMPARISON to the neighborhood; 2) condition of the PAINT/SIDING in COMPARISON to the neighborhood; 3) condition of the LANDSCAPING in COMPARISON to the neighborhood; 4) quality of the VIEW in COMPARISON to the homes in the neighborhood; 5) FUNCTIONAL UTILITY of the lot in COMPARISON to the homes in the neighborhood, and 6) LOT LOCATION in COMPARISON to the homes in the neighborhood. The advanced report also includes verification if the subject resides in a FEMA (disaster)-affected zip code, additional narrative information on the subject property and two photos of the subject.


The inspector’s answers are analyzed and weighted by both Clear Capital’s proprietary systems and Quality Assurance team. The end result is a report that illustrates the AVM value, the AVM’s estimated value range, and a graph representing the results of the combined PI+AVM analysis.


A highlighted red bubble next to the AVM value indicates that the PI+AVM analysis concurs with that value. A red bubble above or below the AVM value indicates that the inspection revealed characteristics of the property that are superior or inferior, respectively, to what is typical in the neighborhood. These are characteristics that the AVM alone could not detect.


Addressing Market Needs

It is commonly agreed upon that AVMs are more reliable in homogenous markets where public record data is plentiful. The models typically employ hedonic or index-based logic (or a combination of the two) to analyze public record data to calculate an approximate value for a particular property.


Yet, even in markets where public records data is abundant, there is no current reporting category for a property’s ‘relative characteristics.’ Clear Capital’s new PI+AVM answers those questions, and assigns quantitative adjustments accordingly.


Clear Capital is offering a range of PI+AVM products depending on customers’ due diligence and valuation needs.


About Clear Capital

In addition to BPO and property inspection services, Clear Capital customers will soon have access to multiple valuation products, such as the new PI+AVM product, to effectively meet their tape-to-tie-out (‘T2TO’) needs. Clear Capital boasts 100% completion on BPO and property inspection order fulfillments, unparalleled turn-around time, exceptional customer care and efficient technology.


Whether it’s an order of 10 or 1,000+ reports, Clear Capital’s team and web-based platform helps customers quickly and efficiently order, manage, track and share their valuation and due diligence reports. The company has built its success on accurate, on time and on budget valuation services for mortgage originators, secondary market institutions and mortgage servicers.


The company is headquartered in Truckee, CA. For more information call 866-278-0120 or visit


Clear Capital and BPO Tracker are registered trademarks of Clear, Inc.