The Great Estate Group has had issues with valuations; mainly for three reasons: lack of reliable indicators, scarcity in recent historic comparisons and absurd alternative valuations.
The OMI (the study of the real estate market in a specific area), by their own admission, is based on less than 40% on data from actual transactions, the remaining is from surveys, polls, personal knowledge, etc.
So in the face of this clear system deficiency, the Great Estate Group is working on unique and innovative IT software that will be able to make objective and true valuations.
This powerful IT tool, created in the belief of the group’s founder, Stefano Petri, that only through repricing, will the real estate industry’s recovery be achieved of which we are pivotal.
This “battle” for the right price to be in line with market values is a goal that the Great Estate Group has been aiming at for several years.
The ‘inflated’ pricing distorts market values, influencing other sellers and giving the impression to serious buyers that nothing has changed. It is for this reason that the Great Estate Group for several years now prepares true and non-negotiable valuations. Prior to a property acquisition, a valuation is carried out, based on scientific criteria like the market value and its profitability.
Most real estate agents however multiply the average value of the property’s total size and make a valuation, without taking into account that the value can go down as well as up. It all depends on the property type, sunny position and location, finishes, the condition of the doors, windows, floors, the walls, the bathrooms, as well as the condition of the property as a whole. Thus obtaining a price not in line with the market value.
Much thorough work is carried out to give an accurate valuation which is often challenged by sellers who have expectations out with the current market. To overcome this problem, which is the basis of the housing market crisis, Stefano Petri, is working on a new project that will revolutionize the preparation of a true valuation in line with the market. This is the solution to bridge the gap in the lack of reliable indicators.
The Great Estate Group will continue to make professional valuations in line with the current property market while awaiting the launch of this important IT tool.
Edited by Valentina Fabbrizzi and translated by Tanya Pia Starrett
