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automated valuation model

   Also found in: Dictionary/thesaurus, Medical, Acronyms 0.03 sec.
automated valuation model (AVM)

Originally a computerized method of estimating large numbers of property values in an efficient,if not entirely accurate,manner;frequently used by tax appraisers to periodically reappraise properties for purposes of real estate taxes. A disgruntled property owner may appeal the valuation and present evidence the computer made a mistake in that particular instance. Today, AVM artificial intelligence has progressed to the level of respectability that lenders use it to appraise property for mortgage loan purposes and the IRS uses it to evaluate a taxpayer's assets.



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Products and services of Commerce Title and affiliates include title insurance policies, title reports, settlement closings, ownership and encumbrance searches, uniform commercial code searches, environmental deed services, 1031 exchanges, home improvement reports, full appraisals, automated valuation model (AVM) appraisals, appraisal reviews, property information reports, and pre-foreclosure information reports.
CoreLogic, the leading provider of mortgage risk assessment and fraud prevention solutions, announced significant enhancements to its cascading Automated Valuation Model (AVM) solution, AVMSelect[TM], that delivers increased hit rates and valuation accuracy within its standard system while enabling cascade customization at a greater level of detail where needed.
As demonstrated by Fitch Ratings' revision of its criteria for rating residential mortgage-backed securities (RMBS) backed by properties valued solely with an automated valuation model, which it had previously discounted by 10 to 15 percent in some regions.
 
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