Veros delivers AVM confidence scores on a scale of one to 100 that are designed for easy integration into automated systems. Our confidence scores are proven to be highly correlated to the accuracy of the estimate of value.
The Veros Confidence Score is specifically designed to be an indicator of the subject's valuation accuracy. Each major confidence range in our system generally corresponds to a 5 percent variance. Thus, values with confidence scores of 90 to100 generally correspond to +/- 5 percent of variance and values with confidence scores of 80 to 89 generally correspond to +/- 10 percent variance, etc.
Veros' Confidence Scores are focused on and measured by median absolute error rates, the best single indicator of central tendency. Further, understanding errors are not normally distributed; Veros can identify expected errors for specific valuations based on empirical distributions (e.g. the 95th percentile error) for a variety of fully customizable risk scores
The Veros Confidence Score utilizes proprietary techniques to evaluate numerous factors and their relationship to our valuations. For example, we analyze the multiple valuation methods running behind the scenes to identify patterns reflective of accuracy levels. These factors include patterns and relationships reflective of accuracy identified in Veros' multiple valuation methods, property fitness analytics, and a host of collateral analytics including property types, price levels and geographic/regional influences.
Recognizing the importance of effective use, Veros consistently delivers the highest percentage of values at the highest levels of confidence. Simply stated, Veros delivers the highest number of accurate values.