Estate Master Software

Estate Master Software
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Estate Master Software
The emergence of property management software has been instrumental in the development of more advanced approaches to estate valuation but also presents various challenges associated with computer-generated valuation models and spreadsheets. An example is Estate Master, a software that was developed by property professionals to provide a flexible and user-friendly interface for property management. This paper is a discussion of the advantages and disadvantages of computer-generated valuation models and spreadsheets such as Estate Master.

There are various advantages associated with valuation models and spreadsheets that are computer generated including speed, accuracy, cost efficiency, higher performance capacity and elimination of human bias and possible fraud. Computer-generated models are faster than humans and are therefore likely to perform valuations faster, hence saving time (Downson & Robson, 2007). Regarding accuracy, computer-generated models are highly precise, and this eliminates the possibility of human error (Mitropoulos, Wu & Kohansky, 2007). Due to automation, computer-generated models provide cost efficiency through reducing costs, time and effort (REINSW, 2018). Valuation software can accommodate a considerable amount of data compared to human brains. This also includes complex equations and processes, making it easier to do valuations and hence promote decision making. Computer generated models also eliminate possible human bias, which may influence the value property.

On the contrary, these models and spreadsheets have various disadvantages. The first disadvantage is the lack of a human element. Software such as Estate Master cannot provide a realistic value because they do not incorporate intangible values that only human beings can identify including changes in the neighborhood, recent renovations and the property’s physical condition (REINSW, 2018). These tools only assist in valuation but cannot equal the rigorous valuation process that involves inspection, verification, validation, and analysis that professional valuers conduct (Khoo, 2016). The possibility of computer error or malfunction is a notable disadvantage. While they are high-performing, software is developed using human knowledge, and any error could lead to inaccurate results (Matysiak, 2017).
In summation, despite their advantages, computer-generated valuation models and spreadsheets come with various risks, mostly based on their inability to value intangible property aspects.

References
D’Amato, M., & In Kauko, T. (2017). Advances in automated valuation modeling: AVM after
the non-agency mortgage crisis. Cham, Switzerland : Springer.
Downie, M. L. & Robson G. (2007) Automated Valuation Models: an international perspective.
London: Council of Mortgage Lenders.
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Khoo, L. (2016). SISV rejects computer-generated valuations. Retrieved from
HYPERLINK “https://www.businesstimes.com.sg/real-estate/sisv-rejects-computer-generated-valuations” https://www.businesstimes.com.sg/real-estate/sisv-rejects-computer-generated-valuations
Matysiak, G. (2017). Automated Valuation Models (AVMs): a brave new world? Wroclaw
Conference in Finance 2017. Retrieved from HYPERLINK “https://www.researchgate.net/publication/319355261_Automated_Valuation_Models_AVMs_a_brave_new_world” https://www.researchgate.net/publication/319355261_Automated_Valuation_Models_AVMs_a_brave_new_world.
Mitropoulos, A., Wu, W. & Kohansky G. (2007) Criteria for Automated Valuation Models in the
UK. London: Council of Mortgage Lenders.
REINSW. (2018). Art or science? The role of computer-generated or valuations. Retrieved from