Abstract: A subject property and a corresponding default pool of property sales are determined as a general market for the subject property. Revised property characteristics are submitted to define a new sub-market for the subject property. In connection with this, a map image is displayed depicting the subject property along with properties included and excluded from the sub-market. Functional relationships between selectable property characteristics for the general market and the sub-market are generated, and graphs depicting the same are rendered accordingly. In one example, the distribution of any selectable property characteristic for the general market and the sub-market are concurrently displayed in a graphical image. Interfaces are also provided for individually including and excluding properties from a sub-market.

Abstract: A method and system for evaluating the performance of a study group of loans relative to the performance of a control group of loans is presented. The described method includes determining a study group and a control group from a portfolio of individual loans, determining a set of control variables associated with each of the individual loans included in the study group and the control group, partitioning the control group into one or more cells based on the set of control variables, calculating an estimated performance value for each of the individual loans in the study group based on the cells; and calculating a performance difference for the study group. The performance difference has a standard normal distribution with zero mean which allows statistical significance to be estimated using standard probability tables. The control group may either include or exclude the individual loans in the study group to eliminate inaccuracies.

Abstract: A method and machine-readable media are provided for estimating property values. An exemplary method includes obtaining a first estimate of a property from a first property valuation database, the first estimate exhibiting price tier effect bias. The method further includes deriving a price tier effect adjustment factor based on a price tier associated with the property and purchase transaction data. The method further includes adjusting the first estimate to reduce the price tier effect bias using price tier effect adjustment factor, thereby providing a second estimate having reduced price tier effect bias.

Abstract: A method and system for evaluating loan repurchase risk are disclosed. The method includes receiving information related to the loan and determining a loan repurchase risk based on the information. The information may be used to determine a joint probability of an underwriting discrepancy sufficient to trigger a repurchase request and an adverse event in connection with the loan, such as default or delinquency. A repurchase report may provide feedback regarding factors contributing to a repurchase risk. In one embodiment, depending on the repurchase risk, the purchaser may waive repurchase rights in connection with the loan, thereby reducing the requirements of the seller to reserve capital for the loan.

Abstract: A method of determining a probability of an adverse event in connection with a loan (such as, delinquency, default, or prepayment) based on a predetermined set of loan parameters comprises determining whether loan variable data is available for each of the loan parameters. If loan variable data is available for each of the loan parameters, the probability of delinquency within a period of time is estimated as a function of the loan variable data. If loan variable data is not available, the probability of delinquency within a period of time is estimated by imputing the loan variable data that is not available.

Abstract: A method and system are provided removing systematic bias from property value predictions obtained using automated property valuation models. The systematic bias is removed by deriving monthly adjustment factors that are location-specific. The monthly adjustment factors are obtained by comparing newly obtained purchase transaction data to model-generated valuations of properties in a base valuation database. The newly obtained purchase transactions may be obtained from newly obtained data on recently completed purchase transactions and loan application data on future purchase transactions. The monthly adjustment factors are applied to the property valuations in the base valuation database to obtain adjusted property values having reduced bias and thus improved accuracy.

Abstract: A method and system for evaluating loan repurchase risk are disclosed. The method includes receiving information related to the loan and determining a loan repurchase risk based on upon the information. The information may be used to determine a joint probability of an underwriting discrepancy sufficient to trigger a repurchase request and an adverse event in connection with the loan, such as default or delinquency. In one embodiment, depending on the repurchase risk, the purchaser may waive repurchase rights in connection with the loan, thereby reducing the requirements of the seller to reserve capital for the loan.

Abstract: A system for evaluating risk associated with a mortgage loan includes an automated underwriting engine configured to calculate a first risk indication and a second risk indication for the mortgage loan. The first risk indication is based on mortgage loan application data received for the mortgage loan, and further based on at least one of interest rate risk and collateral risk associated with the mortgage loan. The second risk indication represents a probability of an adverse event associated with the mortgage loan. The probability of the adverse event is determined based on the mortgage loan application data. The system also includes user interface logic configure to provide a user interface, and further configured to provide the first risk indication to a lender in the form of an underwriting recommendation for the mortgage loan, and to provide the second risk indication to the lender in a form which is useable by the lender to manage the risk associated with the mortgage loan.