Hello Everyone,
I am new here but I am wondering if anyone heard of Automated Valuation Models (also known as AVMs). This is a class of models used to predict the real estate valuation of a property (house or unit) at point of application for for a Mortgage (for instance).
This is being used more and more by banks to speed up the process and reduce costs.
I am interested to know if anyone know of any Basel II capital compliance issues (or ruling from any local regulator) on this type of model.
Thank you in advance.
Marcelo
