Hometrack

Hometrack is an independent property research company.

It provides up-to-date residential property market information and automated valuation services to consumers, estate agents, mortgage lenders, developers and Local Government using the Internet as its primary delivery mechanism.

The challenge

Hometrack provides fast and accurate residential property valuations through Realtime Valuation System™, its proprietary Automated Valuation Model (AVM). The model is calibrated using a comprehensive range of data sources including a database of surveyors' valuations, Land Registry information, Ordnance Survey data and the Hometrack Index™. However, Hometrack also needed a reliable socio-economic dataset to underpin the clustering process for selecting comparable properties.

The solution

Hometrack licensed ACORN, CACI's leading geodemographic dataset, after comparing it to alternative products on the market. Recently rebuilt using the most up-to-date information from the 2001 Census as well as millions of lifestyle surveys and a host of additional data sources, the new ACORN is the most accurate and comprehensive targeting system CACI has ever built.

ACORN is an ideal solution for clustering comparable properties since it classifies every UK postcode into one of 5 categories, 17 groups and 56 types according to the geodemographic profile. The profile is based on a wide range of factors including housing type and tenure, family structure, work and education, income and investments, ethnicity and lifestyle.

The results and benefits

Following the addition of ACORN, Realtime Valuation System™ has a much improved comparables selection, which has led to a significant improvement in the overall accuracy of the system. Hometrack's AVM is now one of the most advanced in the world, delivering unsurpassed accuracy for UK residential valuations.

Patrick Curry, Managing Director at Hometrack comments,

“We chose ACORN because we liked the solution and found it to be more cost effective and easier to implement than other products on the market. Since incorporating ACORN into our Automated Valuation Model, we’ve seen a significant improvement in the comparables selection and overall accuracy of the system.”