Research On The Improvement Of Traditional Housing Real Estate Price Evaluation Method

Recently, a large number of real estate transactions emerge with the rapid development of the real estate market. The demand of price assessment of a certain real estate increase for both sides of the real estate transactions.It would be consumed lots of manpower, material and financial resources if we assess the price of real estate based on the traditional real estate appraisal method. And the procedure would be time consuming. The use of the data of real estate which has been traded is inefficient. So it is difficult to meet the demand of the real estate market.The purpose of this paper is to improve the evaluation methods which is the market comparison approach of the traditional residential real estate.The main idea of the paper is as follows.1 Establish a sound database of the real estate informationEstablished a Quantitative System for the Qualitative factors that affecting the price of the real estate. Collect and arrange the data of the real estate that has been traded in the real estate market, and then quantified the characteristic factors. The establishment of the real estate database can increase the efficiency of the data of real estate that has been traded.2 Using GIS technology collecting the examples of real estate that has been tradingUsing GIS technology collecting the examples of real estate which located near the area of the real estate to be estimated.And these examples collected must has been traded recently.And then select the real estate that has the same characteristic factors which is difficult to quantify with the real estate to be estimated, transactions and the property rights of the real estate etc. It can reduce to some extent the influence of the regional factors on real estate prices as the examples collected and the real estate to be estimated are in the same area.3 Select the examples of comparable real estateThe data of a certain real estate corresponds to a multi-dimensional vector after quantifying the qualitative data of the real estate. Then Select the examples of comparable real estate which is similar with the real estate to be estimated according to the calculated distance between the vectors. This method of selecting comparable real estate can largely exclude theappraisers’ subjective factors.4 Using BP neural network establish the evaluation modelUsing the data of the comparable real estate for the network learning and training, according to the capability of neural network that can handle complex nonlinear mapping. After training,the network can adapt to the current real estate market. It can be more scientifically and objectively when using the network to assess the price of the real estate.