On-line home valuations have become very popular and widely used these last few years. With the click of a mouse – Vuala, in an instant you’ve got a home’s value, right? Well ….sort of???

I recently heard the term “Wild A.. Guess” at real estate technology seminar to describe how one agent felt about the validity of on-line home valuations. And in a recent Wall Street Journal’s Smart Money Magazine article written by Alyssa Abkowitz entitled “The Fuzzy Math of Home Values” she uses the term “Fuzzy Math” to describe on-line home valuation’s less than desirable results. Humorous as it is, it does exemplify the frustration felt by many involved in the practice real estate.

But like it or not, on-line home valuations are here to stay. Proponents of these sites argue that they engage the consumer and offer a form of “sticky” interaction. Whether or not they will ever improve or at least attempt to have algorithms that resemble something more realistic is altogether another story. Even if they wanted to improve to the point of offering any amount of reliability, one key element will always be missing: Hedonic Pricing.

So what is “Hedonic Pricing” and why is it so important in home valuations? In short, it’s an economic term (housing in this case) used to define the price of a something based on its given external and internal attributes. Considerations such as a property’s age, condition, size, features, amenities, location, neighborhood, neighboring property values, access to shopping, schools, highways, and the quality of its air & water.

When REALTORS® preview homes new on the market and/or when they prepare a CMA (comparative market analysis) to help a Seller price a home or a guide a Buyer considering the purchase of a home – and to a larger extent, an Appraiser appraising a property for a lender (or other purpose), a Hedonic Pricing model is used in one form another.

The terms “functional utility” and “highest and best use” are terms you’ll never see referenced in an on-line valuation. Why, because only people can actually see these things for themselves and it’s often a professional who will help the consumer determine their effectiveness related to a home’s value. As an example, take two homes equal in almost all respects (let’s say both have master bedrooms on the main fl) with the exception of one on not having a bathroom on the main fl, let a lone a master bath next to the master bed room - missed by our friendly on-line valuation: functional utility!

So this begs the question: can the two co-exist? Sure, why not? – As long as the differentiation is truly understood. It’s a matter of educating the consumer to help them understand that on-line valuations are a starting point and shouldn’t be construed as the final determination of a home’s value.

Will the two ever be the same? ....

“Oh East is East and West is West, and never the twain shall meet” - Rudyard Kipling, The Ballad of East and West.

A house that radiates understated elegance. A neutral canvas; pristine & move-in condition; ready for your decorating touches- no expense is spared to complete this 5 bedroom home. The main fl is inviting & luxurious complimented by beautiful hw floors, soaring ceilings, & appointed w/crown molding & wainscoting. The gourmet kitchen features professional appliances (Viking) - w/a lg marble center island perfect for entertaining in style or a dinner w/the family. Tucked away is a lg in-law/au pair suite complimented by a kitchenette w/dishwasher. The refined living rm & family rm feature inviting fireplaces. The wide center hall staircase leads up to the 2nd fl w/master suite; the inviting bathroom offers an oversized shower w/double shower heads. A true place to relax! The 2nd level has 3 add spacious bedrooms, 2 baths & an over- sized laundry rm. The w/u attic allows for additional rooms or simply for storage. This home sits on a desirable street in Villanova easily accessible to all life's necessities.

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This carriage house offers you a maintenance free and a luxurious life style. Designed for everyday living this gracious home boasts elegance combined with traditional style. Neutral decor, nine foot ceilings, state of the art gourmet kitchen, gracious mill work and amazing sun light are just a few of the amenities of this home. Sitting on a prime location off the 18th fairway/green of Applebrook Golf Club the views are re splendid. The expansive flagstone patio has a sitting wall and allows for privacy yet a grand view of the beautiful club house.

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This 1-Story, 4-Bedroom/2Full Bath - Single Family Home with a Large Fenced-In Back Yard, Attached Garage, & Finished Basement is the perfect starter or step-down home also available for a quick settlement! You'll find a light and airy living room with adjacent dining room and skylight, a newer kitchen with cook top, double over, bar-nook, eat-in area with French doors to back yard patio, a finished basement with brick enclosed fireplace (can you say "man-cave"), master bedroom with master bath, main fl laundry, 3 additional bedrooms and hall bath - plus newer flooring in most rooms and plenty of storage throughout. All of this in a quiet setting and a convenient King of Prussia location -close to world-class shopping and dining, all major routes, plus don't forget about Upper Merion's low taxes!

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In the quaint village of the Ponds in Chesterbrook you experience a carefree lifestyle amidst country atmosphere and convenience. This beautiful end unit townhouse has been meticulously cared for and updated. The home features 3 bedrooms and a studio: 3 full baths and a powder room. Dining room with gleaming new hardwood floors, kitchen with new granite countertop, a cozy sun room, family room and living room with fireplaces: a full finished walk out basement not to be outdone by the pristine 2 car garage with newly painted floors. This is a rare opportunity in this very special village of 48 homes. This home comes with a one year home warranty. One time capital contribution from buyer at settlement.

For Additional Information & Pictures, Go To: www.212SpringhousePondDr.com

In the quaint village of the Ponds in Chesterbrook you experience a carefree lifestyle amidst country atmosphere and convenience. This beautiful end unit townhouse has been meticulously cared for and updated. The home features 3 bedrooms and a studio: 3 full baths and a powder room. Dining room with gleaming new hardwood floors, kitchen with new granite countertop, a cozy sun room, family room and living room with fireplaces: a full finished walk out basement not to be outdone by the pristine 2 car garage with newly painted floors. This is a rare opportunity in this very special village of 48 homes. This home comes with a one year home warranty. One time capital contribution from buyer at settlement.

For Additional Information & Pictures, Go To: www.212SpringhousePondDr.com

A true gourmet's delight! A kitchen beyond your dreams awaits you in this beautiful home. A home for today's modern family. The kitchen features tile floors, granite counter tops, glass tile back splash; cherry kitchen counters a Bosch dishwasher, Bosch exhaust fan and a decadent De Dietrick stove/oven flanked by its own water faucet. All the appliances are tastefully done in stainless steel complimenting all the colors of this dream like kitchen. The home houses 4 bedrooms and 3 full bathrooms and one powder room. The full bathrooms are all newly completed in a neutral décor. The basement is finished and walks directly out to the back yard. This home truly packs a lot of punch. The roof is brand new and the living room painted the latest and greatest new color - steel grey. You will be delighted to tour this home.

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Unique opportunity to own in Radnor's Greythorne Woods, an original Louis Nemeth townhouse design with the cozy feel of a small European village - and features one might find in an upscale single family home, this pristine 3-story townhouse offers an Eat-In Kitchen w/an entrance to a private front Patio & Garden, a Formal Dining Rm w/a Sky Light lit - step down Living area & dramatic 3-story loft, cathedral ceiling, slate FP (propane), & glass French drs from Living Area to a private backyard garden oasis & beautiful natural berm; 2nd fl Master Suite w/window seat & glass Palladium window, white ceramic tiled - Master bath w/separate shower & new glass surround, jetted tub, sky light & 2 lrg windows, a white ceramic tiled Hall-Bath, plus 3rd Fl Loft w/2 sky lights & large walk-in closet; can be study, office, or 3rd bdrm. Located blocks from the center of Downtown Wayne & the Train to Philly, this townhouse also backs the Radnor Trail w/a private entrance for your additional enjoyment. Garage (included) separately deeded.

For Additional Information & Pictures, Go To: www.20GreythorneWoodsCir.com