Patent ID: 7853518

Claim:
A computer-based method of calculating a safe score for a property comprising the steps of: gathering data related to a property from a database, the data comprising a current loan balance on said property, a margin of safety, an automated valuation of said property, and a forecast standard deviation, wherein the margin of safety is an amount or percentage above the current loan balance, and the forecast standard deviation is a forecast of a standard deviation for an automated valuation model used to generate the automated valuation of said property; calculating, using a processor, an exposure value for said property using the current loan balance on said property and the margin of safety; calculating, using the processor, an exposure variance for said property using the automated valuation of said property and the exposure value; converting, using the processor, said exposure variance for said property into sigma units using the forecast standard deviation and the exposure variance, wherein the sigma units is a measure indicating a likelihood that a true value of the property is greater than or less than the exposure value; and determining, using the processor, a safe score using the converted exposure variance in sigma units.