Property Score Methodology
Short answer: The ARDH property score is a structured composite view of location quality, market alignment, and risk—not a single guaranteed market price. It helps you compare deals consistently before deeper legal and technical due diligence.
Key takeaways
- Scores summarize factor impacts on estimated value and risk
- Geographic data comes from OpenStreetMap-verified context
- Premium reports show per-factor percentages and confidence
- Scores support decisions; they do not replace appraisals or title review
Definitions
- Property score
- A qualitative-to-quantitative summary of how location, features, and market signals affect estimated value and risk level.
- Factor adjustment
- A documented percentage impact applied when a property attribute or location condition deviates from the base case.
- Risk flag
- A highlighted concern (access, terrain, market mismatch) that may require on-site or legal verification.
What the score represents
The score reflects relative attractiveness and risk for the inputs you provide. It is built from transparent dimensions rather than a hidden formula.
- Alignment of asking price with local price-per-m² context
- Strength of location and infrastructure factors
- Severity of identified risks
- Consistency between declared features and market norms
Scoring dimensions
Dimensions are evaluated independently then synthesized in the report narrative:
- Location & access (roads, amenities, terrain from OSM)
- Market & pricing (comparables, listing context when available)
- Property attributes (type, surface, declared amenities)
- Investment fit (yield/ROI where inputs allow)
Risk factors
Common risk categories surfaced in reports include:
- Difficult or unverified road access
- Slope, flood exposure, or irregular plot shape
- Price materially above micro-market median
- Incomplete or low-confidence listing extraction
Interpretation guide
Use the score band together with the factor table—not in isolation:
- Strong: favorable location and pricing vs context; still verify title and condition
- Moderate: mixed factors; negotiate or request more data
- Elevated risk: multiple flags; prioritize legal and technical review
Illustrative score bands (educational)
| Band | Meaning | Typical action |
|---|---|---|
| Strong | Factors largely support value | Proceed with standard due diligence |
| Moderate | Trade-offs present | Negotiate and validate assumptions |
| Elevated risk | Material concerns flagged | Deep dive before commitment |
Frequently asked questions
Is the property score an official appraisal?
- No. It is decision-support output from ARDH’s factor-based model, not a licensed appraisal for bank collateral.
Why do two similar properties score differently?
- Coordinates, declared features, listing context, and market comparables can differ. Small input changes can shift factor impacts.
Can I compare scores across countries?
- Use scores for relative ranking within the same market and asset class. Cross-country comparisons require local expert context.
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