General Disclosures (For US Markets)

 

Data Source

Radar Logic prices are computed using public-record data, which it purchases.  All such raw data is “AS IS”, and no representation or warranty with regard to such raw data is given or implied.  All data originate in municipal offices, including recorders’ offices, assessors’ offices, and building departments, among others.  It is possible that the company may use additional sources of information in the future.

Square Footage Definitions

Square footage is measured and labeled by the taxing counties and municipalities according to their internal methodologies, in some cases by estimation.  Wherever possible, Radar Logic uses the metric that the localities designate as “living area square feet.”  Where this is not available, Radar Logic uses, in order of preference, the metrics for “universal building square feet,” “building square feet,” and “adjusted gross square feet.”   The square footage used is the most recent measurement available at the time the transaction record was received.  Due to the nature of the historical data, in some cases this may result in the pairing of a historically accurate sale price with square footage data from an assessment that occurred after the transaction.  Any impact this may have had will be resolved for current and future data sets, for which the price and square footage data will be contemporaneous.

7-Day and 28-Day Prices

Radar Logic’s 7-day and 28-day prices are not moving averages; rather, they are computed using the same methodology as the daily prices, but aggregating all the transactions from the time period into a single input dataset.  For example, a 7-day value for a given day would use the transactions from that day plus the six previous calendar days—a 7-day value for a given day would use the shape parameters from that day, but would calculate the position parameter based on the data from that day plus the six previous calendar days. Please see the Radar Logic Methodology White Paper for information about the definition and role of the parameters in the price calculations.

Transaction Dates

A range of dates is often involved in closing and recording a real estate transaction.  Radar Logic defines the ideal transaction date for the calculation of the daily price as the date upon which a deed is delivered in return for compensation.  The recording date is known for almost all transaction records received, but by definition does not occur until after the transaction has closed, sometimes much later.  Therefore, wherever possible, Radar Logic uses the "sale date" of a transaction, which is defined as the transfer date as written in the text of the deed.  In some cases this date may precede the actual closing, but all Radar Logic prices are calculated with the final sale price of only closed, recorded transactions.

In determining whether to use sale date or recording date as the transaction date for a given MSA, Radar Logic considers both the percentage of records for which sale date was known, as well as the effect on the index of excluding additional records for lack of timeliness (as the sale date precedes the recording date).  Within an MSA, the choice of sale date or recording date as the transaction date is consistent over a time frame.  Records without a sale date in an MSA for which sale date is the transaction date are excluded.

Weekend/Holiday Policy

Radar Logic reserves the right to revise such weekend/holiday policy.  You should revisit these General Disclosures, which may be revised from time to time, to receive updated information regarding such weekend/holiday policy.

Radar Logic will not publish prices for transaction dates that correspond to weekends and federal holidays.  The latter include: New Year’s Day; the birthday of Martin Luther King, Jr.; George Washington’s Birthday (President’s Day); Memorial Day; Independence Day; Labor Day; Columbus Day; Veterans’ Day; Thanksgiving; and Christmas. Transactions that have a transaction date of weekends and of these holidays are reassigned the date of the next valid transaction day.  Radar Logic will not reassign dates to transactions that occur on local holidays, holiday-related low-volume days (e.g., the day after Thanksgiving), or other days that are low volume as a result of inclement weather or other local dynamics.

Filter Definitions

Radar Logic reserves the right to revise such filter methodology.  You should revisit these General Disclosures, which may be revised from time to time, to receive updated information regarding such filter methodology.

Filtering for Relevance

These filters are designed to include records that are independent residential real estate sales.

Filter

What It Excludes

Dates of
Application

Notes

Property indicator code

Records labeled as property types other than single-family residences, condominiums, duplex/triplex/quadplex units, apartments (below a size threshold), and undetermined property types

All

Excludes non-residential property records (retail, industrial, agricultural, etc.) included by the data sources

Transaction type

Records for all transactions not labeled as re-sales or sale of new construction

All

Designed to include all title transfers for value, and exclude other types of title transfer (e.g., inheritance)

Corporate construction

Records that appear to be construction loans

All

 

Intrafamily and other non-arm’s-length

Records that are marked as transactions between two members of the same family, or are otherwise flagged as non-arm’s-length (e.g., based on the deed type or notations written in the deed. In some cases, records may be flagged by a provider because they deviate significantly from an expected value based on internal models.)

All

 

 

Filtering for Data Sufficiency and Accuracy

These filters are designed to ensure that included records contain all the requisite information, are not likely to be erroneous, and are not counted more than once.

Filter

What It Excludes

Dates of
Application

Notes

Sale date
OR
Recording date

Records in which the sale date or recording date field (whichever is relevant for the MSA) is empty, ill- formed, before 1990, or occurs after the date that data was delivered from the vendor

All

 

Sale price

Records for which the sale price field is 0, empty, or Null

All

 

Square footage

Records for which all possible square footage fields are 0, empty, or Null

All

Often a function of individual municipalities’ disclosure policies

Stale data

Transaction dates prior to 5/30/2007: Records that we infer would have become available to Radar Logic more than 63 calendar days after the transaction date
After 5/30/2007: Records that came to Radar Logic after the price for the transaction date had been locked for publication, no earlier than 58 days after the transaction

1/1/2006 to present

Used to ensure continuity between historical prices and “live” prices, for which Radar Logic will include only records that have been received by the publication date. Historically, the process by which records are sent from the recording offices to data vendors was slow and inconsistent, so the constraint was not imposed until 2006, when the speed and consistency of the process improved near or at current levels.  Radar Logic may someday move the start date for the application of the filter forward, when it can be established that nearly all of the records for a given period have been received and detailed information about the impact of this filter can be published.

Multiple records

Records that appear to be redundant copies, multiple properties conveyed with one deed, or single unit sales with the square footage of the multi-unit building

All

 

TPL

Records that have a PPSF so low relative to the TPL spectrum that the information is presumed to be spurious

All

It is common for transactions of individual units within a larger structure to be recorded with the unit sale price and the building square footage, resulting in very low PPSF’s. (This will not be picked up by the multiple record filter unless another unit in the same building sold on the same day.) This filter will be replaced with more sophisticated filters in the future.

Repeat load

Prior records that are replaced by updated records received in time to include them in publication

All

Price calculation includes the most updated record available within the time frame specified for the stale data filter.

 

Radar Logic reserves the right to revise such filter methodology.  You should revisit these General Disclosures, which may be revised from time to time, to receive updated information regarding such filer methodology.

Transaction Counts

Counts represent transactions included in the calculation of the daily prices and may not reflect actual transaction volume in the market. Please see individual MSA disclosure documentation for details.

 

Disclaimer

The information on this website is not intended to, nor does it, provide any form of investment advice or make any recommendation regarding particular financial instruments, investments, or products.  Radar Logic does not provide investment advice or recommendations to buy or sell securities.  Radar Logic shall not be liable for any errors, inaccuracies, or delays relating to the data hereunder.  Radar Logic does not make, and hereby expressly disclaims, any representation or warranty of any manner in connection with the information provided on this website including, without limitation, with respect to its accuracy, completeness, or fitness for any particular purpose.  

 

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