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RAAM

Value investor

Weights for an investor

This is the Value investor preset. The ranking follows price per foot, then the age-based condition estimate, then year built again at a lower weight. Schools, commute, and diversity stay at 5 so a lifestyle story cannot outrun the numbers.

Who this is for

You are underwriting a purchase, not choosing a Saturday. A house that is a pleasure to live in and a weak price per foot should lose.

You know condition is not a rent roll or a cap rate. It is here so an old building cannot win on price alone. It will not tell you the remaining life of the roof.

The weights

These are the Value investor numbers in the builder (value-investor). They add up to 100. Nothing else is changed when you start from this page.

Value investor weights
FactorWeight
Value for moneyThe lead weight. A house at twice the stored reference price per foot scores 0, which is 35 points of the total against a house that scores 100. That is the whole point of the preset. The reference is town median ÷ 1,500, and it does not move with this month’s sales.35
Condition and systemsSecond, so the bargain has to be young enough to score. New versus 50-plus years is 12.5 points. A renovated shell of the same year does not get those points back.25
Home ageThird. Combined with condition, year built is doing a lot of work. A house under 5 years scores 100 on age and 95 on condition. A house of 50 years scores 50 and 45. At these weights that is 7.5 plus 12.5, or 20 points, before value is considered. Drop age if you specifically buy older buildings and only want condition as a light check.15
Lot sizeLand can matter for an exit or an addition. Ten points. The ratio caps at 2, so extra acreage stops helping.10
School qualityFive points. A district can support rents and resale, and this profile refuses to let it lead. Raise it if the thesis is “families will pay for this town,” and take the points from value only if you mean that.5
Community diversityFive points, on the report, not in the thesis. The default value is a stored city index.5
Commute accessFive points. A job center supports demand. The default score is not a drive-time to that center unless the listing carried a commute figure.5

Change it before you save

  • This preset does not model rent, taxes, insurance, or vacancy. A high score is not a return. Use it to order showings, then underwrite.
  • If you buy value-add and the plan is a renovation, condition at 25 will bury the buildings you want. Lower it before you save.
  • Outside the stored city list, the value score is 50 for every house. The preset’s main weight then adds the same number to all of them. Lot, age, and condition are what still rank the list.

Other profiles

Start with this preset

The button opens the builder with these weights filled in. You still enter your details and requirements. The weights are waiting on the weights step, and Reset puts back the usual default. A builder link with no preset is unchanged.

Start with this preset