Before we dive into what makes Voxtur Analytics (
TSX-V: VXTR; OTCQB: VXTRF) a standout PropTech company (and an undervalued investment opportunity), it’s worth highlighting a few recent developments:
–Voxtur has seen revenues increase 300% year-over-year and is poised for continued triple-digit (if not quadruple-digit) growth in the coming years. –Voxtur’s appraisal and lending products are quickly becoming industry standard. Prior to the company’s acquisition of Anow in April, the Anow platform was already being used by thousands of appraisers and valuation professionals around the world. It has since been adopted by a top wholesale lender in the U.S. to connect its nationwide network of brokers and appraisers. –In August, Voxtur acquired Xome Valuations, further strengthening its foothold in the valuation space and strengthening important strategic alliances with Xome clients. Now, for the uninitiated, we offer a deeper dive into Voxtur’s unique business offerings, starting with
Voxtur Valuation.
Anyone who has bought, sold or refinanced residential property knows the real estate industry is ripe for technological disruption. At each stage of the transaction, stubbornly analog or outdated systems cause unnecessary delays and added costs for consumers and lenders alike.
Take the appraisal process, for example, usually the first step in any real estate deal. The process is most often initiated by the lender, who reaches out to their network of suppliers to book an appraisal. The appraisal company assigns the job to an appraiser, who contacts the property owner by phone or email to arrange a visit. More often than not, the scheduling requires some back-and-forth before a booking is finalized. The appraiser does front-end research, analyzing the market and finding comparable properties and recent sales. Again, the process is time-consuming and the results scattershot, drawn from disparate sources and random (if not flawed) data. And the results can be just as unreliable in the back-end review process.
The entire exercise takes an average of seven days to complete—up to a month in some areas. For that, both borrower and lender receive an emailed PDF of the appraisal, which is promptly filed away until it expires three months later and is never seen again.
Now, imagine an appraisal process that is automated, streamlined and—rather than a doomed PDF—results in a decentralized digital file that exists for the virtual lifespan of the property. Imagine the lender initiating the process with a click on a clean, user-friendly interface, automatically connecting borrower and appraiser for things like scheduling and payment. The appraiser then researches the property using the most robust and authoritative AI-driven property database available, resulting in a faster and more accurate valuation. The appraisal is delivered in a fraction of the time as a digital file that resides in an integrated database accessible to everyone—appraisers, lenders, investors, and consumers. In a virtuous cycle, the updated appraisal serves to further inform and enhance future valuations.
This platform is only one of many revolutionary advancements on offer from Voxtur, whose mission is to bring real estate transactions into the digital age. Over its nearly 20-year history, Voxtur (previously iLOOKABOUT Corp.) has quietly but aggressively built an arsenal of property-related data, putting it well ahead of more recent entrants in the space. Starting with its original application, StreetScape—a smart image-capturing technology and database of high-quality, geocoded images—the company has amassed a stable of AI-driven add-on technologies, including advanced mapping tools, aerial imagery, property valuation, market analysis and more. Its superior proprietary technology has made it the go-to provider of data analytics and software solutions for the entire real estate ecosystem, covering valuation, tax assessment and title and settlement services, for lenders, investors and governments across North America.
In order to further bolster its offerings and expedite growth, Voxtur has made several strategic and accretive acquisitions, buying companies with synergistic technologies that could be quickly and easily integrated into its suite of services—which brings us back to Anow.
Anow, originator of the revolutionary platform mentioned above, is the creation of Marty Haldane, an entrepreneur hailing from a family of property appraisers. Haldane designed the platform as a workflow management system to help fellow appraisers (and appraisal companies) run their businesses more efficiently. The end-to-end, subscription-based service manages everything from orders to accounting. It even features a patent-pending Express Order Program—a “beacon” system through which appraisers can signal their availability on their mobile device should they find an opening in their schedule.
“The process of valuing real estate has been relatively unchanged for decades,” says Haldane. “We are arming appraisers with tools that not only make them more efficient and profitable, but also connect them directly to mortgage lenders and appraisal management companies through strong integrations that streamline how appraisals are scheduled and delivered. Everyone involved in that scenario wins—especially the borrower when their loan closes faster.”
Voxtur acquired Anow in April of this year, and the benefit was quickly felt across business units. For example, Anow’s two main platforms (lender-facing and appraiser-facing) are now underpinned by Voxtur’s industry-leading database, deepening its analytics offering. The company’s U.S. client base grew exponentially and now includes one of the largest wholesale lenders in the country. The Anow platform is quickly becoming industry standard across North America as appraisers, lenders and government agencies increasingly look to third-party providers to solve their lagging tech issues. It doesn’t take an investment guru to recognize the enormous business opportunity this industry-wide disruption represents. And Voxtur is perfectly positioned to capitalize on the rapidly expanding market.
Gary Yeoman, Voxtur’s Executive Chairman, is prone to understatement, preferring to temper expectations rather than boast about the company’s achievements. Still, one detects a hint of excitement in his voice as he lays out his strategic vision and the once-in-a-generation opportunity he sees for Voxtur and its investors. Yeoman knows of what he speaks. He’s an industry veteran whose credentials include running Magna Corporation’s real estate division, founding the now $2.3-billion Altus Group, and being the inaugural investor and board appointee for Real Matters. He now leads a powerhouse board of directors that includes Voxtur CEO Jim Albertelli, a seasoned real estate lawyer and tech entrepreneur; Joseph J. Murin, a well-connected veteran of the U.S. mortgage and real estate industry (and former president of Ginnie Mae); Mike Harris, the former premier of Ontario; and James Kelsey, former vice chairman of commercial banking at BMO.
Despite his impressive track record, Yeoman thinks Voxtur has more upside potential than any organization of which he’s ever been a part. The evidence for this claim may soon be more apparent, as the company continues to execute on its stated plans and meet or surpass targets. It is already seeing the fruits of recent acquisitions and is heading into its final quarter with favourable economic tailwinds. The recent lifting of the foreclosure moratorium in the U.S. is but one example, as revenues from Voxtur’s default products were conspicuously missing throughout the pandemic. That’s all about to change, and Voxtur is prepared to capitalize on opportunities in this dynamic lending environment.
FULL DISCLOSURE: Voxtur Analytics is a client of Stockhouse Publishing.