Category: Uniform Appraisal Dataset

Appraiser GLA vs Assessor GLA 8

Appraisers’ GLA vs Assessors’ GLA

Appraisers, today (4/30/15), Freddie Mac released a document showing Warning and Fatal codes that will trigger if certain items are found in your reports sent to Freddie Mac through the Uniform Collateral Data Portal (UCDP), as of June 30, 2015. In 25 pages of codes, only 4 are ‘fatal’ and those are for items you should not be overlooking. See the PDF below and take a moment to look over the document. The very first ‘warning’ code is this one, which has two variations: FRE1001 The gross...

Fannie Mae Lies 7

It’s Not a Comp, It’s a Sale; Stop Fannie Mae Lies!

Appraisers, Something’s been gnawing at my craw ever since January when FNMA’s wonderful Collateral Underwriter (CU) was unleased to the world.  And before that, when FNMA’s Appraiser Quality Monitoring (AQM) process was introduced, and which is still in use to judge the work of appraisers. No one else has written about this, or even mentioned it, so I will:  It has to do with the word “Comp” which is used liberally by Fannie Mae (FNMA). What exactly is a “Comp?” In FNMA’s world, it’s any...

Helpful Appraisal Tips 4

Helpful Appraisal Tips From the Seattle Chapter of the Appraisal Institute

Last Fall I had the pleasure of attending the annual conference presented by the Seattle Chapter of the Appraisal Institute. I was able to sit in on some interesting educational sessions. With all the conversation in industry surrounding CU and other initiatives directly impacting appraisers, I felt highlights from the educational sessions would be beneficial. The following information is from a presentation by Clark Dickson with HomeStreet Bank called, “Appraising for Lenders in Today’s World.” Mr. Dickson’s presentation was about appraisal quality and what it...

I-Did-not-Quit-when-HVCC-UA 8

I Did Not Quit when HVCC, UAD and CU Came Along. I Do Not Quit, Not Ever!

I do not quit. Not ever. I have a different perspective based on lifelong lessons from my father. I did not quit when a lost helmet in the last play of the season made it painful to block during high school football. That effort got me my school letter despite being 3 quarters short. It was worth the headache. I did not quit Boot Camp in 1969 when at 129 pounds and six feet, very few thought I’d make it. To this day I am proud...

FNMA CU Training 6

New Fannie Mae CU Training Video

Appraisers, FNMA has released a new training video that helps lenders understand how to PROPERLY use Collateral Underwriter, which in some cases has not been happening since Jan. 26, 2015. By reviewing this info, you can learn how to write reports that pass the CU evaluations, and make your reports more complete and accurate. But keep reading. One thing I find interesting is CU assigns a unique ‘appraiser number’ for every appraiser who has reports submitted by Lenders to the CU.  They don’t just use the...

Rules Compliance Regulations ~copyright AppraisersBlogs 6

CU and Appraiser Regulation

Whether you believe Fannie Mae’s comprehensive rollout of Collateral Underwriter will finally weed out the lazy form-fillers or it will end up euthanizing the aging residential leg of the profession once and for all, is not the subject of this article. There are plenty of blogs, articles, and seminars that are wrestling with the efficacy of CU and its long-term impact. To be sure, the profession has entered the new age of big data. Residential appraisers will need to navigate regression analysis, heat maps, trend lines,...

Enough is Enough ~copyright AppraisersBlogs 11

Original Comparable Photos

I recently received an AMC update and reminder about the need for and why actual comparable photos are necessary. My reply: Original Comparable Photographs: Scope of Work Point 3: Inspection of the comparable sales from at least the street. This requirement does not tie the appraiser to a specific time for that inspection.  Geographical competence would have the appraiser in the area of the comparables many times, and depending on the appraiser’s experience, for many years. Taking a photo a month, six months,  a year...

CU survey results 0

“Should CU be Transparent” Survey Results

FNMA’s CU is causing a big industry ruckus. ICAP member Keith Wolf, SRA, AI-RRS, created a survey in January because opinions being posted across multiple message boards and blogs are fragmented. The results of this survey are out and show that a vast majority of appraisers believe Fannie Mae CU should be transparent.  Nearly 70 percent of appraisers said that they will increase fees to cover the extra work CU may cause and 80 percent believe that CU risk scores will cause lenders and AMC clients...

CU no adjustment 3

If I Cannot Support a Small Adjustment, I Just do not Make it

The most feared date in the appraisal industry has come.  January 26, 2015 arrived with much trepidation and trembling amongst myself and my appraiser colleagues.  The day of the Collateral Underwriter (CU) had finally arrived.  Yet, it turned out to be a pretty typical day for most.  We are now over a week removed from the CU and I have yet to receive even one CU-related revision request.  I guess that means one of two things; either I am an incredibly talented appraiser who uses...

Fannie Mae CU Lender Letter FAQs ~copyright AppraisersBlogs 5

New Fannie Mae ‘Lender Letter’ About the CU process

Appraisers, The latest FNMA Lender Letter was released on February 2, 2015 (see PDF below). You really should print and read this new letter. It attempts to smooth over lots of ruffled feathers among appraisers, AMC’s, Lenders, Underwriters, etc.  To be honest, I find a bunch of ‘pipe dream’ info in this document. Items such as: CU is a Fannie Mae–only risk management tool. ==> Freddie Mac is said to be working to implement this or a similar process very soon CU does not accept or reject...

CU scoring based on anonymous appraisers 5

Now Appraisers Must Conform to the Opinions of Unknown Persons of Unknown Competence!

Appraisers, Many of you know I scan various sources for appraiser/appraisal related info, and send out items I think are important. Well, today Collateral Underwriter (the extraordinarily SECRET process developed by FNMA and given ONLY to LENDERS for report review) started. As predicted by many appraisers, it already generated responses appraisers are forced to deal with, primarily because the reporting appraiser’s data (in the report) is different from “peer” reports. As a poster to one of the forums said:

CU is here dont panic 3

Collateral Underwriter Starts Today – Don’t Panic!

Fannie Mae’s new “tool” for lenders is the Collateral Underwriter (CU). This is a review program available to lenders so that they can compare the work of an appraiser on a property to other work the appraiser has done and to what other appraisers have done on appraisals of the subject property. This program compares your report to others. Comparing your work to all of the information they have in their database, using data from other appraisers to evaluate your work. DON’T PANIC! Remember when...

Comps exchange database for appraisers 5

Appraisers to Have Access to the Same Data that’s Being Used to Judge Them

I’ve always said that I think it’s insane that everyone has access to appraiser-provided data EXCEPT the appraisers who generated the appraisals in the first place.  That needs to be fixed.  So, we’re creating a system enabling you to seamlessly share comps among yourselves.  You’ll have the same data that’s being used to judge you.  We’re confident it will be effective:  a la mode users alone generate enough appraisals per day to cover the entire market with high quality subject and comp data.  With just...

Census Tract as Neighborhood Boundaries in Appraising 1

Census Tracts & Appraising

  The latest ‘buzz word’ in our profession is an indication from Fannie Mae that as of Jan. 26, 2015, their Collateral Underwriter electronic review software (made available only to Lenders/AMC’s for 1004 and 1073 reports)  will be able to compare your report info to other property reports and data narrowed down to a local CENSUS TRACT. In my previous messages, I’ve asked a basic question: When’s the last time you actually researched comparable sales or other property info based around local CENSUS TRACTS? I...