NO, NOT SMART AT ALL! Appraisers cannot make a decision on behalf of ALL clients they’ve done work for. They are asking for big, really big problems if a client clearly didn’t want the analysis or any portion of the analysis given to anyone. This is another attempt from Corelogic to obtain data they have no rights to. Although, in multiple appraiser shops many of the owners and or managers have already accepted this agreement on behalf of all the appraisers utilizing the software which now puts the associates performing the appraisal(s) in jeopardy. No matter how big a shop you work with or for, you (the individual appraiser) are legally responsible for what you produce and safeguard. Corelogic cannot take the data you analyzed and produced a product for your client and create a derivative product to pass around to other appraisers or potential third parties.
Here is one other issue with this “Smart Exchange” product. At a minimum (without consideration of Corelogics roll in the process) this is what happens. “Joe appraiser is doing an appraisal and Smart Exchange indicates that a “Peer” appraiser has utilized a comparable or even may have appraised a comparable which Joe appraiser wishes to use in his report. “Peer” appraiser rates this property at a C-3, but Joe appraiser thinks its thinks it’s a solid C-4. But because the fear of UCDP compliance issues and fear of having to answer a rebuttal request, Joe changes his rating to match that of the “Peer” appraiser. This in no way passes the USPAP smell test for confidentiality or impartiality. Plus Joe appraiser utilized the “Peer” appraisers photo which could have been the wrong property anyway.
How stupid do you have to be anyway. You pay through the nose for software, subscriptions, appraisal portal fees, insurance, gas, paper, computers, phones and whatever else you need to provide a great product, and in the end you would give it all away so that some big data grabbing company (which you bought the appraisal software from) can sell as “Confirmed” data to eventually put you out of business or at a minimum reduce the appraisal assignment pool to you and many up and coming appraiser. Why would you want to take that chance, makes no sense to me. Maybe not this year or even five years down the road. But eventually appraisers and the public will suffer greatly when all loans will be standardized to one valuation product. Okay, a few of you are going to argue that the physical appraisal assignment will never go away completely. Your right, custom homes or unique construction we will always have arround. But take a look in your market area and tell me how many new Tract home subdivisions (this is even those custom home tracts) are popping up all over. Simply put; Corelogic DID NOT WORK for that data, they are not providing it to you as a compliment to their software or they would have offered to sell it to you. They are TAKING IT from you… They have no legal rights to it, so don’t give it away.
Appraisers need to THINK (hate to say most are not) about this. If the Lender/Clients data along with the product we produced was not to be closely guarded. Then there would be no laws or regulations about how we handle this information and Corelogic wouldn’t be asking in such a extremely exclusive statement which they want you to agree to on behalf of your clients. Others may say, Yeah but what about those other third parties which we subscribe to that give us information about properties which were appraised by others within that subscription service. Well that pretty simple also. The information provided by those other third party subscriptions are not providing information that can’t be obtained from public records. It all about your data you analyzed to produce a product. Primarily at this time, your quality and condition ratings or any ratings and analysis which may show up and can’t be obtained from public records.
Not so sure what’s so hard to understand about our responsibility.
See below and pay particular attention to “Assignment Results”. Assignment results include how you evaluated and produced your comparable data to come up with the appraised value.
USPAP Confidentiality excerpt:
CONFIDENTIALITY: An appraiser must protect the confidential nature of the appraiser-client relationship. 12 An appraiser must act in good faith with regard to the legitimate interests of the client in the use of confidential information and in the communication of assignment results.
An appraiser must be aware of, and comply with, all confidentiality and privacy laws and regulations applicable in an assignment.
An appraiser must not disclose: (1) confidential information; or (2) assignment results to anyone other than: • the client; • parties specifically authorized by the client; • state appraiser regulatory agencies; • third parties as may be authorized by due process of law; or • a duly authorized professional peer review committee except when such disclosure to a committee would violate applicable law or regulation.
An appraiser must take reasonable steps to safeguard access to confidential information and assignment results by unauthorized individuals, whether such information or results are in physical or electronic form.
An appraiser must ensure that employees, co-workers, sub-contractors, or others who may have access to confidential information or assignment results, are aware of the prohibitions on disclosure of such information or results.
A member of a duly authorized professional peer review committee must not disclose confidential information presented to the committee.
Comment: When all confidential elements of confidential information and assignment results are removed through redaction or the process of aggregation, client authorization is not required for the disclosure of the remaining information, as modified