Tagged: Certification

The MLS Interior Photo Blackout & UAD 3.6 25

The MLS Interior Photo Blackout & UAD 3.6

The rollout of UAD 3.6 creates a massive data clash, leaving us completely unable to verify comparable sales just as Bright MLS launches new controls to hide interior photos and property details. A home inspector recently posted a video on Facebook that highlights exactly what our profession is facing with data privacy. He was sounding the alarm to consumers and professionals, warning them about how cloud reporting software silently piped private property defect data straight to corporate risk pools. It is a message that resonates deeply with appraisers, who have been screaming into the void about data exploitation for years....

Appraisal / Appraisal News / Appraisers News / Trending / UAD / Uniform Appraisal Dataset

UAD 3.6 and the Danger of Corporate Pragmatism 61

UAD 3.6 and the Danger of Corporate Pragmatism

The rollout of the new UAD 3.6 framework has triggered a major wave of compliance literature, and a perfect example is a recent article by Woody Fincham at Valuation Nation, titled “Certification 25: What’s the Real Risk to the Appraiser?”. In his piece, Woody sets aside the rhetoric and lists my AppraisersBlogs article regarding our legal defenses under this dataset as a citation reference at the end of his post. While he acknowledges the existence of this perspective, his broader argument claims that the legal risks of signing Certification 25 are low, the threat of regulatory discipline is minimal, and...

Appraisal / Appraisal News / Appraisers News / Automated Valuation Models / AVM / E&O

Our Metrics, Their Millions: Exposing the Backdoor Data Rush 15

Our Metrics, Their Millions: Exposing the Backdoor Data Rush

If you still think the corporate panic over structural data is just a theoretical debate about software licensing, a tech startup named Arloh just blew the entire script wide open. They have been running public marketing campaigns targeting small title, escrow, and appraisal firms with a staggering proposition: “Your old records could be worth millions.” One of their primary advertisements explicitly brags that a tiny 37-person title and escrow shop just received a ~$967,000 estimate simply for licensing their historical data archive for artificial intelligence training models. Let that dollar figure sink in for a second. Nearly one million dollars...

Appraisal / Appraisal News / Appraisers News / Uniform Standards of Professional Appraisal Practice / USPAP

Inspectors Blocked the Door, Appraisers Handed Over the Keys 39

Inspectors Blocked the Door, Appraisers Handed Over the Keys

A fellow appraiser dropped a direct message in my inbox with a link to home inspector Preston Kincaid’s Facebook video, and watching him warn the public sent a chill through me because his words mirrored the exact warnings I have been shouting about our own appraisal profession. To understand the shock, you first need to know what Spectora is and how home inspectors work. Spectora is the dominant cloud software platform used by roughly 7,000 independent home inspectors across the country to draft, format, and deliver digital property inspection reports. By law and standard contract, home inspectors operate under strict...

Appraisal / Appraisal News / Appraisal Organizations / Appraisers News / Automated Valuation Models / AVM

UAD 3.6 Erases My Legal Defenses: Insurance Industry Agrees 38

UAD 3.6 Erases My Legal Defenses: Insurance Industry Agrees

The insurance industry just verified the erasure of my legal defenses under UAD 3.6. The corporate apologists and tech insiders have spent weeks trying to downplay the Certification 25 confidentiality crisis. They’ve lined up to tell independent appraisers that the new language is just a passive weather report, a routine disclosure, or an innocent acknowledgement of a reality that has existed for many years. But the ultimate reality check just arrived from the very people who calculate risk for a living, and it completely blows the corporate defense strategy out of the water. Isaac Peck, Publisher of Working RE Magazine...

Appraisal / Appraisal News / Appraisal Organizations / Appraisers News / E&O / Errors & Omissions

Certification 25 and the Quiet Breach of Appraiser Confidentiality 67

Certification 25 and the Quiet Breach of Appraiser Confidentiality

Certification 25 made me realize that my refusal to participate in UAD 3.6 was justified long before I even knew what was buried in its certifications. A peer sent me Phil Crawford’s new podcast episode this morning, and I opened it without thinking much of it because I had assumed his retirement from the show meant he was done weighing in on industry developments. I have been following the news and the chatter around 3.6, but I haven’t been preparing for it. I have not taken any UAD 3.6 classes, have not attended any seminars, have not tested the form,...

Appraisal / Appraisal News / Appraisal Organizations / Appraisers News / The Appraisal Foundation / Trending

County Assessors' Standards - AVM Final Rule Guidance 17

County Assessors’ Standards | AVM Final Rule Guidance

County Assessors have the advantage of being able to calibrate their models specifically for one market, allowing for a more tailored and precise approach.  The OCC, FDIC, NCUA, CFPB, and FHFA (collectively, the Agencies) are adopting a final rule to implement AVM quality control standards mandated by the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act). The quality control standards apply to mortgage originators and secondary market investors in determining the value of a dwelling that is the collateral for mortgage financing. Under the final rule, institutions involved in specific credit decisions or securitization activities are required to...

Appraisal / Appraisal News / Appraisers News / Automated Valuation Models / AVM / CFPB

Reforming the Appraisal Review Process: The Illogical Reality of Mortgage Appraisal Reviews 27

The Illogical Reality of Mortgage Appraisal Reviews 

Reforming the appraisal review process is essential to maintaining the integrity of the real estate market and protecting consumers and homeowners.  In mortgage financing, the appraisal process is often seen as the foundation of accurate property valuation and market stability. However, beneath this façade of reliability lies a troubling rift: while real estate appraisers must navigate stringent licensing protocols and scrutiny, the individuals reviewing the appraisals often operate with minimal oversight, instead leaning heavily on automated systems and algorithms. This stark disparity not only undermines the credibility of the review process but also revives the threat of past missteps, once...

Appraisal / Appraisal News / Appraisers News / AQB / Automated Valuation Models / AVM

Recap of the 4th Appraisal Bias Hearing 11

Recap of the 4th ASC Appraisal Bias Hearing

On February 13th, 2024, the fourth ASC appraisal bias hearing took place. For those who were unable to attend, the video of the hearing has been included below. The hearing was a crucial event for the appraisal industry, and it is important for all appraisers to be aware of the discussions and topics addressed. The panel of witnesses included: David Bunton, President, The Appraisal Foundation E.C. Neelly IV, Executive Director, Mississippi Real Estate Appraisal Board Maureen Sweeney, Principal, Maureen Sweeney, Real Estate Appraiser Ltd. Melissa Tran, Director, Texas Appraiser Licensing and Certification Board Jillian White, Chief Executive Officer, Appraisal Insights...

AMC / Appraisal / Appraisal Management Companies / Appraisal News / Appraisal Organizations / Appraisal Subcommittee

Fannie Mae Filed a Complaint Against Me 39

Fannie Mae Filed a Complaint Against Me

An appraiser shared the following with us which was posted on one of the appraisers’ groups. Fannie Mae filed a complaint against me with my state appraisal board. Here’s what happened. The Report In June of 2021, I completed an appraisal for a conventional purchase. The appraisal was ordered by an AMC on behalf of a lender. At that time, the real estate market was still being wildly affected by the COVID pandemic. Remote work was in full swing, and consumers were desperately seeking to get out of the cities. Prices for all types of residential properties were rising rapidly,...

AMC / Appraisal / Appraisal Management Companies / Appraisal News / Appraisers News / Collateral Underwriter