Collateral Underwriter (CU)

[Howard Klahr]

They have literally built the biggest and best property/appraisal database in the world.

It might be the biggest in terms of size within a single compilation and might be called the best in regards to what others feel it competes with, but the data quality is highly suspect and data verification is not occurring in any meaningful way. I still contend that garbage in equals garbage out. Until that issue is addressed the margin of error will remain higher than that of properly performed appraisals by a professional. Keep in mind that I said properly prepared.

 

[Eli]

What their data is likely good enough for is to burn some number hitters and skippies. In that regard, their data is better than many biased reviewers and AMC's.

It's prolly gonna be good enough to burn some lenders too.

When their data starts waving red flags, they or the state or somebody will hire a professional to investigate.

Their data is prolly really good at looking at trends too on a state or regional or larger scale. In that regard, it is likely first place if combined with realtor data and local public data. On a macro scale , very good. On a micro scale, much less effective. However it may be very effective in areas where appraisers are saying they are rocking and rolling.

Standard deviations will come into play much more in a high density and very homogeneous area.

 

[timd354]

It might be the biggest in terms of size within a single compilation and might be called the best in regards to what others feel it competes with, but the data quality is highly suspect and data verification is not occurring in any meaningful way. I still contend that garbage in equals garbage out. Until that issue is addressed the margin of error will remain higher than that of properly performed appraisals by a professional. Keep in mind that I said properly prepared.

Data quality in any large database is always a problem. Contrary to the opinions of many, the people who run CU are not stupid and they understand the risks of inaccurate data and crosscheck much of the data across multiple sources. Again, while the CU database is far from perfect, it is larger and better than any other property record database

 

[Joe Flacco]

deleted

 

[Howard Klahr]

the people who run CU are not stupid and they understand the risks of inaccurate data

Many of the same people that designed the 1004mc form ... just sayin

 

[djd09]

Are these "people" licensed appraisers?

 

[Eli]

Oh my! I agree. Biased maybe, but not stupid. That is why they use appraisers.

 

[Michigander]

What is really needed is a test of CU conclusions to competent boots on the ground calculations using various methods of extraction. Not just once, but multiple times. Since none of us has the algorithm data, I don't see how that is possible.

 

[timd354]

Many of the same people that designed the 1004mc form ... just sayin

Nope, the people at Fannie who built and run CU had nothing to do with the design of the 1004MC. The folks who designed the 1004MC are gone from Fannie. Besides, the folks who designed the 1004MC were well aware of its flaws, which were due in large part to the ridiculous technical limitations on data collection that Fannie had at the time, not because the designers of the form were incompetent (believe it or not, the 1004 MC was designed with those odd time periods of the most recent 2 quarters and then the previous 6 months because the document could only have 3 columns for the time periods in order to properly scan into Fannie's system at the time). Besides, the 1004MC, for all of its acknowledged flaws was actually successful in accomplishing the purpose for which it was designed....to get appraisers to analyze and provide at least some data in support of their market conditions conclusions as opposed to doing no more than simply checking a box as many appraisers had previously done.

 

[djd09]

It is the New & Improved Fannie. Even though the 1004mc was designed during some "odd" time period, they do not care to update it. think about it