Fannie Condition ratings C1, C2, C3, C4, C5 and C6 on Page 1 URAR?

[EddieB]

Thanks for this insight Jo Ann, very interesting. So in your opinion, its perfectly acceptable but would require additional appraiser defined explanations for the utilized codes so as to not be an issue or confused with the Fannie UAD defined codes. Is that my understanding of how you utilize them? The FAQ provided by the first poster did indicate Fannies response as No, they should not be used in the manner as established by UAD definitions for these individual items. I think I understand how your utilizing them but just need a little clarification as to how you or perhaps how you don't differentiate them with the fannie definitions? Does that make sense?

It may not have been an issue yet but... The purpose of the UAD was to provide uniformity for certain field inputs. Fannie has designed a rating system with their own definitions.

This is just a question for you. Why would you utilize a C6 for interior floor covering but a C4 for the holistic subject rating, as an example? Wouldn't the use of Poor be more descriptive and create less chance of confusion to the reader and user, even if you provide adequate addendum comments?

 

[YankeeFan]

So you have UAD codes that mean what UAD means and then you have UAD codes to mean a different meaning???
As an esteemed peer once said; "Danger Will Robinson"

I assume your asking Jo Ann this question? Im not utilizing the UAD codes in the sections I've inquired about...I've only just recently seen a report utilizing these codes in these areas and am inquiring as to whether its an acceptable practice, and being utilized by other appraisers.

 

[residentialguy]

It may not have been an issue yet but... The purpose of the UAD was to provide uniformity for certain field inputs. Fannie has designed a rating system with their own definitions.

This is just a question for you. Why would you utilize a C6 for interior floor covering but a C4 for the holistic subject rating, as an example? Wouldn't the use of Poor be more descriptive and create less chance of confusion to the reader and user, even if you provide adequate addendum comments?

You can't. FNMA says that if anything is C6, the entire unit must be C6.
But I agree with you. Use of avg fair, etc is much less confusing.

 

[residentialguy]

I assume your asking Jo Ann this question? Im not utilizing the UAD codes in the sections I've inquired about...I've only just recently seen a report utilizing these codes in these areas and am inquiring as to whether its an acceptable practice, and being utilized by other appraisers.

Some appraisers do this. It is a bad practice, imo. UAD codes have specific meanings. Trying to change them is like using the term Market Value using other conditions than what MV states.

 

[YankeeFan]

So you have UAD codes that mean what UAD means and then you have UAD codes to mean a different meaning???
As an esteemed peer once said; "Danger Will Robinson"

I assume your asking Jo Ann this question? Im not utilizing the UAD codes in the sections I've inquired about...I've only just recently seen a report utilizing these codes in these areas and am inquiring as to whether its an acceptable practice, and being utilized by other appraisers.

Some appraisers do this. It is a bad practice, imo. UAD codes have specific meanings. Trying to change them is like using the term Market Value using other conditions than what MV states.

Im starting to form the opinion that Im in agreement with you. It wasn't designed to be used in these areas, so why try and fit a square peg into a round hole?

 

[EddieB]

Exactly Res, that's my point. In his scenario, you could. We shouldn't arbitrarily define C6 to mean something other than how C6 has been defined by Fannie. Fannie is looking for a holistic picture and their definition states "improvements" and "dwelling"

 

[Howard Klahr]

It wasn't designed to be used in these areas, so why try and fit a square peg into a round hole?

As has already been pointed out in the second post in this thread, using the UAD codes for the components of the improvements is not appropriate. What part of the directions is unclear? To do otherwise is no different than not following any of the standards/guidelines issue by Fannie Mae for completing their form.

If anyone doesn't want to follow the standards/guidelines then don't use the Fannie Mae form. To do otherwise is to produce a misleading report.

 

[Mike Garrett RAA]

I am having serious doubts about calling most C3 when it is in "average" condition. Looks like C4 is really more correct.....right?

 

[J Grant]

Please don't put ideas in Fannies head to apply C ratings on page one. No, don't use C ratings on page one

Unless its a brand new house, components may differ somewhat in a property, thus the C ratings on grid relate to entire property, a holistic judgment of majority of maintenance and components. I agree average is more in line with C4 and good more in line with C3. You can have a mainly C3 house with dated flooring , for example, so floors would get average on page one with rest marked good on Page one, for example.

 

[Pam Wyant]

Personally, I think either C3 or C4 homes could have average components, as part of the C definitions are based upon updating, not entirely condition, if that makes sense. Good would be most applicable to C2, maybe the high end of C3. And I agree, it is neither required nor really appropriate as general description items, and also agree PLEASE no one give Fannie any further ideas!