I am right, right?

[Fernando]

Can someone tell me what is CU?

 

[Zoe]

Can someone tell me what is CU?

If I told you, I would have to kill you. Do you really want to know?

On the other hand, if you just gave me a few thousand, I might could tell you and not kill you.

 

[Terrel L. Shields]

Can someone tell me what is CU?

Collateral Underwriter. a Fannie Mae thing. I know that and I haven't done secondary market in15 years nearly.

 

[shrubberyvaluation]

Did an appraisal in May. Had to make significant positive market adjustments my data made it clear. They came back with CU findings that said I was too high. I responded with a detailed explanation of my data. They were impressed and accepted the report.

Fast forward to now. Their investor have problems with CU with my market adjustments, with CU. I responded and noted that it was the investor. I responded that my comments supported my findings and I wouldn’t change my report based on CU findings based that didn’t provide any data to support I was wrong.

I was right to even respond, right?

Who was the client? Don't respond to non clients.

 

[DWiley]

Any automated review system that looks at market condition adjustments must use something as a basis for comparison to the adjustments that were made (or not made) within the appraisal report. Some systems use a home price index (HPI), some use regression, some use other techniques. The fact that an automated system flags a market condition adjustment should not be taken by the underwriter as an indication that the adjustment (or lack of adjustment) is wrong. Rather, it should be taken as an indication of conflicting data, and that should result in the UW looking closely at the data/analyses presented in the report. A well support market analysis and/or well supported market condition adjustments should not be changed simply because of the results of an automated review.

 

[Joe Flacco]

Any automated review system that looks at market condition adjustments must use something as a basis for comparison to the adjustments that were made (or not made) within the appraisal report. Some systems use a home price index (HPI), some use regression, some use other techniques. The fact that an automated system flags a market condition adjustment should not be taken by the underwriter as an indication that the adjustment (or lack of adjustment) is wrong. Rather, it should be taken as an indication of conflicting data, and that should result in the UW looking closely at the data/analyses presented in the report. A well support market analysis and/or well supported market condition adjustments should not be changed simply because of the results of an automated review.

It sounds like that is what the underwriter did. The underwriter took a look at it, asked some questions, found the response satisfactory, and accepted the report.

The investor has an issue with the CU score.

 

[shrubberyvaluation]

An investor can choose to rely on CU just like they can rely on a 2 year old for investing advice. It is their choice.

 

[Zoe]

Any automated review system that looks at market condition adjustments must use something as a basis for comparison to the adjustments that were made (or not made) within the appraisal report. Some systems use a home price index (HPI), some use regression, some use other techniques. The fact that an automated system flags a market condition adjustment should not be taken by the underwriter as an indication that the adjustment (or lack of adjustment) is wrong. Rather, it should be taken as an indication of conflicting data, and that should result in the UW looking closely at the data/analyses presented in the report. A well support market analysis and/or well supported market condition adjustments should not be changed simply because of the results of an automated review.

I agree. Your smarter than you look on TV. There is a little hiccup in a very heterogeneous market that might throw a cog in the wheels of CU.

 

[Zoe]

However, I do have a gut feeling market conditions is adjustment this client and GSE had a problem with. Just a gut feeling.

 

[Zoe]

Now you got me going. Is free intellectual data used in CU? Don't tell Fernando.