New Fannie/Freddie Forms

[Socrates]

I have spent some time watching the guidance on the new form that will be coming out at this link: https://www.fanniemae.com/course/singlefamily/uadtrainingfiles/story.html
From what I have been able to see, they are drilling down on collection of data such as views, waterfronts, type of waterfronts etc. There can only be one reason for these changes which would be to standardize the data so that values can be driven by algorythm. We all saw this previously with the forms that came out in the early 2000s when the c1-5 and Q-15 came out. This is becoming more finite so that view properties, waterfront properties or complex assignments can be driven by algorythms. Just my opinion. What does everyone think.

Here is the form itself. You can see that they are collected very, very specifi data. Comparable sales will be populated from public records and MLS. The problem I see with that is that agents data and assessors data is frequently wrong or missing. I always default to assessor data as my verification source. The issue I see relying on data that has been collected by others. Gathering data that is drilled down will again, as I indicated before, widen the amount of data that they have for algorythms and automation. I honestly believe 5 years from now we will not recognize the appraisal profession.

 

[Fernando]

Here is the form itself. You can see that they are collected very, very specifi data. Comparable sales will be populated from public records and MLS. The problem I see with that is that agents data and assessors data is frequently wrong or missing. I always default to assessor data as my verification source. The issue I see relying on data that has been collected by others. Gathering data that is drilled down will again, as I indicated before, widen the amount of data that they have for algorythms and automation. I honestly believe 5 years from now we will not recognize the appraisal profession.

WTF
It's 21 pages. What were they thinking. It's almost like a building inspection report.
Most important page has always been the sales comparison page. Appraisers should not be caught up with the extraneous details.
More boxes to fill, more possibilities for readers to complain about the report.
Unless appraisal fees go up significantly, I may go earlier into retirement.

 

[Tom D]

Like i said, the new uad will kill off many left who really don't want this aggravation (i'm there). And love to see how much more we can get. With non lender, i suppose i can get them up a little, but is a little enough, or should the fee be $1,000. Fannie now thinks the micro conditions of the house are the key factors in the value. But then, oh look homeowner, appraisers are charging way to much for just a value number. Just like having that useless dishwasher checkbox on page one.

I say 1 year after the new uad, it will be an appraiser desert, maybe done intentionally. But then, maybe i can get $1,000 for the one that i will be doing each week. I started back to my fix/flip days, 1 a week will be fine for me. Well, we will see. I do like my direct lenders, they are friends.

 

[J Grant]

Maybe that is what they will do. Look, I get it. Appraisers... most of them... hate change. Everytime there has been some change, appraisers complain about it. People in this forum are still whining about the adoption of the ANSI standard. We are not going to stop the world from changing.. and that includes the lending industry. We can work to remain relevant... or... we can just complain.

We can do both! We can work to remain relevant and Complain!

 

[chad hampton]

Change just for the sake of change should be complained about.

 

[glenn walker]

The new computer power and advanced Gpu power and analytics can strip data and convert it as much as 25 times faster and better than when original UAD was placed into the market. Also the reports are instantaneous transfer to the mother ship and real time portfolio monitoring. The GSEs are still behind with mostly older systems but that will be changed in the next year or two resulting in massive down sizing. The forms are simply like a form you answer at a modern medical facility...do you have any allergy to medications Yes or No..the forms are still archaic in one sense but that will change once enough time has passed to get all the physical data from the appraisers. Unfortunate for appraisers but based on other industries that used similar data collecting software once the physical inspectors had finished the three years of work they were no longer needed and their jobs changed to other areas of the business. ISO managers are now the ones who are in other professions. For the future If you are young and have another 10 to 30 years I would start to learn where the business model is going to and plan on becoming more desk bound or become a contractor and do physical home inspections and consulting.

 

[Fernando]

Here is the form itself. You can see that they are collected very, very specifi data. Comparable sales will be populated from public records and MLS. The problem I see with that is that agents data and assessors data is frequently wrong or missing. I always default to assessor data as my verification source. The issue I see relying on data that has been collected by others. Gathering data that is drilled down will again, as I indicated before, widen the amount of data that they have for algorythms and automation. I honestly believe 5 years from now we will not recognize the appraisal profession.

Too many pages. Who wants to read a novel.
Fernando could have shortened it. Fannie needs to redo the form.

 

[Tom D]

Fannie should have a drop down list of $ adjustments for each item, based on their regression You then fine tune it by picking the $ you like. If fannie don't like your choice, it blinks red.

 

[J Grant]

The new forms, overly complex and cumbersome, will not increase loan volume or impact what happens later. In the years following a property being encumbered by a loan, the property can be maintained or neglected, the market can decline or appreciate, and owners can make payments or default -regardless of how much data was collected about the heat system or ceiling height.

 

[Tim Hicks (Texas)]

they are just trying to improve their data base with these forms.