The GSE Monster lab experiment is growing

[Non Sequitur]

The fact that Fannie Mae has thrown their hat into the Aloft ring just tells me the tail is wagging the dog.

I rung this bell months ago when Fannie hired Aloft's Head of Learning and Development who was the driving force behind the software and its depreciated cost base. She is now Fannie's SF Collateral Risk Lead Associate. None of this happens in a vacuum.

 

[NC Appraising]

The depreciated cost method is no better and probably worse than sensitivity analysis. These depreciated cost algorithms will show a $70,000 pool adjustment, but what if the homes with pools are not selling for $70,000 more than homes without pools. What if they only had a $50,000 pool or a $150,000 pool? Sometimes bath adjustments or garage adjustments are way out of whack in these programs too.

Not sure you know this, but you can change the pool quality and other factors in aloft. Standard, better and luxury. I'm doing one as we speak. I put in luxury and it gave it a 38k deduction. Funny thing is that this comp does not have a pool. You really have to go through it and edit it.

Also, like in my example you are stuck with 38k adjustment and cannot edit it. I understand why they will not, but you should be able to.

That being said, I still agree with you. I just did a home with a 150k pool. The highest cost in aloft was around 80k I think could be off 20k.

At this price point, new pools are getting a 100% return on cost.

The market condition feature is nice. Easy to use.

As for cost depreciation, don't trust the site values. I'm finally getting the hang of it after figuring out how to edit and adjust for quality and effective age.

The AI photo image analysis is not that far off. In my opinion, it does a better job than skippy that rates everything a c3.

 

[chad hampton]

I rung this bell months ago when Fannie hired Aloft's Head of Learning and Development who was the driving force behind the software and its depreciated cost base. She is now Fannie's SF Collateral Risk Lead Associate. None of this happens in a vacuum.

These guys all just rotate jobs every few years. Like Cindy said- They spend a few years in the regulatory space, then an AMC, then maybe a stint at a GSE, sit on the TAF board- all the time doing favors for their friends.

It’s as corrupt an industry as there is.

And to think the industry used to think it was bad when we kicked an extra 10k on a house for a local broker every now and then

 

[RustyTapeMeasure]

These guys all just rotate jobs every few years. Like Cindy said- They spend a few years in the regulatory space, then an AMC, then maybe a stint at a GSE, sit on the TAF board- all the time doing favors for their friends.

It’s as corrupt an industry as there is.

And to think the industry used to think it was bad when we kicked an extra 10k on a house for a local broker every now and then

The corruption playbook is the same, glad you see it. Treasury Dept to a big securities firm and back again over the various years....or drug company to FDA and back again.....I guess they finally figured they could grift some money from our meager little ole corner of the real estate world. It tells you all the easy picking corruption wise on much bigger animals is well entrenched.