UAD 3.6 discussion

[glenn walker]

So more detail needed on the subject and comps, by looking at them again and again will make you a faster appraiser. That may be possible if the check boxes are alligned in a certain order. But just looking at it, it don't look faster.

Glen is saying it will be faster, more appraisals done. Hey lenders, did you hear that. No need to raise dem fees. Just reference Glen.

I didn't say it's good for most one man shops it's not. I stated it would increase production in the larger big form filling operations which unfourtently pushes downward pressure on fees paid to single person shops.

I'm not happy that fees are stagnant but that's a different subject than the 3.6 and it's operational pros and cons. Emotions don't alter what the fee trends are or will be but those who maximize its positives may find it's faster for them to. Only after month's of use can the individual know.

 

[Non Sequitur]

An analysis of UAD 3.6 posted to Facebook. I have no opinion yet, just posting for discussion.

 

[Tom D]

Interesting white paper. And some of yous think it will be faster for the mill worker. Certainly for us, it's just full of positives.

1. UAD 3.6: Operational Changes and Time Impact
UAD 3.6 replaces static forms with a dynamic URAR and increases required data points from ~150 to
over 700. Additional photo tagging, narrative requirements, and conditional fields drive time per report
from 4.5 hours to 7 hours—a 55% increase. This reduces weekly output from ~6 to 4 reports.

 

[J Grant]

Interesting white paper. And some of yous think it will be faster for the mill worker. Certainly for us, it's just full of positives.

1. UAD 3.6: Operational Changes and Time Impact
UAD 3.6 replaces static forms with a dynamic URAR and increases required data points from ~150 to
over 700. Additional photo tagging, narrative requirements, and conditional fields drive time per report
from 4.5 hours to 7 hours—a 55% increase. This reduces weekly output from ~6 to 4 reports.

thanks for the intel! Think our fees might go up 55%? I think will be lucky if they increase by $50.

If it takes that much longer for us to inspect and report, which I believe it will, then it will also take far longer for an UW to pore through the data and exhibits. For those who claimed it was a big deal for them to find the narrative on the top ( see!) of an addendum page.

 

[alebrewer]

The form we are using now came out in 2005. Its been a while since there has been an update. This is a long time over due, But it is a big change.

Not busting on your comment, but I think 2005 was when they last updated the current form - it's been out way longer than that as I recall.

 

[J Grant]

Not busting on your comment, but I think 2005 was when they last updated the current form - it's been out way longer than that as I recall.

Updating the form would have been far easier to adapt than changing to a "dynamic format", which sounds incompatible with the way the industry software works.

The "one form" with dropdown sections to differentiate property types imo can be misleading wrt what the property is and what investors are getting in the collateral or the valuation. No inspection or a PDC inspection or a condo or an SFR, it's all one form- a few check boxes differentiate the property types or kind of inspection done (or if no inspection was made). That makes it easier to package the collateral loans in tranches, the way toxic loans were packaged with good credit loans and sold to investors. I am aware that will not be a popular view, but imo it is what drove the effort to change to what is essentially a new system of reporting.

They could have rearranged the photo exhibits and data sections on the existing forms, which have served well for decades. There is no model for how this will be adaptable on a large scale, especially with the short turn times the clients have come to expect. Some of the new data details are productive, others are ridiculous _ HERS rating for appliances, ceiling heights, height of an entry tansom. If an appraiser is off, can it discredit a report ? Trigger a buybak? Its out of scale to what matters, especially since the lenders aer still too cheap to order a real home inspection for each property. A real home inspection would kill too many deals - the clients already try to pressure appraisers who make a subject to inspection condition. I can just imagine when a close up photo of each appliance and door tansome shows a bit of age to some UW what will happen-

 

[J Grant]

I didn't say it's good for most one man shops it's not. I stated it would increase production in the larger big form filling operations which unfourtently pushes downward pressure on fees paid to single person shops.

I'm not happy that fees are stagnant but that's a different subject than the 3.6 and it's operational pros and cons. Emotions don't alter what the fee trends are or will be but those who maximize its positives may find it's faster for them to. Only after month's of use can the individual know.

Each form will take longer to fill out by an appraiser regardless of how large or small the companies are -There will be some appraiser attrition due to thiw which imo might push fees up a bit but of course not enough to compensate for the additional time and detail the forms entail.

 

[cashcatz]

Each form will take longer to fill out by an appraiser regardless of how large or small the companies are -There will be some appraiser attrition due to thiw which imo might push fees up a bit but of course not enough to compensate for the additional time and detail the forms entail.

We'll see, I think people are making a lot of assumptions by thinking of them as "forms". If the providers implement their solution with good UX, public records & MLS integrations, etc and offer a well thought out mobile solution, might even be faster to complete. That's a big if / TBD, of course.

 

[Dublin ohio]

UAD 3.6 replaces static forms with a dynamic URAR and increases required data points from ~150 to
over 700.

I think that representation is misleading at the best. The 700 data points will not apply equally to all properties. Condo and 2-4 family data points will not apply to a SFR, new construction data points will not apply to existing, no garage, no garage data points, not in a flood zone, additional flood info data points will not apply, etc, etc. If a item or "issue" doesn't exist those data points will not be used.

 

[Non Sequitur]

I know the push for 3.6 was started before ChatGPT took the world by storm, but 3.6 coupled with the near speed of light A.I. advancements are raising appraiser anxiety levels to 11. And the angst over how A.I. is changing real estate isn't just in the appraisal industry:

"The note said: "'AI' is not going to replace brokers. Clearly you don't understand real estate wasn't built by developers or investors. And it sure as hell wasn't built by tech guys in Lululemon. It was built by brokers.""

Tech CEO says he was sent bloody pig's head over real estate deals

A severed pig's head was sent to Agrippa CEO Blake Owens along with a note saying "don't get greedy because pigs get fat and hogs get slaughtered."

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