Before appraisers decide to shoot down any positive side to Fannie Mae’s Collateral Underwriter, Fannie said that they need to see it in action. In an exclusive interview with HousingWire, the enterprise explains its true goals behind the launch and how they will benefit the industry.
There are 95 Collateral Underwriter messages that affect appraisers, and the majority are the same issues they’ve dealt with for years. So yes, there will be an adjustment period as with any change, but end times are not near.
Appraisal fraud has drastically tumbled ever since the financial crisis. Which sounds like a good thing, right? According to one expert, it isn’t. The solution put in place might ruin the appraisal industry.
Peer review is back at center stage with the Fannie Mae Collateral Underwriter and so are substantiated adjustments and good comp selection practices. Sound familiar? This is nothing new. This is old school appraising utilizing technology.
It’s incumbent upon all in the industry to understand and implement best practices, but when the VERY use of appraisal services doesn’t employ some level of disclosure we might have a few problems. These problems are occurring right now with the massive confusion going on within the valuation space.
They kind of do, as long as they can use an appraiser's analysis and opinions in a platform to punitively rate their work against the work of their peers. But what happens when the appraiser doesn't score well enough?