Click here to view a joint announcement from FHFA, Fannie, and Freddie on the draft and implementation timeline of the New Collateral Underwriter (CU) Upgrade and the New Fannie/Freddie 1004 Appraisal Reports. TrUnion sits on the Industry Advisory Council (IAC) of The Appraisal Foundation. The IAC is a committee comprised of the majority of “stakeholders” mentioned in the attached timeline. Sally Carothers, our president and I will be in DC for the IAC meeting June 5-8 discussing and participating in this major project. IAC was hopeful that this would be brought to market by the fourth quarter of this year. However, due to some missed Key Results not making target dates there will be a slight delay in the timeline.
We (TrUnion on the IAC Committee) were able to move quickly to overhaul the Appraiser Qualification Criteria that goes into effect as of June 1, 2018. These criteria will open a new supply line of residential appraisers over the next 12 months. This along with the new UAD and 1004, which, in a majority of cases, will be a desktop appraisal with a third party inspection source, will have a substantial impact on how residential appraisals will be conducted. There are some underlining factors which will be needed and established for appraisers and for this type of analysis to ensure be USPAP, OCC, GSE, and NCUA compliant. We continue to be a part of this process and will move our company in a direction which will be ready to deliver strong service to our users, clients, and appraisers.
We will keep you updated on major milestones. The only thing which is certain is change. We are privileged to be an active participant in this change and the only voice dedicated to credit unions at this table.
The appraisal and valuation industry is heading in the correct direction. A new group of appraisers with different skill sets, more streamline reporting, and more analysis than the present model. AMC’s that see themselves as more of an Appraisal Service Company (ASC), which is the TrUnion Model, which provide more than just micro transaction management. TrUnion continues to offer this service and add more to it clients and their members.
CEO/Chairman, TrUnion Appraisal Services