February 19, 2014 View entire issue of ANO         Close 

GSEs Updating Method for Processing Appraisal Reports

According to guidance released Feb. 11 by Fannie Mae, beginning July 13 both Fannie and Freddie Mac will only accept MISMO XML submissions in the Uniform Collateral Data Portal. The PDF extraction service in UCDP will be retired as of that date, and the GSEs will no longer accept appraisals submitted in other file formats.

Appraisers who are currently submitting UAD reports to clients in PDF or other file formats need to make the conversion to MISMO XML before sending the report to Fannie or Freddie.

According to the Appraisal Institute, software vendors have included the MISMO XML conversion process in their packages. AI added that appraisers should stop using “a Listings Page” in their reports, as they are not compatible with UAD unless specifically made so by a vendor.

Fannie’s guidance indicated that warning edits on the “subject and comparable address” are impacted, as are edits on “subject contract date” and “comparable data of sale/time.” Each of the data fields has associated edits that will be returned if the data provided is incomplete or in the wrong format.

According to Fannie, “When these warning edits are converted to fatal UAD edits, if one or more of these edits is issued it will result in a Hard Stop 401 (UAD Compliance Check Failure) and a ‘Not Successful’ status will be issued in the UCDP.”

Read the Fannie Mae bulletin.

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