Under the direction of the Federal Housing Finance Agency (FHFA), Fannie Mae and Freddie Mac (the GSEs) have
developed the Uniform Mortgage Data Program (UMDP) to enhance the accuracy and quality of loan data delivered to each GSE. The Uniform Appraisal Dataset (UAD) is a key component of the UMDP which defines all fields required for an appraisal submission for specific appraisal forms and standardizes definitions and responses for a key subset of fields.
For conventional loans delivered to the GSEs on or after September 1, 2011, Fannie Mae and Freddie Mac will require appraisals to be completed using the field-specific standardization requirements. Appraisal software forms providers will incorporate the UAD field-specific standardization requirements into their appraisal report form software. The appraisal data must conform to UAD and be delivered through the Uniform Collateral Data Portal (UCDP), the joint portal through which lenders will submit electronic appraisal reports for delivery to Fannie Mae or Freddie Mac. The UAD and UCDP will help lenders, the GSEs, and other industry participants manage collateral risk through efficient collection and enhanced quality of appraisal data.
With the UAD, the GSEs will require that appraisals be completed with standardized responses in certain appraisal form fields. The standardization of certain data points will support consistent appraisal reporting, regardless of geographic location of the property or any localized reporting conventions, by addressing vague or disparate data currently included on some appraisal reports. The UAD standardized response requirements include:
Standardized formats for fields that include dates, currency, and other values
Allowable values from a list of choices provided for certain fields
Standardized abbreviations to allow more information to fit on the printed appraisal forms
Standardized ratings and definitions for the “Condition,” and “Quality,” of the property and “Updated/Remodeled” status
The UAD supports improved quality and accuracy of the appraisal data while preserving each GSE’s ability to determine what the data means to loan performance and loan quality. The GSEs will each continue to exercise independent business judgment in evaluating and maintaining business terms, credit policies, and analytics. Differences in the assessment and use of the appraisal data will remain due to unique and separate business policies, mortgage products, and processes.