In last month’s blog on Collateral Underwriter, we mapped out our three-prong approach to help you prepare for CU. We’re pleased to announce that we just released Phase 1 – Updated PAR® Logic Review Rules. To start using these rules, all you need to do is run WebUdpate and then open a report and select ReviewMaster then choose PAR Logic from the list of available rule sets and hit Run. It’s easy and free.
The PAR Logic rule set already had many of the consistency and validation rules that CU includes. We did enhance the rules to provide better coverage and closer reference to related CU alerts. Specifically, we’ve elevated a number of rules to Compliance level and added/modified rules to correspond to applicable CU Warnings that go into effect in the UCDP starting January 26th. Here is a breakdown of the related rules for quick reference.
Upgraded Compliance Alerts include:
- Highest and Best Use not Present Use
- Illegal Zoning Description
- Alert if the project appears to be a Condotel
- Market conditions comments if negative housing trends
- If there are less than 3 Settled Sales
- Prior Sales not researched
- Sales contract not analyzed
- Properties over 1 Million and non-certified appraiser
- Legal non-conforming zoning that cannot be rebuilt to current density
- Properties with a C6 condition rating
New or Modified Warnings include:
- Positive or Negative Adjustment that appear to be ‘wrong way’
- Cross check of Condition Ratings (C1, C2..) to Age
- Address and zip code validation
- Sale date and Effective date validation
- Potentially erroneous values for Age, GLA, Room counts, Lot size, Basement area
- Comparing Appraised Value to Adjusted and Unadjusted Comparable prices
- Comp address is the same as the Subject or another Comparable
- Comp Sales Prices that are significantly different than the Appraised Value
- Property Values outside typical range of $10,000 – $10 million
We are continuing with our Phase 2 development to allow you to reference data from prior reports for comparison. This is scheduled to release in the next month to provide an additional layer of data validation. Phase 3 for Analytics and Regression is also on schedule to release in the coming months.
For more information on our plan, or about Collateral Underwriter, visit our compliance page. Have an idea for a new ACI feature or function? Just email our product team at firstname.lastname@example.org, and we’ll add it to our project board. Check out the What’s New page to keep posted on the latest in feature releases – we have a ton of new features coming your way!