There are a three types of technologies that organizations can elect to use to automate appraisal processes. First, there are appraisal ordering systems that have fairly straightforward technology. Appraisal ordering systems are not comprehensive solutions, they just allow users to order and process appraisals. Second, valuation management platforms exist that are more inclusive and handle the bulk of the appraisal process for organizations. Third, there are valuation management platforms that provide end-to-end automation of the entire appraisal process using robust workflow-driven technology.
Leveraging a valuation management platform that was engineered with the workflow in mind is the ultimate solution to completely automate the appraisal process from start to finish. While there are platforms on the market that offer some degree of workflow automation, most do not allow for the depth of configuration and implementation of business rules that automates everything. This is because they do not accompany a powerful workflow engine to facilitate cradle to grave automation.
A workflow engine is a must have to successfully establish a through and through workflow-driven process that fully automates the many tasks, timelines and details that need to happen (not just partially like most appraisal ordering vendors). The engine allows appraisals to sail effortlessly and seamlessly through the entire process to completion. As a result, manual touch points are removed, data errors are eliminated, quality is ensured, turn times are sped up, costs are reduced and compliance is more effectively managed.
So, here is the flow of what an enterprise-level, completely workflow-driven valuation management platforms enables and how it should work. The optimal solution manages vendors, handles appraisal ordering, appraiser assignments, tracking, accounting, delivery, reviews, selling, provides dynamic web forms, and also seamless electronic submission of compliant appraisals to the GSE’s Uniform Collateral Deliver Portal (UCDP), the FHA’s Electronic Appraisal Delivery (EAD) Portal. Add the workflow engine and everything is truly automated, not just partially. The most efficient valuation platforms integrate with third-party data analytics and review applications, as well as loan origination systems.
More and more lenders and AMCs are turning to leveraging a comprehensive, custom-configured workflow that seamlessly automates the valuation management process from vendor management through delivery to the GSEs. We’re going to see a rising demand for this level of sophisticated appraisal software, especially as the regulatory environment intensifies and the cost to originate loans increases.
Vladimir Bien-Aimé is president and CEO of Global DMS. Since founding the company, Bien-Aime’ has grown Global DMS to capture a leading share of the valuation management segment. He may be reached by phone at (877) 866-2747, e-mail [email protected] or visit GlobalDMS.com.
This article originally appeared in the November 2016 print edition of National Mortgage Professional Magazine.