Fintech firm seeks to modernize appraisal process

The digital focus comes at a time as Fannie Mae and Freddie Mac both announced, as of March 19, they will accept remote desktop appraisals on eligible transactions. Purchase transactions for one-unit principal residences that meet specific requirements outlined in the DU release notes will be eligible for this option, Fannie Mae announced.

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“It’s one of the biggest policy changes in appraisals in decades, so that’s where our focus will certainly be as lenders make that transformation from traditional appraisals to now making desktop appraisals,” Chen said. “We’ll be launching our ability to do desktop appraisals, as well as providing the floor plans in support of desktop appraisals, by the end of March.”

Clear Capital’s prescient plans are in full swing amid a shortage of appraisers too. The number of appraisers now hovers at around 40,000 nationwide, Chen said.

“On purchase loans now, lenders have the option of doing a desktop appraisal as long as the appraiser has access to a floor plan and that floor plan has to be a digital floor plan, not a hand-drawn floor plan,” he noted. “So, the idea that someone can just walk through the home in five minutes opens up all kinds of great opportunities to remove the inspection from the appraisal, which can really speed up the appraisal process for lending.”