Collateral Desktop Analysis (CDA®)
A truly exhaustive review and analysis of an appraisal, from any time period.
Even origination appraisals with accurate values can contain discrepancies, errors or inconsistencies that will introduce risk not only today but even tomorrow. To deliver a comprehensive loan file, Clear Capital created the Collateral Desktop Analysis (CDA), a Ratings Agency acknowledged appraisal desktop review product.
The CDA re-evaluates the entire origination appraisal, validating its integrity, not just the value. Our investigative approach looks for any misrepresentation or non-disclosure of prior transactions of both the subject and comparables. We use multiple sources, including Clear Capital’s market tools and local market data, to deliver a detailed analysis of the origination appraisal and subject’s competitive market as of the effective date, whether that’s yesterday or two years ago.
The CDA report considers local market trends, property characteristics, proximate market sales and listing data for both the subject and comparables. The CDA offers competitive pricing and fast turn times.
The CDA report is offered in two formats: CDA and CDA + MLS.
While both CDA products are fueled by local MLS data, the CDA + MLS report includes MLS sheets of both the subject and supplied comparables along with MLS sheets of all supplemental comparables. This can be a preferable option for jumbo loans and higher risk files because MLS commentary and interior photos can truly compare condition between the appraiser’s selected comparables, the subject property, and supplemental sales.
- Data-rich desktop appraisal review report includes risk alerts, indicators, proximate sales, market trend graphs, aerial imagery and maps.
- Well-defined appraiser narratives are supported by empirical data and performed by a Licensed and/or Certified Appraiser.
- CDA can be run retrospectively or on current origination appraisals.
- Two source vertification of the subject and comparable sales.
- 100% nationwide coverage ensures we’ll do whatever it takes to complete reports. Heard of Elbow Lake, MN or Deeth, NV? We have.
- Market analysis considers Clear Capital’s proprietary data sources, Clear Capital Home Data Index™ (HDI™), and public record data sources.
- 100% of all reports are subjected to Clear Capital’s human quality assurance process to ensure the final report meets our high standards of quality prior to delivery.
- Multiple options offer delivery of results in PDF reports, customizable .csv formats or direct integrations.
|This section provides additional insight into the appraiser’s analysis, including the competitive market and comparables selected by the appraiser. Detailed commentary targets various aspects of the review including: Market Conditions, Subject Analysis, Sale and Listing History Analysis, Appraisal Analysis and Deficiencies, Market Sales Analysis, Review Conclusion and Eligibility Issues and Recommendation.|
|We show the general trend of the market before and after the effective date plotting out the original appraisal and review comparables for a contextual, visual snapshot.|
|Appraisal Data List/Sale History|
|We verify the subject’s sales history for the previous 36 months and comparables sales history for the previous 12 months of the effective date, using local market data, public record sources, as well as our proprietary database to identify non-disclosure of prior transfers and misrepresentation of data.|
|Multiple Comp Grids|
|You can easily view the relevant property characteristics of the subject, comparables and additional sales, sorting by distance and sale price.|
|Maps and Aerial Imagery|
|Maps include the origination appraisal’s subject and comparables and reviewer-selected comparables for quick review of comparable proximity. Hybrid satellite maps help to identify neighborhood boundaries and externalities that may impact the value, positive or negative, and provide a sense of the immediate neighborhood.|
|Retrospective Home Data Index™ (HDI™)|
|Clear Capital’s provides a comprehensive report of the subject’s market conditions as Home Data Index™ (HDI™) of the effective date of the appraisal as well as after. It also indicates REO activity during the same time frame for a more holistic view of the market.|
|MLS Supporting Documentation|
|For the CDA + MLS, we provide full detailed MLS sheets for the subject, if applicable, and all comparables, including origination appraisal review comparables and CMA comparables.|
This USPAP compliant appraisal desktop review is an efficient, cost-effective method to determine if the origination appraisal is adequately supported in:
- First step forensic due diligence to decide whether a sample of appraisals warrants more extensive review
- Pre-fund due diligence prior to funding the loan.
- Additional comparables to validate those provided are representative of both the subject and the market
- Internal quality assurance audit in post-fund due diligence for lenders and investors.
- GSE post-board review to determine the reliability of the valuation and to understand if a repurchase is justified.