Key facts
- The appraisal report will become a structured dataset on November 2.
- The new appraisal format aims to be data-driven and flexible for all residential property types.
- A CMA, often used to set asking prices, is a document that prints a figure and a label.
- The appraisal's structured data will be inspectable field by field, unlike the CMA.
Starting November 2, the residential appraisal report will transition from a form-based document to a structured data format, according to Fannie Mae and Freddie Mac. This change aims to create a data-driven, flexible appraisal report aligned with the MISMO reference model, where each element of comparison is an inspectable field rather than a number typed into a cell. This contrasts with the comparative market analysis (CMA), a document often prepared by listing agents that sets the initial asking price. While both CMAs and appraisals use adjustment grids, the CMA's figures are often derived uniformly rather than being traceable to specific market transactions. The upcoming shift means a structured, inspectable appraisal valuation will exist alongside the less standardized CMA, potentially leading to conversations about price discrepancies when an appraisal lands below contract price. The asymmetry between the two valuation types will become more apparent, as the appraisal will be interrogable field by field, while the CMA will not.