Value Acceptance + Property Data

How value acceptance + property data works 

1. Lender receives value acceptance + property data offer from Desktop Underwriter (DU).
2. Lender orders property data collection (PDC).
3. Lender or service provider submits the results to Fannie Mae’s Property Data Application Programming Interface (API).

Exercising value acceptance + property data 

A lender may only exercise value acceptance + property data when: 

• The final submission of the loan casefile to DU resulted in an eligibility message for value acceptance + property data;
• Property data collection is submitted to the Property Data API prior to the note date;
• An appraisal is not obtained for the transaction; and
• The offer is not more than four months old on the date of the note and mortgage.

NOTES: 

• Fannie Mae does not prescribe a specific transaction fulfillment model. The lender should determine how best to execute the Selling Guide property data collection and API submission requirements.
• The Property Data API will return a unique property data ID for each property data collection submitted that lenders and technology service providers can use for tracking and identification.
• When delivering the loan, the lender must include Special Feature Code 774.

Benefits of exercising a value acceptance + property data offer 

• Reduces origination cycle time and borrower costs.
• Promotes safety/soundness by obtaining current observation of the subject property.
• Provides operational simplicity and value certainty at application. 

NOTE: Fannie Mae estimates that value acceptance and value acceptance + property data on loans sold to us saved mortgage borrowers over $2.8 billion since 2018¹.

Representations and warranties 

The following table describes the representations and warranties the lender must make (“Yes”) if they exercise a value acceptance or value acceptance + property data offer. The table also identifies the representations and warranties the lender is not responsible for (“No”).

* The lender remains responsible for the accuracy and completeness of all data that pertains to the property and project (if applicable) that is submitted to DU (other than the property value). 

**Includes warranty that the property is safe, sound, and structurally secure.

Eligible transactions for value acceptance + property data 

DU loan casefiles for eligible single-family one-unit properties including condominiums (attached and detached) will be considered for value acceptance + property data. 

For a list of ineligible transactions, see the Selling Guide B4-1.4-11, Value Acceptance + Property Data.

Property data collection (PDC) 

PDC is the act of physically observing and reporting property characteristics. The data collection must be performed by a trained and vetted third party or appraiser and does not involve the development of an opinion of value. It must adhere to the Uniform Property Dataset (UPD). See the UPD page for more information. Once the PDC is complete and passes through quality control checks, it must be submitted to Fannie Mae’s Property Data API.

Lender responsibilities 

In transactions involving property data collection, the lender is responsible for: 

• Verifying and having the ability to demonstrate that the data collectors are vetted through an annual background check, are professionally trained, and possess the essential knowledge to competently complete the property data collection;
• Ensuring that the data collectors are trained to comply with fair lending laws and deliver accurate results unaffected by personal biases;
• Compliance with the Property Data Collector Independence Requirements;
• Selection of the property data collector (see Selling Guide B4-1.4-11, Value Acceptance + Property Data);
• Successful submission of the data to Fannie Mae’s Property Data API prior to the note date;
• Continually evaluating the property data collector’s work through their quality control process; and
• Delivering the loan with Special Feature Code 774. 

NOTE: In transactions involving property data collection, the lender is responsible for ensuring that the data collectors are trained to comply with fair lending laws and deliver accurate results unaffected by personal biases.