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Modern appraisals are going through a mid-life crisis. They aren’t quite the delicate, subjective art form that they used to be, and technology is now a must-have for appraisers.
The appraisal industry is taking on a data-driven mindset in 2025. Traditionally, appraisals are mostly subjective, which equates to a “because I said so” approach that leaves a little too much room for error and bias. As such, companies are making moves to improve accuracy and efficiency, marking a massive shift from the old-school line of thinking when it comes to appraisals. They’re integrating artificial intelligence (AI) tools, such as computer vision and bias detection technology.
In this executive conversation, HousingWire’s Content Studio sits down with Jeffrey Rauland, Chief Appraiser and SVP of Data and Analytics at Consolidated Analytics. During this discussion, Rauland explores the company’s approach to modern appraisals and the market dynamics.
This conversation has been edited for length and clarity. To start the conversation, Rauland dives into the dynamics of the modern appraisal market.
Moving appraisals from “art” to “science“
HousingWire: When you hear the word “modernization” in appraisal, what comes to mind?
Jeffrey Rauland: Modernization means different things, depending on who you’re talking to. From my perspective, as someone running an AMC, I see modernization as moving from an art to a science. Historically, much appraisal work was based on “Because I said so.” The GSEs push us toward, “Because the data says so.”
Harnessing the power of computer vision for better accuracy
HW: Can you give an example of what that shift from “art to science” looks like in practice?
Rauland: One great example is computer vision. The GSEs are already ingesting floor plans, listing photos, and public data. Let’s say an appraiser reports there’s no fireplace, but the computer vision sees a chimney and a mantle in the photos. That gets flagged. So, it’s not just theoretical anymore — it’s being used today to verify what’s in the report and catch discrepancies.
Balancing innovation and tradition as a modern AMC
HW: How does modernization impact your work specifically as an AMC?
Rauland: It puts us in an interesting position. On one hand, some lenders are ready to move fast and adopt every new tool. Meanwhile, others are slower and more traditional. On the other hand, we’re trying to stay ahead of the GSEs.
We act as a bridge between lenders, appraisers, and the agencies, meaning we have to balance a lot.
UAD redesign: Unlocking your potential with structured data
HW: What excites you the most about the UAD redesign or the new tools coming out?
Rauland: From a tech perspective, it’s exciting. We’re shifting from parsing PDFs and unstructured data to working with structured datasets — unlocking possibilities like AI tools, large language models, and smarter validation.
We’re already testing these internally. The goal isn’t to replace appraisers. It’s to help them present their work with greater transparency and accuracy.
Why “showing your work” matters when using AI-powered appraisals
HW: You mentioned “showing your work.” Can you expand on that?
Rauland: Think of it like a professor who gives you the answers but still asks you to show your work. These tools suggest the most probable composition or value range, but the appraisers still maintain the autonomy to say, “No — here’s why.”
The key is that appraisers must explain their reasoning clearly, keeping human judgment at the forefront.
Cutting revision rates down to size with streamlined appraisal processes
HW: What’s one opportunity you’re focused on right now that could improve things across the board?
Rauland: Reducing revision rates is a priority, and revisions are expensive for everyone. Everyone hates them. Many revisions stem from small issues that could’ve been caught earlier.
Everyone wins if we can improve upfront quality control and address these issues before the report is sent out.
Eliminating early errors and bias with AI-powered QC tools
HW: Are you using any new tools or methods to catch those issues early?
Rauland: We’re experimenting with several things — AI-based validation checks, smarter photo reviews, and language models to flag vague or inconsistent commentary.
Again, it’s not about replacing people. It’s about catching 80% of issues that don’t require deep judgment. That way, the appraiser can focus on the stuff that needs their expertise.
Rauland also comments on how Consolidated Analytics uses AI tools to eliminate biased language.
Rauland: We’re integrating these tools into our platforms. For example, our system uses natural language processing to scan appraisal reports for potentially biased language, flagging instances for human review.
If something like “white appliances” is flagged but harmless, we train the bot to learn from that context.
Exploring Consolidated Analytics’ tech initiatives
HW: You’ve acquired Real Info and built proprietary tools. How is this positioning you as a leader in the appraisal space?
Rauland: Real Info was an early player in AVMs since the 1990s. They provided sales and assessor data, and we’re now expanding into market analysis and building AI-powered AVMs. One key project is our bias detection tool. It works like an AVM but focuses on identifying bias in appraisals.
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