CoreLogic Analytics Comply with New Federal Financial Regulator Property Valuation Regulations

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December 20, 2010, Santa Ana, Calif –

CoreLogic (NYSE: CLGX), a leading provider of information, analytics and business services, today announced that its automated valuation models (AVM), including its ValueView Property Inspection product, can assist mortgage lenders in complying with the new standards on property evaluations that were released December 2, 2010 by the five federal bank regulatory agencies – the Office of the Comptroller of the Currency, Federal Reserve Board, Federal Deposit Insurance Corporation, National Credit Union Administration and the Office of Thrift Supervision.

The Council reaffirmed that AVMs can be used for lending decisions in certain situations. Among other topics, the new regulations emphasize the need for risk-focused appraisal reviews, independence in the valuation, rigorous AVM testing and documentation, enhanced documentation of property condition, and valuation updates during the life of the loan.

CoreLogic said that the new rules will require enhanced due diligence on the AVMs selected for use by mortgage loan originators, validation that appropriate testing has been done on the accuracy of such models and, for some uses of AVMs, and inclusion of additional “content” on the property condition beyond the raw AVM valuation.

“Our AVMs, collateral risk tools, delivery platforms, inspection reports, and AVM cascades permit clients an unparalleled ability to apply risk-based criteria to the selection of AVMs,” said Susan Allen, vice president of collateral solutions at CoreLogic. “CoreLogic offers our clients assistance with documentation and due diligence concerning all of our products and services in order to facilitate informed decisions and support compliance with the Guidelines.

“Our cascade design and the significant level of transparency that we offer our clients were recently cited in a new industry study on AVM Cascades, written by two New York University researchers,” added Allen.

The research paper is available at: http://cess.nyu.edu/caplin/wp-content/uploads/2010/02/Cascade-Paper-October-Final.pdf.

The new FFIEC rules are detailed in a 70-page document available at each participating agency’s web site. The FDIC version is available at: http://www.fdic.gov/news/news/press/2010/pr10261a.pdf. 

In addition, CoreLogic has prepared an overview of the new rules as they relate to AVMs, and a discussion as to how its products and consultative services can assist lenders in meeting the new requirements. It is available at http://www.corelogic.com/About-Us/ResearchTrends/The-AVM-Industry.aspx.

About CoreLogic
CoreLogic (NYSE: CLGX) is a leading provider of consumer, financial and property information, analytics and services to business and government. The company combines public, contributory and proprietary data to develop predictive decision analytics and provide business services that bring dynamic insight and transparency to the markets it serves. CoreLogic has built the largest U.S. real estate, mortgage application, fraud, and loan performance databases and is a recognized leading provider of mortgage and automotive credit reporting, property tax, valuation, flood determination, and geospatial analytics and services. More than one million users rely on CoreLogic to assess risk, support underwriting, investment and marketing decisions, prevent fraud, and improve business performance in their daily operations. Formerly the information solutions group of The First American Corporation, CoreLogic began trading under the ticker CLGX on the NYSE on June 2, 2010. The company, headquartered in Santa Ana, Calif., has more than 10,000 employees globally with 2009 revenues of $2 billion. For more information visit www.corelogic.com.