Atlas deal signals shift to live GSE disaster monitoring

Atlas VMS is acquiring an artificial intelligence platform that protects lenders from government-sponsored enterprise repurchase risk by continuously monitoring active mortgage loan pipelines against live federal disaster data.

The valuation and mortgage solutions company bought CloseClear.ai, which matches loans against disaster areas at the ZIP and county level, with exact-coordinate precision when available, aligned to Fannie Mae and Freddie Mac guidelines. This allows CloseClear to find exposure that changes after a loan has already cleared appraisal, a blind spot most lenders only catch at closing.

"CloseClear.ai closes a real gap for our lenders. Disaster exposure doesn't stop being a risk just because the appraisal is done," said Erik Morin, CEO of Atlas VMS, in a press release Tuesday. "Pairing it with AIM-Port lets us monitor that risk continuously and act on it automatically, at a scale this technology couldn't reach on its own."

Beyond disaster monitoring, CloseClear's underlying technology will be used as the foundation for additional product lines within AIM-Port, an appraisal order management platform acquired by Atlas last July. 

Atlas expects the first new product line to utilize the technology will be Flood Zone Determinations, which will bring property-level flood zone identification into AIM-Port alongside appraisal workflows, backed by CloseClear's nationwide flood map database. Atlas plans to announce availability, coverage and pricing in the next few months, according to the release.

CloseClear will continue to operate as a standalone product under its current brand, while Atlas will separately integrate its monitoring capabilities into AIM-Port as a premium tier for Atlas' existing lender base. The company will share more about CloseClear's pricing, availability, integration timeline and product-line expansion in the coming months as well, according to the release.

This was the second acquisition Atlas has made in the past month, purchasing First Appraisal Management, a Texas-based residential appraisal management company, in August. First Appraisal's managing partner Nicole Bookout was named executive vice president of appraisal operations at Atlas as part of the move.

"Atlas' success in our third year is a reflection of the team we've built and the strategy we've put in place from day one," Morin said. "The addition of CloseClear.ai gives us new capabilities and reach while keeping our focus where it belongs, making the valuation and mortgage process better for lenders, appraisers and borrowers."

The acquisitions come as implementation of the Uniform Appraisal Dataset 3.6 standard is heating up, with a mandatory date set for Nov. 2.