MISMO is NOT a Database

There still seems to be confusion about what the cMISMO standard will bring to the industry. MISMO is NOT about building (pun intended) a huge database of information where all property information will reside and that all people will "read and write to". I continue to be a little surprised that this notion remains in some people's minds.

The MISMO XML based standard is simply about sharing information between systems in a standardized way. Ultimately this will bring efficiency, innovation and additional confidence for real estate as an asset class.

Say I'm a loan servicing firm and I want to bring on all this information from the originator of the loans so that I can service them properly. The MISMO standard does two things here. First it gets away from Excel which is simply a spreadsheet and not conducive to lots of complex related data (terms, borrower information, etc.). Second, even if you wanted to use Excel or other spreadsheet you'd want all the originator firms you deal with to only use one format for the Excel file so you were not "reinventing the wheel each time."

The MISMO standard specifies what we will call a data field when we share it (ie. We are all going to use the term PropertyAcreage) and where in the overall structure or schema you will find it (ie. PropertyAcreage is a field that will be located....Deal->Collateral->Property).

Finally, let me say that this does NOT mean that within our own systems we need to use the term PropertyAcreage. It just means that when I publish information for you to consume, I will call it PropertyAcreage. Then when you receive it you will know where to find it and what it is called in the data file that was sent. You can then put it in your database and call it whatever you want (PropAcreage, Acreage, Prop_Acreage ....).

The sooner we all get on the same page as to what MISMO is and what MISMO is not, the sooner we can all start talking about the benefits and how the industry can evolve to be better, stronger and bigger.

* "commercial MISMO" as opposed to residential MISMO standards. Residential MISMO standards have been in place since the late 1990s. The cMISMO designation is often used to clarify the difference.