Twenty Seven Billion Buck Risk...You

[Mile High Trout]

Article quote: The white paper highlights a need for modernizing the home appraisal process. By incorporating AI-driven evaluations,

That's the entire article. All other opinions are craftily formed to support this messaging and premise.

They're feeling the heat of the growing resistance to the 'appraisal modernization' campaign.

Did we ever track down the names of the bozos whom created an entire new categorization form, with only six condition rating entries rather than a hundred, and then stayed quiet when the same organization refused to purchase loans noted as less than C4?

'Appraiser independence.'

Also; Do not talk to robots. The AI could have analyzed far more appraisals than that. The alleged researchers chose not to. Or more likely they tried and tried again, tortured the data, until it confessed what they want to hear.

People whom rely on AI are idiots.

 

[Dublin ohio]

Let’s not forget it’s fFannie and Freddie who purport that their ratings are absolute.

Not when it come to adjustments

B4-1.3-06, Property Condition and Quality of Construction of the Improvements (03/01/2023)

This topic contains information on property condition and quality of construction, including:

selling-guide.fanniemae.com

Note: Properties can have the same rating or description and still require an adjustment. It should be noted that this does not only apply to condition and quality ratings and can apply to other ratings or descriptions as well. For example, all water views may not be equal. In this instance, an adjustment should be made and explained in the Additional Comments section of the form or in an addendum.

 

[glenn walker]

Let’s not forget it’s fFannie and Freddie who purport that their ratings are absolute.

Aside from the GSE cheerleaders in this forum, there doesn’t seem to be anything like agreement about this among practicing appraisers.

Don't think they care about appraisers being in agreement. That ship sailed many years ago...lol

 

[Mile High Trout]

Don't think they care about appraisers being in agreement. That ship sailed many years ago...lol

I'm reading this has sailed and that has sailed, like over and over again just reading for ten minutes. Is there a fleet of ships sailing around somewhere or what's the real deal?

How about the gse managers have been corrupt bastards and we're happy they were all fired. See what corrections may happen soon. The entire program has lost all credibility for years and the incompetent keep it floating on a lifeline. Something like that?

 

[OSU Beavers]

Did we ever track down the names of the bozos whom created an entire new categorization form, with only six condition rating entries rather than a hundred, and then stayed quiet when the same organization refused to purchase loans noted as less than C4?

Wasn't this lady one of them?

 

[glenn walker]

I'm reading this has sailed and that has sailed, like over and over again just reading for ten minutes. Is there a fleet of ships sailing around somewhere or what's the real deal?

How about the gse managers have been corrupt bastards and we're happy they were all fired. See what corrections may happen soon. The entire program has lost all credibility for years and the incompetent keep it floating on a lifeline. Something like that?

The people getting fired are not ones in the valuation departments.The form creators are tech wonks mostly and I'm not hearing about big appraisal issues.

The Fat is in the top of the system that produces profits in the purchase and sale of mortgage backed security's .

The appraisal division is not a profit center and is probably the least of their internal problems. I would just relax we're not participant's just watching the game from the bleachers.

 

[Fernando]

All of this analyzing and dissecting appraisal reports is nothing more than additional GSE ammo in the war on appraisers in order to remove them from the process. They want to "prove" that appraisers don't have the credibility or sufficient objectivity to evaluate a property.

However, if they would spend half as much effort using AI to determine who is a good credit risk, this wouldn't be an issue. But F/F, et.al., will twist themselves into a pretzel to find a way to loan to anyone with a 500 FICO, no money down, buying a house that costs 10 X their annual income, and six jobs in the past six months.

But...appraisers will be the cause of the next meltdown.

Lenders only recourse is taking back the property. It's their security. Can't really go after the borrower unless fraud.
Thus appraisers need to get it right in valuating for the lenders.

 

[Fernando]

Wasn't this lady one of them?

Noble has been around for a long time. Local girl still surviving. Good for her. She must be doing something right.

 

[Mark K]

Can't really go after the borrower unless fraud.

Lenders in this state can go after the borrower in civil court for the deficiency/what the lender is owed plus a lot of costs. Judgement against them for 10 years. Only way for deadbeat to clear the deficiency is to file BK.

 

[Fernando]

Lenders in this state can go after the borrower in civil court for the deficiency/what the lender is owed plus a lot of costs. Judgement against them for 10 years. Only way for deadbeat to clear the deficiency is to file BK.

Interesting. Lenders in other states can go after borrowers. Should lessen the blame on appraisers.