[JSmith43]

Got a call from an appraiser that had an appraisal "selected" for forensic review due to a Fannie/Freddie loss via short sale. To me, it looks like a game of 20-20 hindsight being applied, but I bet they will nail a few bad guys during the carpet bombing of everyone even vaguely associated with $$ losses.

Of course, the poll will be flawed. But, I'm still going to sally forth.

[JSmith43]

The recent call I got from the appraiser was due to a GSE repurchase request to the originating entity. They told him all about why they needed additional report information to rebut. I have never worked for this lender, in case anyone is curious.

I suggested he contact his E & O carrier before volunteering to "help" at this point, since it is a transaction that was consummated several years ago, IMO. If anyone disagrees with this advice, please share your thoughts on the matter.

In a way, it sounds like there was a review like the one that happened to Kevin M recently. You know, the one where the reviewer volunteered (for extra credit, presumably) that he found a DIRECT USPAP VIOLATION

[Mike Kennedy]

and the poll would be .......................where? ahhhhhh I found it wayyyy up top. who knew?

[DWiley]

Originally Posted by Mentor

The recent call I got from the appraiser was due to a GSE repurchase request to the originating entity.

Our state board is being absolutely swamped with appraisal complaints that are the result of the a lender getting a repurchase notice from a GSE.

[Terrel L. Shields]

The GSEs are sending out these repurchase notices carta blanche. They don't know, and they don't care whether the appraisal is sound. Before the crisis, one of my clients had a UW and Appraiser meeting. One smart aleck appraiser (who was recently spanked by Oklahoma) claimed to be one of those fannie mae "forensic" appraisers. He claimed there in the meeting that "I can find a USPAP violation in anyone's report..." He was the hit of the party for sure. Bigprick...imho.

[JSmith43]

One smart aleck appraiser (who was recently spanked by Oklahoma) claimed to be one of those fannie mae "forensic" appraisers. He claimed there in the meeting that "I can find a USPAP violation in anyone's report..."

When those young undercover reporters get through stinging Acorn, maybe they can infiltrate this party as a skippy reviewer and her AMC manager?

I certainly hope that was an isolated instance of a rouge reviewer. The best revenge would be for Fannie & Freddie to have a secret department that reviews the reviewers a good 10% of their time. Recording and analyzing their semi-public comments might be fair game.

[DWiley]

Originally Posted by Mentor

The best revenge would be for Fannie & Freddie to have a secret department that reviews the reviewers a good 10% of their time. Recording and analyzing their semi-public comments might be fair game.

Fannie does, from time to time, ask a reviewer to look at both an appraisal report and an appraisal review done on that report, and to opine on the quality of both. I was not aware that was a secret.

[JSmith43]

Well, yes, my post was hastily worded I hope the GSE's have quality control programs that include reviewers and reviewers of reviewers, for that mater.

Poll results so far: 19 have voted No, they have not had to defend their work (due to a GSE repurchase) and zero have had to defend.

I wonder if it means the AF posters are pure as the driven snow? Perhaps there is a reluctance to vote yes, fearing that somehow the vote is not secret (even though I did not select the "make results public" option?

Danny & Terrell, thanks for the posted info. The poll results alone leave me scratching my head.

I know there are repurchases being forced on lenders all over the place and it works it's way down the food chain to give us really nervous underwriters. It is nice to have confirmation that a parallel purge of appraisers is also under way & not just my imagination (as the poll results to date suggest).

[DWiley]

Originally Posted by Mentor

I know there are repurchases being forced on lenders all over the place....

I have worked on several of these cases. The findings have been highly variable.

In one, the repurchase was based on the lender creating fraudulent income docs. The lender turned the appraisal report into the state, ostensibly to show that the lender was not solely to blame.

In anothe one, a home had been listed for 9 months at prices ranging from $800,000 to $750,000. The lender did a refinance based on an appraisal of $1,800,000. The appraisal was done one week after the listing was withdrawn from the MLS.

[CANative]

I've never had to defend my work to anyone. Maybe it's because my area is so rural no one knows about it... yet.