NY, FirstAM & WaMu article

[john brown]

WAMU has a lot of problems (not just with appraisal) and has been trying to fix their problems for the last 3 years through quite a few internal reorganizations. It is white knuckles time for a Bank whose primary business is home lending.

When a large company outsources a significant department, as in the case of the inhouse appraisal dept, it is probably due to the issues of a department that has massive cost overruns and basically out of control.

Alamode had a newsletter mentioning the misgivings of the WAMU deal with data mining FUNC and Company.
http://www.alamode.com/News/04/0727.aspx

 

[Ray Miller]

I'm fairly surprised that this would be your attitude, considering your past dealings with the WI state board. If, as you have stated, there are a number of people possibly facing severe penalties for minor issues, I would think you would be much more cautious about turning a bunch of people in for nothing more than being on that list.

This doesn't strike me as being very consistent.

I never said I was against fair regulation that had set guide lines and followed those guide lines.

My past and current dealing with the board is there fairness and how it appears that they deal with appraisers, different ways for the same matter. Unjust fines. IF you roll over we will only do this to you, but if you fight us we will bury you. (I will not go into detail here.)


But I do feel, if this profession is going to be cleaned up we need to start somewhere. Now it appears that there are list of appraisers will to push value in order for loans to close. If that is the case, should these lists not be given to the States Boards to investagate and if found to be ture of pushing vaule, covering up things, looking the other way, those appraisers brought up on USPAP voilations and crimial charges of Fraud.

Or is it because we are getting close to home now, that don't start with us? Start some where else for the clean up. I would think that an above board appraiser would not have any problems, matter of fact would welcome such an investigation of those appraisers on the use list. If the Appraisal boards are so bad across the country that everyone fears then in every state, what good are they????

I think we got to start some where, NY has started at the top, let the rest of the states start at the bottom and work up as NY works down. They should meet some where in the middle.

If there are good and fair appraisers on the list there appraisals should stand the test and they would have no problems. Matter of fact they may never know there work was reviewed.

If we don't start cleaning up our profession where do we start?????

 

[Smokey Bear]

Really??.....more dots??

Kinda hard to see the dots for the thick line they're making. But I'd still welcome a straight answer for them on the signature thing. I mean, after all, they're putting themselves out there as such an upstanding company ready to PROTECT your signature, but won't answer whether they've ever given appraisers's digital signatures to the employer, not the appraiser. Like I said, enquiring minds want to know.

 

[Michael Chu]

Appraisalport does not convert them. A third party software has to convert it to AIready format to transmit through appraisalport in AIready format.

If an appraiser controls the conversion, like Alamode allows before transmittal, then I don't see a problem with it. When somebody else unlocks a file outside of the appraiser's knowledge. Then I see a big problem.

Right. I only used AP as an example to point out the fact that "alteration" of the appraisal report and the transmission thereof takes place on the voluntary action (subscribing to AP services) of the appraiser.
IMO, this has USPAP implications, but that is another, entirely different can of worms.

.

 

[Tim Hicks (Texas)]

Right. I only used AP as an example to point out the fact that "alteration" of the appraisal report and the transmission thereof takes place on the voluntary action (subscribing to AP services) of the appraiser.
IMO, this has USPAP implications, but that is another, entirely different can of worms.

.

Before the conversion to AMC's, we could upload reports through Appraisalport (without them data mining according to them) by converting the appraisal on our own computers to AIready. With Alamode, we could see exactly what was transmitted and transferred. With that control, I could make sure my entire report was transmitted to AIready format by seeing what had to be added or removed to make it completely my report. Now, if the vendor is doing that without my knowledge after delivery to them, how can I be blamed for anything other than what I delivered in pdf? Also, why would a third party vendor that produces appraisal software, ever develop a program to unlock a pdf outside of the appraiser's knowledge. Just who does this vendor consider its clients?

This is probably why I stick with Alamode.

Of course, the third party vendor is welcome to defend themselves here and point out my bad information. I just can't see the righteousness of providing a program to unlock an appraiser's appraisal after delivery. If there is a lawsuit regarding the unlocking of appraisal reports, shouldn't the vendor be a part of the law suit?

 

[john brown]

Appraisalport does not convert them. A third party software has to convert it to AIready format to transmit through appraisalport in AIready format.

If an appraiser controls the conversion, like Alamode allows before transmittal, then I don't see a problem with it. When somebody else unlocks a file outside of the appraiser's knowledge. Then I see a big problem.

Based on my understanding (any I may have misinterpreted their explanations) from conversations with the MIS team at a lender, in order for any appraisal forms software to transmit through AppraisalPort, whether AIready format or a PDF format, the appraisal forms software has to use proprietary code libraries provided by FNC. The appraisal forms software has to license binary code from FNC. So while you might use your favorite appraisal forms software, the actual conversion and transport code is done by the provided FNC proprietary code. See the following sites:
https://www.aiready.com/dev/dev_registration.asp
https://www.aiready.com/dev/License Agreement/viewlicense.htm

A PDF file is a container format that can contain other attachments, similar to a zip file. When you use the AppraisalPort connection to transmit your file via the FNC software, you might be selecting the option to send your report in a PDF format. However, you as the end user, and your appraisal forms software vendor, may not have any control if that piece of proprietary code decides to send a PDF file, or a PDF file that contains an attachment of your data as a AIReady formatted file. The only way to validate the actual workings is if you had access to the closed/proprietary source code of the FNC code library or were able to do some serious program debugging.

A "locked" PDF file is no protection. It is a hint to any application such as a PDF viewer to honor the locks requested by the creator of the PDF file. A password protected PDF is temporary protection that is limited protection once you have sent the password.

The best protection for a PDF file is to get a personal certificate (X509) and sign the PDF file with your personal certificate. This will also hold up in court as the signing with a personal certificate will make the PDF file tamper evident. Adequate information on this procedure is available on the Adobe and similar websites.

 

[Riick]

Before the conversion to AMC's, we could upload reports through Appraisalport (without them data mining according to them) by converting the appraisal on our own computers to AIready. With Alamode, we could see exactly what was transmitted and transferred. With that control, I could make sure my entire report was transmitted to AIready format by seeing what had to be added or removed to make it completely my report. Now, if the vendor is doing that without my knowledge after delivery to them, how can I be blamed for anything other than what I delivered in pdf? ....

Been using following for years - since a friend sent me back a Sample Report ....with a new address!

This report was delivered in an electronic format. The electronic signature(s) on this report have a security feature which is maintained by individual passwords for each report. The appraiser has been assured by the software vendor that, as a result of the security feature, this appraisal cannot be altered by anyone other than the original appraiser who holds the password for the file. It should be noted however that password security in many programs can frequently be breached. Thus, the user of this report hereby agrees, by virtue of the use of the report, that the appraiser *will not* be held responsible for any decision reached based on any of the appraiser's reports which differs from the hard copies (paper copies) held in the appraiser's office files.

~

 

[Joyce Potts]

Try Attorney General, Bill McCollum.

ag.mccollum@myfloridalegal.com

Copies of the NY AG Press Release, links to the emails and the complaint have already been forwarded to my contacts in state government. At this point, they're all sitting on their hands. sigh

Well perhaps Bill McCollum will initiate something now that someone else has started with it, because his office has sure been unresponsive up until now.

 

[Fred]

One of the issues this suit brings to light is that at the time of FIRREA, the decision was that allowing the borrower to hire the appraiser compromised independence. That's how it got to be the exclusive domain of the banks.

What will the fallout be? Who will hire the appraisers? Who will decide which appraisers are "good," and what will the criteria be?

 

[Joyce Potts]

One of the issues this suit brings to light is that at the time of FIRREA, the decision was that allowing the borrower to hire the appraiser compromised independence. That's how it got to be the exclusive domain of the banks.

What will the fallout be? Who will hire the appraisers? Who will decide which appraisers are "good," and what will the criteria be?

All true, Steve, but can it get any worse? The system has had an inherent conflict of interest built into it for years.