Allegations of Appraiser racism

[Mejappz]

Has there been one documented instance where the appraiser and the lender has colluded to discriminate against a certain race of buyers? Ever?

None that I know of-- I have done maybe ten appraisals in the last few months that were in minority neighborhoods and never once had an issue. This is a complete fraud that has been cooked up after the Abena Horton case. She was able to shake down Chase of 50K, so others have latched on and have tried to see if they get lucky.

The media loves to push the story because it fits their narrative of an angry white appraiser who discriminates against the poor black man trying to get a loan. Meanwhile, the castrated appraisal organizations, instead of defending appraisers, throws them under the bus and plays along, thinking if they were friendly, they would go away. Think again once you give an inch to these people; they take a mile.

 

[Non Sequitur]

I hope today’s CFPB webinar will be uploaded. Anyone who’s interested in where this is going needs to listen.

And another article, “Biden pressed to go “big and bold”…

Biden pressed to go ‘big and bold’ in rooting out housing discrimination

Biden is enlisting about a dozen agencies to recommend solutions, signaling a new sense of urgency to address an imbalance rooted in the legacy of redlining.

www.politico.com

 

[Deleted member 122624]

I listened to the whole thing. Did a play by play in the 100% group. Check it out. And it will be uploaded to you tube supposedly in a couple days. Everyone threw the appraisers under the bus even the ASC and Jim park. AVMS are being scrutinized as well.

I hope today’s CFPB webinar will be uploaded. Anyone who’s interested in where this is going needs to listen.

And another article, “Biden pressed to go “big and bold”…

Biden pressed to go ‘big and bold’ in rooting out housing discrimination

Biden is enlisting about a dozen agencies to recommend solutions, signaling a new sense of urgency to address an imbalance rooted in the legacy of redlining.

www.politico.com

I listened to the whole thing. Did a play by play in the 100% group. Check it out. And it will be uploaded to you tube supposedly in a couple days. Everyone threw the appraisers under the bus even the ASC and Jim park. AVMS are being scrutinized as well.

 

[OSU Beavers]

Here we go again.

MSN

www.msn.com

@George Hatch do you want to take a crack at this one?

 

[Non Sequitur]

And the hits keep coming:
"JPMorgan (JPM) is for the first time outlining specific legislation that can fight appraisal bias, backing the study of innovative ways to value homes and promoting efforts to boost sorely needed diversity in the appraisal industry."

"JPMorgan said other potential reforms to the appraisal industry include establishing new "anti-bias training requirements" for appraisers, allowing equal access to valuation data and techniques and creating new national standards for valuation methods.
"It's an industry that really needs to be revamped, utilizing less judgment and more data," Mark O'Donovan, CEO of Chase Home Lending, told CNN Business."

Exclusive: JPMorgan is calling for reforms to stop racial bias in housing

JPMorgan Chase is throwing its considerable weight behind efforts to root out racial bias in the appraisal of homes in America.

www.cnn.com

 

[Deleted member 122624]

And the hits keep coming:
"JPMorgan (JPM) is for the first time outlining specific legislation that can fight appraisal bias, backing the study of innovative ways to value homes and promoting efforts to boost sorely needed diversity in the appraisal industry."

"JPMorgan said other potential reforms to the appraisal industry include establishing new "anti-bias training requirements" for appraisers, allowing equal access to valuation data and techniques and creating new national standards for valuation methods.
"It's an industry that really needs to be revamped, utilizing less judgment and more data," Mark O'Donovan, CEO of Chase Home Lending, told CNN Business."

Exclusive: JPMorgan is calling for reforms to stop racial bias in housing

JPMorgan Chase is throwing its considerable weight behind efforts to root out racial bias in the appraisal of homes in America.

www.cnn.com

Yeah. It’s cause they paid out a settlement to one of these bias claims and apparently don’t want to do it again.

 

[Non Sequitur]

Yeah. It’s cause they paid out a settlement to one of these bias claims and apparently don’t want to do it again.

Banks and their regulators are big on what's called "reputational risk". I won't get into it much, but suffice it to say action will be taken.

 

[Deleted member 122624]

Here is the CFPB WEBINAR from yesterday. It’s 2 hours long.

 

[George Hatch]

Here we go again.

MSN

www.msn.com

@George Hatch do you want to take a crack at this one?

This one is easy because I have access to the local public records and can search by proximity.

The news article and vid shows the front of the house, mentions the location (98th/Sunnyside) and the date of the original appraisal. It took me 2 minutes on Google Streets to spot the house; it's located directly across the street from the playground of an elementary school. Run the street in my public records database and scroll down by date to 2019 and there's the record.

1930s house that's listed as 2bd/1ba and less than 1400sf in size. It's obviously 2-stories and includes a 9ft wide garage. The 2-story would save some money when it comes to a 700sf footprint and a comp shingle roof. The fence in front shows in the prior pics in Google although the article mentions that he replaced the sliding gate.

The dates involved are a big clue as to what these different appraisers would have seen in the data.

Here's a screenshot of the comps located west of MacArthur Blvd would have looked like in an 11/2020 appraisal. The next most recent sale after 10/22 didn't close until 01/2021, so its uncertain if those later sales were even pending as of the date of an 11/2020 appraisal. Maybe so, maybe not.

The column to the right of the address is the distance.

 

[George Hatch]

This is what a 01/2021 appraiser would have seen in the data in the same geographic area.



Bear in mind that the subject is a 2bd home on a 7500sf lot. There is no alley to the rear so vehicular access is limited to the street frontage.

Now obviously the property which is #8 on the list would have been available to an appraiser in 11/2020 and would have caught their attention. So I googled the address. Here's the broker comments on that property: