Corelogic Getting Out Of The AMC Business

[George Hatch]

If a certain percentage of sales get done without an appraisal we'll end up with a control group that we can compare to the deals that were done with appraisals. Let's see if those location differences in the pricing disappear. Because if they don't then that guts the reasoning being used by some of the critics that the reason locations are priced differently is attributable to the conduct of lenders and appraisers.

 

[George Hatch]

As for AMCs, if an AMC goes down they're done. But the appraisers will retain the option of continuing to work as appraisers. In that respect the individual appraisers will always be able to deliver an appraisal to a lender for less than an AMC can.

 

[djd09]

if they can waive one they can waive them all...it's a good thing they cut the mortgage broker out of the loop

 

[djd09]

how can an independent appraiser complete against the mortgage brokers when their service is free and not handcuff by USPAP...don't worry it is just a risk review tool

 

[George Hatch]

how can an independent appraiser complete against the mortgage brokers AVMs the GSEs are using when their service is free cheap and not handcuff by USPAP...don't worry it is just a risk review tool

Fixed for not being a lie

 

[djd09]

why would i lie that is you and DW...who do you think inserts the value not the avm duh

 

[George Hatch]

The GSEs run their own AVM on the property. The value in their system (which they compare to the application) isn't creating itself. It's not an appraisal but it's also not nothing.

 

[djd09]

Wells Fargo Workers Went on Appraisal-Fraud Bender​

by Jeremy Bagott · Published October 11, 2022 · Updated October 13, 2022

Loan officers at Wells Fargo altered values in the bank’s database, so loans would qualify for so-called appraisal waivers…
It feels like Ground Hog Day all over again. Who can forget the Wells Fargo banker who, stressed from opening fraudulent accounts in the name of hapless depositors, had begun guzzling hand sanitizer? That was in 2016. New revelations from the nation’s second-largest mortgage lender will make the U.S. taxpayer want to take a good long pull on the nearest bottle of hand wash.

Dozens of loan officers at Wells Fargo altered values in the bank’s database, so loans would qualify for so-called appraisal waivers, according to recent reporting from Business Insider. In some cases, Wells Fargo employees slashed $1 million or more off home values, reported the publication. The mortgages, based on the chicanery, were then sold to Fannie Mae and Freddie Mac, both of which are in federal conservatorship.

Business Insider’s reporting indicates loan officers at the bank changed values, since waivers were available only to properties valued below $1 million. Reducing the value of a home in their system below that threshold triggered a waiver. In some high-cost areas where Wells Fargo does considerable business, like the San Francisco Bay Area, databased values – some questionable to begin with – may have been reduced from, say, $2 million to below $1 million.

Wells Fargo Workers Went on Appraisal-Fraud Bender

Loan officers at Wells Fargo altered values in the bank’s database, so loans would qualify for so-called appraisal waivers... It feels like Ground Hog Day

appraisersblogs.com

it's a good thing they cut the mortgage brokers out of the loop...

 

[George Hatch]

I'm curious. How do you think they got caught? If your theory was true that the only values were the ones the brokers were including in their application then how would they ever have gotten caught lowballing those properties in order to skip the appraisal?

 

[djd09]

who do you think inserts the value? you haven't been right about anything. congrats