Appraisal Institute suspended from The Appraisal Foundation

[Calvin the Airedale]

Though that may be true, ALL AppraisalPort web pages and ads PROUDLY sport the "AI READY: logo:View attachment 19908True or not true, like it or not, the logo says "Appraisal Institute" and this implies all of the things you suggest it is not In it's greed, the AI sold it's name with the software, and in doing so, affiliated itself forever with FNC in the eyes of the public. I dare say FNC's reputation in the industry speaks for itself...

This is just another major mistake made by the Institute that everyone wants us to forget. However, with that logo, this one will be tough to sweep under the rug...

You may not like AppraisalPort or FNC but I do not know them as having a bad reputation. I have not had any bad experiences with them. They have a good rep in the lending world.

Aside from the test phase, I hold the distinction of being the first working appraiser ever to have used this portal. I have developed over the years a number of good quality clients by my use of AP. I am not ashamed to be affiliated with them.

 

[Calvin the Airedale]

Next hole: The $250,000 deMinimus is for federally-related transactions. The only FRTs most residential appraisers perform are for credit unions. The GSEs are NOT subject to the deMinimus. The fact is that FIRREA specifically exempts the GSEs from ANY appraisal requirement. FIRREA specifically exempts the GSEs from ANY appraisal requirement.

Ken while many banks and thrifts sell exclusively to the GSEs, they must underwrite and fund the deal first. When done in this fashion, they are truly subject to CFRs which stipulate the rules for FRTs. Unless the OTS and Treasury have changed the rules since the 1990s, even the banks' mortgage company subsidiaries loans were considered FRTs.

 

[Ken B]

http://www.FDIC.gov/regulations/laws/rules/6000-1700.html​

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6000 - Bank Holding Company Act


Subpart G—Appraisal Standards for Federally Related Transactions

§ 225.63 Appraisals required; transactions requiring a state certified or licensed appraiser.
(a) Appraisals required. An appraisal performed by a state certified or licensed appraiser is required for all real estate-related financial transactions except those in which:
(1) The transaction value is $250,000 or less;
(2) A lien on real estate has been taken as collateral in an abundance of caution;
(3) The transaction is not secured by real estate;
(4) A lien on real estate has been taken for purposes other than the real estate's value;
(5) The transaction is a business loan that:
(i) Has a transaction value of $1 million or less; and
(ii) Is not dependent on the sale of, or rental income derived from, real estate as the primary source of repayment;
(6) A lease of real estate is entered into, unless the lease is the economic equivalent of a purchase or sale of the leased real estate;
(7) The transaction involves an existing extension of credit at the lending institution, provided that:
(i) There has been no obvious and material change in market conditions or physical aspects of the property that threatens the adequacy of the institution's real estate collateral protection after the transaction, even with the advancement of new monies; or
(ii) There is no advancement of new monies, other than funds necessary to cover reasonable closing costs;
(8) The transaction involves the purchase, sale, investment in, exchange of, or extension of credit secured by, a loan or interest in a loan, pooled loans, or interests in real property, including mortgaged-backed securities, and each loan or interest in a loan, pooled <A name=fdic611022>loan, or real property interest met Board regulatory requirements for appraisals at the time of origination;
(9) The transaction is wholly or partially insured or guaranteed by a United States government agency or United States government sponsored agency;
(10) The transaction either:
(i) Qualifies for sale to a United States government agency or United States government sponsored agency; or
(ii) Involves a residential real estate transaction in which the appraisal conforms to the Federal National Mortgage Association or Federal Home Loan Mortgage Corporation appraisal standards applicable to that category of real estate;
(11) The regulated institution is acting in a fiduciary capacity and is not required to obtain an appraisal under other law;
(12) The transaction involves underwriting or dealing in mortgage-backed securities; or
(13) The Board determines that the services of an appraiser are not necessary in order to protect Federal financial and public policy interests in real estate-related financial transactions or to protect the safety and soundness of the institution.

 

[Bob Ipock]

(ii) Involves a residential real estate transaction in which the appraisal conforms to the Federal National Mortgage Association or Federal Home Loan Mortgage Corporation appraisal standards applicable to that category of real estate;

Don't kid your self. Required or not...Fannie Mae is not buying and loans without an appraisal.

If Fannie Mae does not require appraisals......why do they develop required forms.

 

[Couch Potato]

Ken while many banks and thrifts sell exclusively to the GSEs, they must underwrite and fund the deal first. When done in this fashion, they are truly subject to CFRs which stipulate the rules for FRTs. Unless the OTS and Treasury have changed the rules since the 1990s, even the banks' mortgage company subsidiaries loans were considered FRTs.

No, the definition of FRT simply states the appraisal must be done to the standards of GSEs for the transaction to not be considered an FRT.

 

[moh malekpour]

No, the definition of FRT simply states the appraisal must be done to the standards of GSEs for the transaction to not be considered an FRT.

I think FHA and VA loans are also FRT. I wonder if Fannie and Freddie are privatized with no government sponsorship, which is very possible, and there is no more GSE currently GCS (Government Conservatorship) , what would happen to FIERREA Tite XI. Maybe they leave it for FHA and VA loans.

 

[peturner]

Half of what has been said here has absolutley NOTHING TO DO WITH THE THREAD AND ITS TOPIC.
But you should know that I am the lead plaintiff versus FNC. So obviously I have been at this rodeo a while.....try 38 years.
And yes I am very amenable to starting a PAC or whatever in Virginia....However...I am not gonna be the point guy on that.....I am too much of a "point" guy as it is.

 

[Couch Potato]

I think FHA and VA loans are also FRT. I wonder if Fannie and Freddie are privatized with no government sponsorship, which is very possible, and there is no more GSE currently GCS (Government Conservatorship) , what would happen to FIERREA Tite XI. Maybe they leave it for FHA and VA loans.

No, FHA and VA are not FRT. Read the line above the bold one in Ken's post #43. It is extremely rare for a residential mortgage to be a FRT.

 

[Ken B]

Don't kid your self. Required or not...Fannie Mae is not buying and loans without an appraisal.

If Fannie Mae does not require appraisals......why do they develop required forms.

Speaking of forms....does a 2075 ring any bells?

 

[AnonApprsr]

I charge the same for a Driveby as I do a 2075, ($275) so if they don't want an appraisal, but want me as an appraiser to admit the house exists, that's their problem. I just did one today.