Deal Nears to Curb Home-Appraisal Abuse, Coumo, Freddie Mac and Fannie Mae

[Green Hornet]

After reading the CODE, I do not see anything that prevents local banks and CU's from maintaining their fee panel. They just need to jump through some additional hoops. It is to be seen how much effort they are willing to put forth to jump or just go with an AMC.

 

[Riick]

After reading the CODE, I do not see anything that prevents local banks and CU's from maintaining their fee panel. They just need to jump through some additional hoops. It is to be seen how much effort they are willing to put forth to jump or just go with an AMC.

Green Hornet CHECK the prescription on your GLASSES:


VI. In underwriting a loan, the lender shall not utilize any appraisal report prepared by an appraiser employed by:

• the lender;
• an affiliate of the lender;
• an entity that is owned, in whole or in part, by the lender;
• an entity that owns, in whole or in part, the lender
• a real estate “settlement services” provider, as that term is defined in the Real Estate Settlement Procedures Act, 12 U.S.C.§ 2601 et seq.;
• an entity that is owned, in whole or in part, by a “settlement services” provider.

The lender also shall not use any appraisal report obtained by or through an appraisal management company that is owned by the lender or an affiliate of the lender, provided that the foregoing prohibitions do not apply where the lender has an ownership interest in the appraisal management company of 20% or less and where
(i) the lender has no involvement in the day-to-day business operations of the appraisal management company,
(ii) the appraisal management company is operated independently, and (iii) the lender plays no role in the selection of individual appraisers or any panel of approved appraisers used by the appraisal management company.
Notwithstanding these prohibitions, the lender may use in-house staff appraisers to
(i) order appraisals,
(ii) conduct appraisal reviews or other quality control, whether pre-funding or post-funding,
(iii) develop, deploy, or use internal automated valuation models, or
(iv) prepare appraisals in connection with transactions other than mortgage origination transactions (e.g. loan workouts).

 

[Joker]

Cool. Another reason to increase fees.

This is better than Roosevelt's New Deal

 

[Elliott]

"The lender also shall not use any appraisal report obtained by or through an appraisal management company that is owned by the lender or an affiliate of the lender, provided that the foregoing prohibitions do not apply where the lender has an ownership interest in the appraisal management company of 20% or less and where ...."

Guess Zaio screwed the pooch.

 

[Green Hornet]

Riick,
"VI. In underwriting a loan, the lender shall not utilize any appraisal report prepared by an appraiser employed by:"

I am on several fee panels for banks and have never been considered "employed" by them.

 

[Green Hornet]

Also,

"IV. All members of the lender’s loan production staff, as well as any person (i) who is compensated on a commission basis upon the successful completion of a loan or (ii) who reports, ultimately, to any officer of the lender other than either the Chief Compliance Officer, General Counsel, or any officer who is not independent of the loan production staff and process, shall be forbidden from: (1) selecting, retaining, recommending, or influencing the selection of any appraiser for a particular appraisal assignment or for inclusion on a list or panel of appraisers approved to perform appraisals for the lender; (2) any communications with an appraiser, including ordering or managing an appraisal assignment; and (3) working together in the same organizational unit, or being directly supervised by the same manager, as any person who is involved in the selection, retention, recommendation of, or communication with any appraiser. If absolute lines of independence cannot be achieved as a result of the originator’s small size and limited staff, the lender must be able to clearly demonstrate that it has prudent safeguards to isolate its collateral evaluation process from influence or interference from its loan production process."

 

[jgordond]

Landsafe is going with Appraisalport

Just got an auto-generated email from Landsafe...they are going to convert to Appraisalport! I guess they knew before they did! That apparently answers that debate. Let's see where else this goes. I am not overly concerned at this point. I know capitalism will somehow prevail when this all shakes out! The cream will rise to the top. Kudo's to Cuomo! I especially like the part of the conduct that gives an appraiser the opportunity to refute and rebut any and all claims against them.......about time. People, we are slowly getting a voice. Let's embrace it and professionalize the industry.

 

[BOBBYGINE]

Just got an auto-generated email from Landsafe...they are going to convert to Appraisalport! I guess they knew before they did! That apparently answers that debate. Let's see where else this goes. I am not overly concerned at this point. I know capitalism will somehow prevail when this all shakes out! The cream will rise to the top. Kudo's to Cuomo! I especially like the part of the conduct that gives an appraiser the opportunity to refute and rebut any and all claims against them.......about time. People, we are slowly getting a voice. Let's embrace it and professionalize the industry.

SHEEPLE to the slaughter.

 

[Riick]

"The lender also shall not use any appraisal report obtained by or through an appraisal management company that is owned by the lender or an affiliate of the lender, provided that the foregoing prohibitions do not apply where the lender has an ownership interest in the appraisal management company of 20% or less and where ...."

Guess Zaio screwed the pooch.

I see that in exactly opposite direction.
Zaio not owned by any lender I know of.... ?? am I uninformed ??
and they recently bought Kirchmeyer - an AMC.

 

[jgordond]

SHEEPLE to the slaughter.

Bobbygine.....then you must leave the business because you have NO choice! I certainly hope there are more Bobbygines out there so there will be more work for others! I see many opportunities. Call me an optimist ( I prefer good businessman) as I am still running a quality successful company with a diverse portfolio of clients and plan on continuing that trend, regardless of what skippy does!