House Bill 398

[Ryan Achenbach]

Received a link from PAR today that they believe there will be movement on the passage of House Bill 398, which will be PA's version of AMC registration and regulation. I read the bill, with low expectations, and got what I expected. While PAR states it wants AMC's and appraisers to be on a level playing field, it does nothing to change the current climate. Sections include the requirement for AMC's to disclose to the LENDER specific "management" fees and separate appraisal fees. Since when did the lender care what the fees are? (additionally, many lenders own the AMC's). It also states the same useless mumbo jumbo that appraisers can disclose the fee within the report. Most consumers I know don't get their copy of the appraisal until right before settlement (three days before, etc.) and with the hustle and bustle of life and buying or refinancing a home, how many even bother to read the report right away...they just want to make sure their loan is cleared. Seems to me another useless bill to appear as though the state did something while pulling in registration revenue.

http://www.legis.state.pa.us/cfdocs/billinfo/BillInfo.cfm?syear=2011&sind=0&body=H&type=B&bn=398

 

[Marty Boone]

I have been in contact with Representative Sue Helm (Real Estate Broker) who co-sponsered House Bill 398 about the large AMCs and how they operate above the law. She is interested in getting more information about AMCs and their violation of Dodd Frank / Appraiser Independence. Anyone interested in providing information please email Sue Helm @ shelm@pahousegop.com.