New Rules as applied to HUD REO Contractors

[Tony Bamert]

Could someone shed some light on if or how the new AMC rules would apply to HUD REO Appraisals awarded by The Department of Housing and Urban Development. HUD has entered into a contract agreement with Ofori and Associates as well as HomeTelos to order and coordinate REO appraisals in Illinois as well as other states. These are not AMC's and were not really the target of the recent AMC rules. However, they do appear to have an agency agreement to order these reports for HUD.

 

[Brian Weaver]

How are they not AMCs?

 

[Tony Bamert]

Maybe they are? That is why I posted the question. In the traditional sense they do not market themselves to a wide array of clients. Further, they provide a wider variety of services. They may be responsible for securing the property, providing additional inspection services, marketing the property, monitoring bids to purchase, etc. Their contract status with HUD is different then you might find with a traditional AMC. Lastly, the real intended user is a Federal agency, not a lender. On the other hand, they are charged with ordering and reviewing the appraisal for the Department of Housing and Urban Development. What is the State of Illinois position? Sounds like you think they fall under the AMC rule.

 

[Brian Weaver]

They are AMCs. So are relo companies. So are engineering firms that hire appraisers for right-of-way work. One size fits all. Once our AMC bill becomes law...some of these will change. Some won't. It depends upon who came to the table with an agreement.

 

[Dan Umstead]

This is a MUST READ before doing work for them. I have not worked for them, but it appears others are having a hard time getting paid.

http://cramdisk.websitetoolbox.com/post?id=5085223