Todays Bombshell Executive Order Ends Traditional Appraisals.

[glenn walker]

March 13 2026 By Executive Order the President sends Promoting Access to Credit Act.

Blows up Dodd Frank to GSE-FHA-VA loans and expands use of Alt appraisals and no appraisals and defines inspections how-who-if required.

Go To www.whitehouse.gov then Promote Mortgage Access to Mortgage Credit.

 

[glenn walker]

Holy **** Robin *** Section 6 destroys the traditional loan production appraisal model as many won't require appraisers or them to do inspections.

This is now in effect a Executive Order not a suggestion. The 3.6 won't be an issue because by end
of year you won't be getting many full appraisal orders.

 

[gregb]

Appraisal Modernization
The order encourages modernization of appraisal rules, including:

• Expanded use of desktop and hybrid appraisals.
• Greater use of automated and AI-based valuation tools.
• Reduced appraisal requirements for lower-risk transactions.

 

[ucbruin]

As long as lenders pay $400+ per assignment....
Big deal....

 

[Mike Ault]

And also "simplifying appraiser qualification requirements", whatever that means. Maybe he wants Eric to get licensed.

 

[glenn walker]

As long as lenders pay $400+ per assignment....
Big deal....

Theres not going to be as many assignments starting in the next few months as major lenders figure out when to use alternative valuations or no appraisal at all. That solves the 3.6 dilemma of less doing them and wanting more money.

This entire order is the biggest change I've seen in almost 40 years both on the mortgage Underwriting side and on the use of valuation and physical inspections. REMEMBER THIS JUST CAME OUT TODAY ALMOST NOBODY'S READ IT YET !

 

[ucbruin]

Everyone must be careful....
What they wish for....
They might regret it....

 

[George Hatch]

Much of this wasn't even possible 10 years ago. That's how far/how fast the technology is moving WRT the operations of the lenders and GSEs. The valuation element is just a semi-medium sized cog in the larger machine.

Rust never sleeps and neither does technology or its integration into commerce. Meaning, the transition was always inevitable.
It's not personal, it's (literally) just business.

 

[glenn walker]

Everyone must be careful....
What they wish for....
They might regret it....

Solves the big 3.6 worries as
it appears they're ahead of the dramatic amount of the older appraisers retiring or quitting because they don't want to do
them so get them down to 25%
of total volume problem solved.

My assumption is since the GSEs are aligning with the larger AMCs the alternative inspections will be handled by them signing up non licensed folks to do the ones that require leg work. 1004 D are moving toward virtual with owners and the agents sending photos.

The whole process should be in place by year end as Underwriters-AMC and lenders learn the ropes.

 

[Alsie35]

Well, if it goes into effect by year's end, it won't be any different than if the UAD 3.6 Abomination went into effect as originally scheduled. For all intents and purposes, it will end the independent appraiser small business model as a profitable enterprise. Make the $$$ you can this year.

(No skin off my back - we'll be retired by year's end either way.) It is what it is. Life goes on.