UAD 3.6

[Trihard]

There hasn't been enough time to see. It takes a while for an over valuing (or under) to have an effect. The home has to be placed on the market for it to show. Or a new mortgage origination. But with the economy tanking and some areas shedding jobs like a golden retriever sheds fur, we may see the down side of the waivers sooner than anticipated. And never under estimate the ability of people to try and scam a system. This is just a variation of the old lending practices the helped cause the melt down.

It took only 10% of the actors in the mortgage industry to cause the 2007-2008 disaster. That's not very many. As waivers and 'alternative valuation products' become more prevalent, the risk increases. And like before, there is no mechanism in place to mitigate the risk.

They don't care because congress will bail the GSE's out again. They got the golden parachute of a trillion dollars in tax payer money, while at the same time they are pushing the average appraiser out because there is no repercussion for them doing that. None of these greedy scumbags at the lenders, GSE's and insurance companies went to jail because they crashed the market. So what do they have to fear? Nothing.

 

[Zoe]

They don't care because congress will bail the GSE's out again. They got the golden parachute of a trillion dollars in tax payer money, while at the same time they are pushing the average appraiser out because there is no repercussion for them doing that. None of these greedy scumbags at the lenders, GSE's and insurance companies went to jail because they crashed the market. So what do they have to fear? Nothing.

My prediction is in another downfall like before, there will be no GSE or AMC. The Federal Government will own the secondary market on single family residential lending.


The Federal government will engage the appraiser directly.

It would be way more efficient on secondary market and single family residential.

 

[Zoe]

Think about it. VA engages the appraiser directly. FHA used to somewhat. VA needed no bailout. Think about the very expensive fluff that would be gone if FED engaged the appraiser directly.


It would be way more efficient and less expensive. I am not talking commercial or any other loans other than single family loans being sold to GSE. Those would be the only loans impacting secondary market appraisers if Fed govt engaged appraiser directly.

Fed govt would have to demolish GSE and AMC. That is a bunch of money in payroll/overhead that would be saved.

 

[djd09]

the gse's are quasi law writers for appraisers and our competition at the same time...prove me wrong

 

[chad hampton]

I think we can all agree that appraisers would have more work coming in if they didn’t allow the loan officers to give their own estimates of value, de facto performing their own appraisals.

 

[djd09]

if you want to believe the gse's are waiving 20% or 30%...that would still make them the largest appraisal firm in the history of the world...prove me wrong