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Who is responsible for regulating AMCs for AIR compliance?

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What about the lenders that have a financial stake in the AMC? Self-report? I don't see many reports of disciplined AMCs at the state level. Lender - AMC - appraiser...the lender still has disguised leverage over the appraiser since they directly control the AMC through their contractual agreement. The AMC could select the appraiser based on the lender influenced criteria (they will never admit) like number hitters and low fees. There is a financial interest in greasing the wheel. Report, doesn't happen.
If someone believes an AMC registered in the State of West Virginia is violating or has violated the AMC requirements, it should be reported to the Wet Virginia board.
https://code.wvlegislature.gov/30-38A/

West Virginia Code
https://code.wvlegislature.gov/30-38A-7/
CHAPTER 30. PROFESSIONS AND OCCUPATIONS
ARTICLE 38A. APPRAISAL MANAGEMENT COMPANIES REGISTRATION ACT
§30-38A-7. Certification requirements
(4) Will require appraisals to be conducted independently and free from inappropriate influence and coercion as required by the appraisal independence standards established under Section 129E of the Truth in Lending Act and the rules and regulations issued pursuant to the Act
 
Ohio basically has AIR as part of AMC regs. It is part of Ohio revised code.
West Virginia has AMC code Prohibited acts.

§30-38A-15. Prohibited acts.

(a) An appraisal management company or any person acting for an appraisal management company as a controlling person, owner, director, officer, agent, employee or independent contractor may not:

(1) Improperly influence or attempt to improperly influence the development, reporting, result or review of an appraisal through:

(A) Intimidation, inducement, coercion, extortion, collusion, bribery, compensation, blackmail, threat of exclusion from future appraisal work or any other means that unduly influences or pressures the appraiser;

(B) Withholding payment to an appraiser or compensating the appraiser at less than the customary and reasonable rate for appraisal services unless for breach of contract; or

(C) Expressly or impliedly promise future business, promotions or increased compensation to an appraiser;

(2) Knowingly employ a person to a position of responsibility who has had a license or certificate to act as an appraiser refused, denied, canceled, revoked or surrendered in this state or any other jurisdiction, and not subsequently granted or reinstated;

(3) Knowingly enter into a contract with a person for the performance of appraisal services who has had a license or certificate to act as an appraiser refused, denied, canceled, revoked or surrendered in this state or any other jurisdiction, and not subsequently granted or reinstated;

(4) Knowingly enter into a contract, agreement or other business relationship for the purpose of obtaining real estate appraisal services with a firm that employs or contracts with a person who has had a license or certificate to act as an appraiser refused, denied, canceled, revoked or surrendered in this state or any other jurisdiction, and not subsequently granted or reinstated;

(5) Knowingly fail to separate and disclose any fees charged to a client by the appraisal management company for an appraisal by an appraiser from fees charged to a client by the appraisal management company for appraisal management services;

(6) Prohibit an appraiser from stating, in a submitted appraisal, the fee paid by the appraisal management company to the appraiser for the appraisal;

(7) Request, allow or require an appraiser to collect any portion of the fee, including the appraisal fee, charged by the appraisal management company to the client;

(8) Require an appraiser to provide the registrant with the appraiser's signature or seal in any form;

(9) Alter, amend or change an appraisal submitted by an appraiser;

(10) Remove an appraiser's signature or seal from an appraisal;

(11) Add information to or remove information from an appraisal with the intent to change the conclusion of the appraisal;

(12) Remove an appraiser from an appraiser panel without twenty days prior written notice to the appraiser and an opportunity for the appraiser to be heard;

(13) Enter into an agreement or contract for the performance of appraisal services with an appraiser who is not in good standing with the board;

(14) Request or require an appraiser to provide an estimated, predetermined or desired valuation in an appraisal;

(15) Request or require an appraiser to provide estimated values or comparable sales at any time prior to the appraiser completing an appraisal;

(16) Condition a request for an appraisal or the payment of an appraisal fee on:

(A) An opinion, conclusion or valuation reached; or

(B) A preliminary estimate or opinion requested from an appraiser;

(17) Provide to an appraiser an anticipated, estimated, encouraged or desired value for an appraisal or a proposed or targeted amount to be loaned or borrowed, except that a copy of the sales contract for the purchase transaction may be provided;

(18) Require an appraiser to indemnify or hold harmless an appraisal management company for any liability, damage, losses or claims arising out of the services provided by the appraisal management company;

(19) Have a direct or indirect interest, financial or otherwise, in the property or transaction involving the appraisal;

(20) Provide to an appraiser or a person related to the appraiser stock or other financial or nonfinancial benefits;

(21) Obtain, use or pay for a second or subsequent appraisal or order an automated valuation model, unless:

(A) There is a reasonable basis to believe that the initial appraisal was flawed and the basis is clearly and appropriately noted in the file;

(B) The second or subsequent appraisal, or automated valuation model is done under a bona fide prefunding or post-funding appraisal review or quality control process;

(C) The second appraisal is required by law; or

(D) The second or subsequent appraisal or automated valuation model is ordered by a client; or

(22) Commit an act or practice that impairs or attempts to impair an appraiser's independence, objectivity or impartiality.
 
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It is expected to happen, but it does not. In a way, this is good because it helps to discourage the practice of witch hunts. However, Fannie Mae uses it as a basis for their tip sheets, which is concerning. I suspect their true motivation is to present evidence for a buyback. If this level of reporting were to occur, state boards would be inundated with complaints. The vast majority of complaints at the board level involve a consumer unhappy with a value outcome. Broker reporting - rare. Lender reporting - rarely. AMC - some but its generally used as the basis to remove an appraiser from their panel.

:ROFLMAO: It is "expected" to happen?? :ROFLMAO:

Public Law 111-203
SEC. 1472
``(d) Prohibitions on Conflicts of Interest.--No certified or
licensed appraiser conducting, and no appraisal management company
procuring or facilitating, an appraisal in connection with a consumer
credit transaction secured by the principal dwelling of a consumer may
have a direct or indirect interest, financial
or otherwise, in the
property or transaction involving the appraisal.


So I guess the AMCs are just not bidding orders to find the lowest fee accepting appraiser, right??? And when the lowest fee appraiser accepts an order, they return that over-payment to the borrower, right???

and this is how the states deal with it.

``(k) Penalties.--
``(1) First violation.--In addition to the enforcement
provisions referred to in section 130, each person who violates
this section shall forfeit and pay a civil penalty of not more
than $10,000 for each day any such violation continues.

Cause they're expecting enforcement to happen.


:ROFLMAO:
 
Oh yeah, and notice this part?

Public Law 111-203
SEC. 1472
``(d) Prohibitions on Conflicts of Interest.--No certified or
licensed appraiser conducting, and no appraisal management company
procuring or facilitating, an appraisal in connection with a consumer
credit transaction secured by the principal dwelling of a consumer may
have a direct or indirect interest, financial
or otherwise, in the
property or transaction involving the appraisal.


I guess AMCs aren't collecting that appraisal data to build AVMs either, because they are expecting any day now, after 13 years, that somebody is going to "enforce" that Federal Law.

:ROFLMAO:
 
If someone believes an AMC registered in the State of West Virginia is violating or has violated the AMC requirements, it should be reported to the Wet Virginia board.
https://code.wvlegislature.gov/30-38A/

West Virginia Code
https://code.wvlegislature.gov/30-38A-7/
CHAPTER 30. PROFESSIONS AND OCCUPATIONS
ARTICLE 38A. APPRAISAL MANAGEMENT COMPANIES REGISTRATION ACT
§30-38A-7. Certification requirements
(4) Will require appraisals to be conducted independently and free from inappropriate influence and coercion as required by the appraisal independence standards established under Section 129E of the Truth in Lending Act and the rules and regulations issued pursuant to the Act
It is not happening. Two complaints total, both pertaining to non-payment of fees. This situation is not uncommon in other states.
 
:ROFLMAO: It is "expected" to happen?? :ROFLMAO:

Public Law 111-203
SEC. 1472
``(d) Prohibitions on Conflicts of Interest.--No certified or
licensed appraiser conducting, and no appraisal management company
procuring or facilitating, an appraisal in connection with a consumer
credit transaction secured by the principal dwelling of a consumer may
have a direct or indirect interest, financial
or otherwise, in the
property or transaction involving the appraisal.


So I guess the AMCs are just not bidding orders to find the lowest fee accepting appraiser, right??? And when the lowest fee appraiser accepts an order, they return that over-payment to the borrower, right???

and this is how the states deal with it.

``(k) Penalties.--
``(1) First violation.--In addition to the enforcement
provisions referred to in section 130, each person who violates
this section shall forfeit and pay a civil penalty of not more
than $10,000 for each day any such violation continues.

Cause they're expecting enforcement to happen.


:ROFLMAO:
If and when that needle in the haystack is found, there are laws requiring action. Few states audit AMCs, so it's reactionary, not proactive oversight. The lenders are responsible for their oversight of the AMC but who would know if that ever happens.
 
Enforcement??? :rof:

Last I heard is the AMC’s can write a $50,000 a year check to be part of an organization that insures they will never have any problems with enforcement agencies
 
Q32. Is a seller required to establish a process for addressing complaints regarding AIR compliance? New

Section VIII of AIR requires sellers to adopt written policies, procedures and disciplinary rules and
implement adequate training programs to ensure compliance with AIR.
As a best practice, lenders
should include in their policies, procedures, and disciplinary rules a process for addressing AIR
compliance complaints.

:rof: :rof: :rof:
 
Enforcement??? :rof:

Last I heard is the AMC’s can write a $50,000 a year check to be part of an organization that insures they will never have any problems with enforcement agencies
If you're referring to The Appraisal Foundation then you might consider looking before you make such allegations

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