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First and foremost, I am writing this letter to ask you what your TRUE intentions are... Since beginning using this Standard, I have had ZERO ROV requests. Appraisers, the latest ‘buzzword’ around appraising is Standard. We’ve got to have a Standard for measuring a subject dwelling, even though the comparable GLA reported figure may have been measured far differently from the new soon-to-be mandated Standard.
Starting April 15, all good faith estimates provided to applicants must indicate a flat $455 charge for appraisals arranged through the appraisal management company. Consumers will now have to pay the appraisal fee upfront -- before any inspection or valuation is completed -- using a credit card, debit card or electronic fund transfer. The thought is that now the loan officer and appraiser have no contact, so that no pressure can be placed on the appraiser to inflate values. This may be true, however if a licensed appraiser was submitting false values for the sake of more business he or she was already committing a crime that we have laws in place for. This HVCC rule only helps the lenders and owners of the AMC’s. Lenders are pressuring AMC’s to be conservative when appraising homes in a declining markets and leaning towards appraising homes at the lower end of the spectrum.
Vendor BBQ and appraisals for Realtors
The only people who benefit from this rule are the AMC’s, the large banks that own them and the bureaucrats who got paid for months working on this rule to justify their job. In the meantime, here is a small sample of the aggregated data we will provide. It's the VA appraisers turn now to enjoy what the rest...
While reading comments to a post in another blog, I picked up the quote “They meant for the acronym HVCC to be pronounced “havoc” right? ” It’s been used as the tag line for nearly all of my blog posts about the HVCC. I’m please to have found you as the source, and made the attribution tonight, along with a link to your podcast.
About Jonathan Miller
No governmental or professional oversight was utilized to address the potential impact of the HVCC to the 1,000,000+ appraisal industry employees and their families. In June last year, Tasha Linton and I wrote about how HVCC Could Negatively Affect Towson Home Values , because the appraisers assigned are the lowest cost one available, not necessarily from the area. Real estate is very local — for example, Towson neighborhoods are very unique — sometimes even street-by-street! An appraiser from outside of Washington, DC will not understand the neighborhood nuances, and this could tremendously effect an appraisal value.
Dear HUD, recently, within the past year or so, you have been on a crusade to prove discrimination and racism in the appraisal process. Your actions haven’t gone unnoticed by many within the appraisal profession as well as outside it. It’s become clear that you are the go to organization for complaints. Please read this in its entirety and see my thoughts at the end before making a judgement. The reason I am writing you this letter is for a couple of reasons.
Annual Report to Congress
If the DOJ investigation proves fruitful, it is possible appraisal data could be investigated as well… The Department of Justice has sent a Civil Information Demand notice to CoreLogic. The CID requires CoreLogic turn over documents and answer questions. The article by Rob Hahn explains that the case revolves around not only the search features of the MLS systems, but the contracts and agreements on the use of MLS data by CoreLogic. If this investigation proves fruitful, it is possible appraisal data could be investigated as well. If this is the case, it will be a fast rolling snowball...
He is an Appraiser “A” Member of the Real Estate Board of New York and a member of Relocation Appraisers and Consultants, Inc. My industry changed in a huge way two years ago. Many real estate appraisers are actually no longer in business because they were basically sideswiped when something called the Home Valuation Code of Conduct came along.
Are desktop appraisals with third-party inspectors protecting the public, or are these products about to destroy the very profession I love so much. The Uniform Standards Professional of Appraisal Practice are the key to maintaining public trust in real estate transactions. USPAP is pretty much the equivalent to the Bible, but it MUST be followed for appraisers.
Partially due to the economic cycle, but primarily due to the sudden control of the supply resulting from the HVCC. Frank said lenders commonly gave appraisers an estimated value for a home on each appraisal order. Working backwards from the estimate was faster. And since appraising homes is subjective — both an art and a science — it was easy to fudge numbers. Yet another third party huckster has entered into the real estate appraiser and appraisal arena.
The continued reliance of unregulated aggregators and bifurcated products continues to erode the public trust at the expense of discarding the profession specifically intended to promote the public trust. Little did I realize that this 2005 governor-appointed position would eventually lead me to sharing a stage in 2018 with... Receive Jonathan Miller's 'Housing Notes' and get regular market insights, the market report series for Douglas Elliman Real Estateas well asinterviews, columns, blog postsand other content. Can you share/post some blogs that you frequently regarding the topics of Appraising?
Services they provided for a Lender, Mortgage Company or Bank through an Appraisal Management Company or AMC as they are known. What’s an Appraisal Management Company you ask? Well for those that do not know, AMCs have been around a long time. Appraisal management companies are business entities that administer networks of independent... Real estate appraisals for divorce, estate settlement, loans, property tax appeal, pre-listing and more. We cover Sacramento, Placer and Yolo County.
Since then, the appraiser profession has gone through many changes, none more impactful than creating the Home Valuation Code of Conduct or HVCC law that was put into effect after the crash. HVCC created the new normal for the profession where Appraisal Management Companies were installed as the firewall or third party between the appraiser and the lender. Overnight on May 1st, 2009, appraisers all over the country lost every relationship they... Also remove the 1 million + appraisal community.
DETAILS… NO MATTER HOW SMALL OR BIG NEED TO BE PRESENTED. If not, you failed. On March 23, 2022, there was a public meeting to unveil the Pave Task Force report on Racial Bias in the Real Estate Appraisal Profession. You can watch the press conference below as well as read the entire...
The HVCC prohibits mortgage brokers and real estate agents from selecting or paying appraisers. Instead, lenders or third-party companies selected by the lenders are the only parties allowed to contact, retain, and compensate appraisers. This adds a buffer between the appraiser and the interested parties trying to close the deal.
This is probably not what you were expecting to hear, but HVCC has actually been a catalyst to take my business to the next level. Look, I’m not an HVCC groupie by any means, but rather than focus on the problems created for the appraisal industry due to HVCC, I have worked hard to expand niche areas of business instead. It’s in my DNA to find solutions – whether with business or community involvement. The HVCC portion of the suit, was written and implemented without challenge.
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