Regulation

Last month we put out a survey on improving the appraisal report based on the work and analysis completed thus far by the CRN Appraisal Reporting Summit and we are happy to report a great turnout. We would like to share these most recent results with Buzz readers. The survey was written to support the three main goals of the CRN Reporting Summit effort. The first of which is to identify the changes that might be made to assist appraisers in developing a more credible appraisal report.

The Appraisal Buzz highlights some of the key articles from May's FHA Watch 

Spotlight on FHA's Mission Misfires
Forty Percent of Recent Government Guarenteed Modified Loans Redefault within 12 Months 

The Appraisal Buzz had the chance to read two short articles from Kelli Rogers last week. We wanted to share them with our readers as the author really hits on two of the most controversial topics affecting appraisers.

Comparing the FHA’s Safety and Soundness Regulatory Regime to the Private Sector’s

Spotlight from last month's FHA Watch by Ed Pinto

Much misinformation exists regarding the rigor of the FHA’s capital adequacy standards compared to the private sector. Recently, this statement was made at a House Committee on Financial Services’ Insurance Subcommittee hearing:

A First Hand Account of the Spring AARO Meeting

The city of Austin, Texas served as the host of the Spring Conference for the Association of Appraiser Regulatory Officials (AARO). If you have never attended, you are missing a great opportunity to meet and interact with some of the most perceptive minds in the industry.

One attendee Michelle McAllum was kind enough to give the Appraisal Buzz a firsthand account of some of the things she found interesting at the conference.

The Challenge of Appraising New Construction

Stagnant real incomes suggest that rising home prices reflect artificially low interest rates.
Originally published in the Wall Street Journal

Over the past year, the Federal Reserve has ramped up its policy of quantitative easing, with the result being new stock market highs and surging bond prices. Moreover, housing prices jumped 8%, the biggest annual gain since 2006.

Common Failures Of Appraisers, Agents, Lenders and, Escrow

Government housing loan policies doomed to fail

by Peter J. Wallison, Edward J. Pinto
As published previously in the Washington Times

The ASC’s new hotline simply refers complainants to the proper regulatory authority.

By Darwin Ernst, SRA

The Appraisal Subcommittee (ASC) was mandated through Federal law to provide a national hotline to refer complaints from “…appraisers, individuals, or other entities concerning the improper influencing or attempted improper influencing of appraisers or the appraisal process…” to the proper regulatory authority.

For review, here is a copy of that section of the newly amended Federal mandate;