Will New Real Estate Law Affect You?
May 4th, 2009 categories: Cincinnati, Ohio, Real Estate News, West Chester, Ohio
If your home just sold and the buyer’s loan will be sold to Fannie Mae or Freddie Mac- new appraisal rules went into effect May 1st.
Lenders have to adhere to “HVCC”-the home valuation code of conduct to guarantee that every loan sold to Freddie or Fannie complies with the code completely.
The largest impact is the new code prohibits mortgage brokers from ordering appraisals and will push a lot of the business to “3rd party” appraisal management companies.
The “3rd party” will select an appraiser from their network to do the work. On the surface, this type of distance between the lender and appraiser should eliminate the past problems when unethical lenders and appraisers were working hand-in-hand.
Problems could arise when the chosen appraiser is not familiar with local market conditions.
Good news, FHA financing is not impacted by HVCC since FHA has its own appraisal rules.
Confused about the impact on your purchase or sale- call or email.
Related Articles: National Association of Realtors
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I just had my home appraised under this new system. What a load of crap! Everyone in the industry (real estate & finance) that I know says my home would be a bargain at $240K, but the nitwit appraiser came in at $180K. And now I’m stuck paying over $500 for this worthless apprasial. This new administration is killing America and giving work to idiots who don’t know what they’re doing. Might as well file bankruptcy and walk away from it all to go live on the beach…. I’m tired of supporting everyone else. Maybe it’s time for me to mooch off the government. My apologies to those of you who realize YOU are the bankroll of this out of control tyranny. I don’t mean to dent your wallets, but then again, the debt is so deep we’ll never have to pay it anyway. Circling the drain America…..