HVCC FOR DUMMIES
HVCC applies only to loans that will be delivered to Fannie Mae or Freddie Mac! HVCC does not apply to FHA or VA loans. HVCC does not apply to construction loans.
HVCC basically says "No person can attempt to influence the appraiser in any way". How you communicate your appraisal request is of critical importance to you as the lender to be HVCC compliant.
The appraisal request cannot come from any "Loan production staff" member. Clearly loan officers, processors, production managers fall into this category. No appraisal requests from these individuals. Loan production staff members are not allowed to have any substantive communications with the appraiser concerning the property value, condition, etc.
The appraisal request cannot have a "target" value indicated anywhere. This includes comments like "the property owner believes the property to be worth $$$$$" or "it's on the tax rolls for $$$$$" or "the current loan balance is". Any such comments (either on the original order or in any additional communications) makes the request non-compliant.
Obviously any appraisal request with a comment such as "If it looks like the value is less than $$$$$, please stop the appraisal process" is not HVCC compliant.
If the transaction is a sale, the agencies require the appraiser is furnished a copy of the sales contract.
The lender is responsible for appraiser payment. The appraiser is not allowed to collect his fee from the borrower, Realtor or any other entity.
Requesting a second appraisal requires a reasonable belief by the lender the original appraisal flawed or tainted.
The lender will quality control test ten percent of the appraisals used by the lender.
The lender has a written policy policies and procedures implementing this Code of Conduct.
And finally, the lender will certify, represent and warrant the appraisal report was obtained in a manner that is compliant with this Code of Conduct.
For your HVCC compliant appraisal needs please contact Brubaker and Associates.
For more information on HVCC see the links below.
Use our AMC
HVCC: What is it?
HVCC FAQs
HVCC: Myths and Realities
HVCC Code of Conduct
HVCC applies only to loans that will be delivered to Fannie Mae or Freddie Mac! HVCC does not apply to FHA or VA loans. HVCC does not apply to construction loans.
HVCC basically says "No person can attempt to influence the appraiser in any way". How you communicate your appraisal request is of critical importance to you as the lender to be HVCC compliant.
The appraisal request cannot come from any "Loan production staff" member. Clearly loan officers, processors, production managers fall into this category. No appraisal requests from these individuals. Loan production staff members are not allowed to have any substantive communications with the appraiser concerning the property value, condition, etc.
The appraisal request cannot have a "target" value indicated anywhere. This includes comments like "the property owner believes the property to be worth $$$$$" or "it's on the tax rolls for $$$$$" or "the current loan balance is". Any such comments (either on the original order or in any additional communications) makes the request non-compliant.
Obviously any appraisal request with a comment such as "If it looks like the value is less than $$$$$, please stop the appraisal process" is not HVCC compliant.
If the transaction is a sale, the agencies require the appraiser is furnished a copy of the sales contract.
The lender is responsible for appraiser payment. The appraiser is not allowed to collect his fee from the borrower, Realtor or any other entity.
Requesting a second appraisal requires a reasonable belief by the lender the original appraisal flawed or tainted.
The lender will quality control test ten percent of the appraisals used by the lender.
The lender has a written policy policies and procedures implementing this Code of Conduct.
And finally, the lender will certify, represent and warrant the appraisal report was obtained in a manner that is compliant with this Code of Conduct.
For your HVCC compliant appraisal needs please contact Brubaker and Associates.
For more information on HVCC see the links below.
|
Unfortunately, the answer to that question is yes. Many property owners have spent thousands of dollars improving their property only to find that it did not result in any increase in the overall value of the property....
[ Read more ] |
|
General Information About Us What is an SRA? Our Service Area When an Appraisal is Needed The Appraisal Institute FAQs Privacy Policy Web Resources Employment |
Products & Services
Order an Appraisal Appraisal Products Reverse Mortgages Employee Relocation Divorce Appraisals Estate Appraisals REO Appraisals Measure Only Property Tax Protest Arbitration Retrospective Appraisals Semianrs Our Service Area Eliminate Your PMI |
Expert Witness Expert Witness Terms & Conditions News Newsletters Forms Mortgage Forms Non-Mortgage Forms |
Order an Appraisal General Public Appraisal New Lender/Vendor Appraisal Appraiser Independence Use our AMC HVCC for Dummies HVCC: What is it? HVCC FAQs HVCC: Myths and Realities HVCC Code of Conduct |
Contact Information
7626 Hammerly Blvd. Houston, Texas 77055 Office: 713-464-4666 Fax: 713-464-4669 Email Us Company Directory  
|
© Copyright 1999 - 2012 Brubaker and Associates All Rights Reserved 713-464-4666