Freddie Posts Appraisal Bulletin

Posted by Orb Staff on July 14, 2009 No Comments
Categories : Residential Mortgage

izing the ‘challenges the current market conditions pose in connection with determining accurate property values,’ Freddie Mac's [link=http://www.freddiemac.com/sell/guide/bulletins/pdf/bll0918.pdf][u]Bulletin No. 2009-18[/u][/link], issued July 10, clarifies terms such as ‘qualified appraisers’ and ‘comparable sales.’ In addition to being compliant with the terms of the hotly contested Home Valuation Code of Conduct (HVCC), appraisers must be ‘familiar with the local market in which the property is located, must be competent to appraise the subject property type and must have access to the data sources needed to develop a credible appraisal,’ the bulletin states. HVCC critics say the code's design causes many valuations to be performed by out-of-area appraisers. The Freddie Mac bulletin also states that the company does not require the appraiser to use real estate owned, foreclosure or short sales for comp choices, but "if the appraiser determines that these are representative of the properties available to typical purchasers for the market in which the property is located, appraisers must consider their use." SOURCE: Fred

Register here to receive our Latest Headlines email newsletter




Leave a Comment