I saw this in Realtor Magazine and thought it would be good to share. HVCC is the Home Valuation Code of Conduct and is designed to “improve” the appraisal process, although there are MANY problems with it. Anyway, here are some facts, directly quoted from the article…
– Real estate sales professionals and lenders can talk to appraisers, including making requests to consider additional data or to correct errors.
– The code applies only to 1-4 unit single family loans sold to Fannie Mae and Freddie Mac.
– A mortgage broker may transfer an appraisal if the lender who ordered the original appraisal grants permission. However, in practice, portability isn’t happening.
– Lenders may directly retain the services of an independent appraiser, as long as the contact is not made by loan production staff. Use of an appraisal management company is not required.