American Society of Appraisers Releases Comments on Fannie Mae and Freddie Mac Agreement with NY Attorney General.HERNDON, Va. -- Yesterday, the American Society of Appraisers and several other leading appraisal organizations issued a joint comment letter about the agreement that was reached in March, 2008, signed by New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Attorney General Andrew Cuomo Andrew Mark Cuomo (born December 6, 1957, in Queens, New York) is the New York State Attorney General. He was elected on November 7, 2006. Previously Cuomo was the Secretary of Housing and Urban Development under President Bill Clinton between 1997 and 2001. , the Office of Federal Housing Enterprise Oversight (OFHEO OFHEO Office of Federal Housing Enterprise Oversight (US HUD) ), and Fannie Mae Fannie Mae: see Federal National Mortgage Association. and Freddie Mac Freddie Mac: see Federal Home Loan Mortgage Corporation. . The American Society of Appraisers (ASA Asa (ā`sə), in the Bible, king of Judah, son and successor of Abijah. He was a good king, zealous in his extirpation of idols. When Baasha of Israel took Ramah (a few miles N of Jerusalem), Asa bought the help of Benhadad of Damascus and ) strongly supports the intent of the agreement but urges changes to eliminate unintended negative consequences to appraisers and consumers. "The agreement, if modified, will go a long way toward protecting appraisers from coercion to provide a pre-determined value while providing consumer protection to home buyers," said Richard Gilmore Richard Gilmore (born January 1943) is a fictional character on the television series Gilmore Girls, played by Edward Herrmann. Richard is the father of Lorelai Gilmore, grandfather of Rory Gilmore, and husband of Emily Gilmore on the WB television program , an Accredited accredited recognition by an appropriate authority that the performance of a particular institution has satisfied a prestated set of criteria. accredited herds cattle herds which have achieved a low level of reactors to, e.g. Senior Appraiser A person selected or appointed by a competent authority or an interested party to evaluate the financial worth of property. Appraisers are frequently appointed in probate and condemnation proceedings and are also used by banks and real estate concerns to determine the market and member of ASA's Governmental Relations Committee. "It is in the home buyer's best interest to receive an independent appraisal provided by a well educated and ethical appraiser in order to help ensure that they are making a deal based upon an accurate value." The comment letter outlines the following concerns about the agreement. * By banning mortgage broker ordered appraisals, the agreement will destroy well-established business relationships between honest appraisers and reputable mortgage professionals. * The agreement may unintentionally encourage the use of large companies that manage appraisals and make their profits by turning out appraisals quickly with less emphasis on quality. * It unnecessarily bans appraisals prepared by appraisers working for federally regulated financial institutions and other lenders with independent appraisal operations (those reporting to risk management vs. loan production). * It may unintentionally provide an incentive to some mortgage companies to substitute questionably reliable automated valuation models (AVM's) for appraisals in order to bypass the requirements contained in the agreement. * The agreement devotes inadequate attention to the necessity of appraiser competency, quality and training when dealing with complex appraisals. The chairman of ASA's Governmental Relations Committee, Jay Fishman, a Fellow of the American Society of Appraisers stated that, "We feel that if the proposed comments are adopted, that a revised agreement will be pivotal in the protection of the independence of the appraiser and will help to ensure the reform of the mortgage industry." To view the comment letter sent to Fannie Mae and Freddie Mac, go to http://www.appraisers.org/images/fastread/May_1_08/JointLtr.pdf. About ASA The American Society of Appraisers (ASA) is an international valuation association that teaches, tests, accredits and refers professional appraisers. ASA is the oldest and only major organization in the United States representing all disciplines of appraisal specialists, originating in 1936 and incorporating in 1952. ASA's headquarters is located in the metropolitan Washington, D.C., area. To locate an accredited ASA appraiser, go online to www.appraisers.org (and click on Find an Appraisal Expert) or call (800) 272-8258. |
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