Article from Realtor.org
Realtors® Appraise HVCC Appraisal System
“Determining an accurate property value is very difficult in today’s market, and the HVCC (Home Valuation Code of Conduct) has unintentionally added to the problem, in many cases,” said National Association of Realtors® President Charles McMillan. “As the leading advocate for homeownership, NAR has been calling for a moratorium to address the unintended consequences of HVCC and its implementation. Accurate, timely appraisals are necessary for successful real estate transactions, and both Realtors® and appraisers have told us that the HVCC is adversely affecting the appraisal process.”
The HVCC makes lenders responsible for hiring appraisers, but also requires lenders to insulate themselves from the appraisal process. This has led to a dramatic increase of the use of appraisal management companies. AMCs are large brokers for individual appraisers, and the appraiser they assign to a specific home may or may not have experience or familiarity with a particular neighborhood. Realtors® across the country have reported delayed and lost sales related to HVCC implementation because of poor appraisals often conducted by inexperienced appraisers who were not familiar with the area.
In an NAR survey conducted earlier this year, 71 percent of Realtors® noted an increase in the use of appraisers who were not from the local area. In the same survey, 85 percent of appraisers reported a perceived reduction in appraisal quality. In addition, 76 percent of Realtors® had experienced an increase in appraisal time since the new HVCC rules were enacted. These factors often adversely affected the sale or the sales process, which occasionally resulted in the loss of a sale or a homeowner’s inability to refinance into today’s lower rates.
_______________________________________________________
What does this mean to you, the Seller? The most impotant factor in selling a home is the correct price that the market will bare. It is crutial to choose a Realtor that is knowledgeable in your market area and has had experience in today’s challenging market.
________________________________________________________
What does this mean to you, the Buyer? When purchasing a home it is important to enter into an agreement with a professional Realtor who can explain the terminology and ever changing regulations in the buying process. Who’s the right lender for you? Who will be the best negotiator to protect your interests? Who will provide you with a seamless and minimal stress transaction?
BUYERS…………..
For a FREE List of FORECLOSED homes for sale check out www.NorthShoreForeclosureList.com
SELLERS……………
For a FREE INSTANT HOME VALUE www.MikeQuail.com and click INSTANT
HOME VALUE
And remember…….
“LEAVE THE SALE TO QUAIL!”
