Appraisal Process Inadequately Monitored, Says Survey - Ralf's Blog

Ralf Simon

View Area Listings

FREE MARKET SNAPSHOT

Ralf Simon
1110 North Broad Street Lansdale, PA 19446
Phone: 215-362-2260 x1774 |Office Phone: 215-362-2260 | Fax: 267-354-6897
Cell: 215-479-8067 | ralf@comcast.net

< Back to Ralf's Blog

Appraisal Process Inadequately Monitored, Says Survey

January 25, 2012 1:01 am

According to a report earlier this month from the Government Accountability Office (GAO), the Appraisal Subcommittee, which oversees the appraiser regulatory programs established by each state, needs to improve its monitoring procedures. A faulty appraisal process is believed to be hurting home values and hampering a full housing recovery.

The GAO report found the Appraisal Subcommittee’s “enforcement tools and procedures for reporting compliance levels have been limited.” The GAO cited “several weaknesses” that have potentially limited the subcommittee’s ability to monitor state appraiser regulatory agencies, the federal financial institution regulators and the Appraisal Foundation, a private, non-profit corporation that sets criteria for appraisals and appraisers.

Under the Dodd-Frank Act, the Appraisal Subcommittee was granted the authority to establish a national hotline to receive complaints over noncompliance with appraisal independence standards and grievances from appraisers, individuals or other entities over attempts to improperly influence appraisers or the appraisal process. Currently, no such hotline exists and the GAO report states that the creation of a national hotline could strain the Appraisal Subcommittee’s resources.

The National Association of Home Builders (NAHB) believes that an effective oversight system needs to be put in place to ensure that appraisals accurately reflect market values. How homes are valued can have a dramatic effect on homeowners’ mortgages, foreclosure rates, the health of banks and, ultimately, the condition of the U.S. financial system, says NAHB.

A recent NAHB survey shows that one out of three builders have lost signed sales contracts because of flawed appraisals and a fall survey conducted by the National Association of REALTORS® shows that 18 percent of REALTORS® reported a recent contract cancellation or delay as a result of a low appraisal.

Numerous flaws in the appraisal system have been causing inaccurate home valuations, both in times of housing weakness and strength, says NAHB. NAHB has been actively seeking improvements in appraiser education and training, particularly for appraisals of new homes, as well as more rigorous oversight so appraisal guidelines are enforced and errors can be corrected as they occur.


	Copyright © 2012 by eWeb Engine, Inc. Each RE/MAX office is independently owned and operated RE/MAX 440, PA Agents Only

Also go to www.ralfsellsfast.com for more information

Meet Lansdale Pennsylvania's best real estate agent and REALTOR, of RE/MAX Central! As a real estate agent with RE/MAX Central, I chose RE/MAX Central for the same reason you should. With RE/MAX Central, I can offer a full range of the best residential real estate services available. This site features houses and condos for sale in Montgomery County, Pennsylvania. Houses for sale in Montgomery County and Delaware County. Search the multi-list for real estate for sale in Montgomery County, Delaware County and Pennsylvania. RE/MAX Central is Lansdale's premier real estate brokerage. I will provide you with Pennsylvania real estate information and resources to help guide homeowners and home buyers through the process of selling and buying a house, condo, townhouse or other Pennsylvania realty property. Featuring extensive community information, consumer links, school information, utility contacts, registration information, free reports, answers to commonly asked real estate questions, and more, you'll find everything about real estate within one easy source.

Servicing: Worcester PA properties, Mainland Pennsylvania real estate, Lehigh County Pennsylvania properties, Green Lane PA properties, Oreland Pennsylvania real estate, Fountainville real estate, Horsham Pennsylvania real estate, Bucks County PA homes for sale, Berks County Pennsylvania properties, Lederach PA properties, Spring House PA real estate, Valley Forge PA real estate, Sellersville Pennsylvania properties, Wyncote Pennsylvania homes for sale, Blue Bell Pennsylvania properties, Ambler PA real estate, Collegeville PA properties, Fairview Village properties, Harleysville Pennsylvania homes for sale, Hilltown PA, Tylersport PA, Glenside PA, Hatfield PA homes for sale, Norristown PA, Gwynedd PA real estate, Blooming Glen PA properties, Plymouth Meeting homes for sale, Fort Washington homes for sale, Franconia Pennsylvania homes for sale, Montgomery County properties, Montgomeryville PA properties, Souderton PA homes for sale, Chester County PA properties, Line Lexington homes for sale, Chalfont Pennsylvania real estate, Silverdale Pennsylvania real estate, Lafayette Hill homes for sale, Kulpsville real estate, Flourtown PA, Conshohocken PA real estate, Colmar Pennsylvania real estate, North Wales Pennsylvania real estate, Skippack PA homes for sale, Dresher Pennsylvania properties, Lansdale PA homes for sale, Bridgeport Pennsylvania real estate, Delaware County Pennsylvania properties, Cedars Pennsylvania homes for sale, Salfordville properties, Creamery real estate, Telford PA homes for sale, Gwynedd Valley homes for sale, Earlington Pennsylvania, Woxall PA real estate, Philadelphia County PA real estate, Audubon PA real estate, West Point Pennsylvania, Eagleville Pennsylvania real estate, Dublin homes for sale, King Of Prussia real estate, Perkasie PA real estate, North Wales PA real estate, Quakertown Pennsylvania real estate, Towamencin PA real estate, Sellersville PA properties