Fannie Mae has joined Freddie Mac with property inspection waivers and with no appraisals required. Day 1 Certainty program. It is said to speed up closings and to save an estimated 500 to the buyers. This is under the old saying if its sounds too good to be true.
According to a HousingWire article "Collateral Underwriter uses statistical models and algorithms built on a database of over 26 million appraisals to evaluate appraisal quality and drive greater confidence in the valuation of properties securing the loans acquired by Fannie Mae"
They claim they are not moving away from appraisers. The regulations and additional short turn times given appraisers and the AMC requirements to be paid and further education requirements placed on appraisers and appraisers moving out of the field due to all this now is not the time to force them out of their jobs by taking away any appraisals as a last straw that broke their backs. You dont know what you got till its gone.
Fannie Mae states this is going to be used for low loan to value mortgages, tell me if you heard this one before?
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