I just got this news about HVCC. HVCC is known as Home Valuation Code of Conduct, otherwise known as hell for homebuyers, home sellers, realtors, real estate attorneys and lenders. Reaty Times reported that the days for HVCC may be numbered.
In the article (see www.realtytimes.com/rtpages/20091221_washingtonreport.htm) It's stated that Congress took a major step last week toward eliminating what has been a painful thorn in the side of home sellers, Realtors, home builders, mortgage brokers and appraisers for months.
As part of its financial and mortgage industry reform bill, the House voted to terminate the controversial Home Valuation Code of Conduct (HVCC) once a new Consumer Financial Protection Agency begins operations. The new agency would assume primary federal responsibility for equal opportunity in credit, real estate settlement procedures, financial disclosures to borrowers, plus unfair and deceptive marketing in mortgages and other financial products.
THE BILL HAS BEEN CRITICIZED BECAUSE:
the rules have been criticized for producing lowball, inaccurate valuations; cutting appraisers' fees to the point where the most experienced professionals refuse to accept low-pay assignments; plus encouraging the use of inexperienced appraisers unfamiliar with local markets -
Whether the Senate ultimately goes along with creation of the consumer protection agency won't be know until next year. But the House bill should be a warning shot to Fannie and Freddie that their controversial appraisal code may have a very limited lifespan.
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