Washington Report

Advocacy Updates from Washington D.C.

ASC Rejects Appraisal Waiver Request

On April 23, 2018, the Board of the Appraisal Subcommittee (ASC), made up of representatives from the Board of Governors of the Federal Reserve System, the Office of the Comptroller of the Currency, the Federal Housing Finance Agency, the Federal Deposit Insurance Corporation, the National Credit Union Administration, the Consumer Financial Protection Bureau, and the US Department of Housing and Urban Development, decided in an open meeting to reject Tri-Star Bank's request for a waiver of commercial appraisal requirements for the Nashville, TN area.

NAR had previously commented on this request and the ASC Board agreed with many of NAR's concerns, mainly that the data provided by the bank did not demonstrate that (1) scarcity of appraisers and (2) that the demonstrated delay of three to five days did not rise to a level of "significant" delay. The Board did stress the desire to help Tri-Star Bank in other ways. The Board stated they could provide information on available appraisers to the Bank and reminded the bank of the recent increase to the commercial appraisal threshold level, as ways the agencies represented on the Board are addressing the Bank’s concerns, but also the concerns of other lending institutions working in the commercial space.

Advertisement