Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
Changes needed to Home Valuation Code
WASHINGTON (5/1/08)—The Credit Union National Association (CUNA) is seeking changes to a proposal by Fannie Mae and Freddie Mac to implement the New Home Valuation Protection Code (Code), new standards designed to ensure independent and reliable appraisals. In March, the Office of Federal Housing Enterprise Oversight (OFHEO), the New York Attorney General, Fannie Mae, and Freddie Mac entered into agreements that require Fannie and Freddie to buy loans only from financial institutions that meet the new standards set out by the code. However, in an April 30 comment letter, CUNA opposed a requirement that financial institutions establish and maintain a telephone hotline and email address to receive complaints regarding possible improper influencing of the appraisal process. CUNA wrote that this provision is duplicative of similar requirements that will be imposed on the Independent Valuation Protection Institute (Institute), an entity that would be funded by both Freddie Mac and Fannie Mae. CUNA also recommended that Freddie and Fannie should delay the effective date of the Code so that it applies to loans originated after January 1, 2010 The implementation issues surrounding the new CODE, CUNA said, as well as other provisions, such as a requirement to perform quality tests of a randomly selected percentage of appraisals, will require new procedures and additional staff training which will take time to address. Use the resource link below to read the complete CUNA comment letter.


RSS print
News Now LiveWire
September is National Preparedness Month. Read how your CU can get ready in #NewsNow #NPM @AgilityRecovery @Readygov
21 hours ago
Bay Area #creditunions featured in @SFBusinessTimes article http://t.co/SE7W81Ulia
23 hours ago
#NewsNow: 8 CU advisory board, new senior leaders named at @CFPB. http://t.co/EPKgHEDRRN
8 29 ago
#NewsNow: @FTC warns of government impostor scams. http://t.co/MMWBOcrqwJ
8 29 ago
Registration open for @CUNAMutualGroup's Discovery Conference #NewNow http://t.co/CATF0j9ct1
8 29 ago