As the year ends, it’s become clear that some parts of the real estate world still don’t work very well. That’s particularly true of the appraisal business.
From being blamed for helping create the housing bubble to being blamed for prolonging the housing crisis, the industry has suffered greatly over the past few years. Probably the biggest debacle was the enactment (and then retraction) of the well-meaning (perhaps) but misguided Home Valuation Code of Conduct (HVCC).
One of the most unpopular elements of the HVCC was the requirement that appraisers work for appraisal management companies (AMCs). Unfortunately, these still exist, having been adopted by many lenders.