TAVMA Responds to NAMB AMC Attack

The Title/Appraisal Vendor Management Association has sent a three-page letter to the National Association of Mortgage Brokers stating its attacks on appraisal management companies in the fight over the Home Valuation Code of Conduct are baseless. "Everyone in the industry knows there were serious problems with the collateral valuation part of the business," said Jeff Schurman, TAVMA executive director. "Maintaining an arms-length relationship between the loan originator and appraiser is the centerpiece of the HVCC. To characterize AMCs as the centerpiece of the Code is simply false." He added that there is no tangible data to suggest that AMCs are the problem. Instead, the real issue is that New York Attorney General Andrew Cuomo, Fannie Mae and Freddie Mac felt that loan originators whose compensation depended upon the loan closing were trying to improperly influence appraisers, Mr. Schurman said.