- Start filing Cease & Desist orders for lenders
who refuse to take your appraisals.
An
appraiser’s entire practice can be devastated when wholesalers (Lenders) refuse
their work. The possibility of receiving work via the mortgage community for
appraisers who are not on key lenders lists PUTS THEM OUT OF BUSINESS.
Damage to PRINCIPALS (the buyers or sellers who are parties of the first part, pay
for the appraisal fees), yet THEY are not the clients. The damages to them are
often thousands of dollars paid for commercial appraisal fees, and hundreds for
residential.
Secondary
damages can be foreclosure if they are facing a balloon mortgage or a lapse of
contract; and once expired the transaction can fall apart. Either deposits will
be lost or equity, as trade has been restrained for the principal.
The actual client the mortgage broker is then
forced by the lender to order a NEW appraisal unnecessarily creating time
constraints, and extra fees Totally contrary to FIRREA law).
The net result of this illegal restraint of trade by lenders causes:
- The appraiser to lose his relationship with the mortgage brokerage client and his fee.
- The mortgage broker will likely lose his commission.
- The principal will lose his appraisal fee and or his property.
FIRREA
states:
1.
(a) Membership in appraisal organizations. A State certified appraiser or a
State licensed appraiser may not be excluded from consideration for an assignment for a
federally related transaction solely by virtue of membership or lack of
membership in any particular appraisal organization.
2. Any
determination of competency shall be based upon the individual's experience
and educational background as they relate to the particular appraisal
assignment
3. Sec. 564.7 Enforcement.
Institutions and
institution-affiliated parties, including staff appraisers and fee appraisers,
who violate this part may be subject to
removal and/or prohibition
orders, cease and desist orders,
and the imposition of civil money penalties pursuant to the Federal Deposit
Insurance Act, 12 U.S.C. 1811 et seq., as amended, or other applicable law.
*A
lender must consider an appraiser
based upon licensure and competency for AN ASSIGNMENT (in the
singular) and Not based on
membership (or lack thereof).
A
lender cannot say, we approve appraisers once a year (see for AN ASSIGNMENT
ABOVE), nor can they say, we are NOT adding to our list now (AN ASSIGNMENT).
When
an AGENCY generated appraisal job via a Real Estate Agent or a Mortgage
Brokerage AGENT comes to the appraiser, then the APPRAISER INDEPENDENCE, and
the LAW OF AGENCY supersede a lender having any control over the ordering
process, or steering the agent to “One of THEIR” approved appraisers.
*If
they refuse to accept any appraiser’s work (who has valid experience/education
and in good standing), the lender is in violation
and can be forcibly shut down with a Cease and Desist order.
SOLUTION:
Find an Anti-Trust Attorney, and start filing Cease and Desist orders.
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