Modern Appraisal Management Services
Independence, Integrity & Quality Requirements
By accepting, you are stating that you have read, understand and agree to adhere to the Modern Appraisal Management Services’ Appraiser Independence & Quality Requirements.
Standards of Quality & Integrity
- All appraisal reports are to be completed properly and in accordance with the requirements of the applicable agency (i.e. FNMA, FHLMC,FHA,VA or individual institution); and must meet the minimum standards established under the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA).
- Appraisers shall perform and practice in compliance with the Uniform Standard of Professional Appraisal Practice (USPAP).
- Appraisers must be state certified.
- Modern Appraisal Management Services will not tolerate any unacceptable appraisal practices, or any subjective or biased appraisals. Appraisers must comply with all applicable federal, state, and local regulations that prohibit discriminatory appraisal practices, including but not limited to Appraiser Independence Requirements.
Unacceptable Appraiser Practices
- Inclusion of inaccurate or created factual data about the subject neighborhood, site, improvements, or comparable sales.
- Failure to comment on negative factors with respect to the subject neighborhood, subject property, or proximity of the subject property to adverse influences.
- Use of comparables in the valuation process even though the appraiser has not personally inspected the exterior of said comparables without at least driving by them.
- Selection and use of inappropriate comparable sales (i.e. the failure to use comparables that are in proximity and physically the most similar to the subject property).
- Use of data, particularly comparable sales data, which was provided by parties who have a financial interest in the sale or financing of the subject property without the appraiser’s verification of the information.
- Use of adjustments to the comparable sales that do not reflect the market’s reaction to the differences between the subject property and the comparables, or the failure to make adjustments when they are clearly indicated.
- Development of a valuation conclusion that is based, either partially or completely, on the sex, race, color, religion, handicap, national origin, or familial status of either the prospective owners or occupants of the subject property, or properties of the present owners or occupants in the vicinity of the subject property, or that is based on any other factor that local, state, or federal law designates as being discriminatory, and thus prohibited.
- All appraisals are required to include a copy of the appraisers’ state license in each loan file.
- All appraisers are to adhere to the requirements as stated in the appraisal report disclosure including “Definition of Market Value”, “Statement of Limiting Conditions”, and “Appraiser’s Certification.”
- No appraiser is authorized by Modern Appraisal Management Services to “influence value.” If such a request is made by an employee or client of Modern Appraisal Management Services, the request should be denied and the requestor should be referred to this letter for the reason for denial of the request.
- If any type of request to influence value is persistent or consistent from any employee or client of Modern Appraisal Management Services, immediate notification is to be made to Modern Appraisal Management Services by contacting: firstname.lastname@example.org
By accepting, you are acknowledging receipt of this communication, stating that you have read, understand and agree to adhere to the information contained above in the Modern Appraisal Management Services’ Appraiser Independence & Quality Requirements.