Appraisal Institute News

May 17, 2023 08:30 AM

FHFA Rescinds Upfront Fees for Mortgages Based on DTI Ratio

The Federal Housing Finance Agency announced May 10 that it has rescinded the upfront fees based on borrower debt-to-income ratio for loans purchased by Fannie Mae and Freddie Mac. The agency changed its original plan based on stakeholder feedback.

May 17, 2023 08:30 AM

Washington State Drops Single-family Zoning

Washington Gov. Jay Inslee on May 8 signed HB 1110, legislation that lifts zoning restrictions on duplexes and fourplexes — referred to as “middle housing” — in areas zoned for single-family properties. The law is intended to alleviate housing supply issues. The state’s Department of Commerce will provide guidance for implementing the new requirements and developing a model middle housing ordinance.

May 10, 2023 08:30 AM

Appraisal Standards Board Adopts New Edition of USPAP

The Appraisal Standards Board on May 5 voted to adopt the Fifth Exposure Draft of proposed changes to the Uniform Standards of Professional Appraisal Practice. The new edition will be available this fall and take effect Jan. 1, 2024. Unlike previous editions, it will not have an end date.

May 10, 2023 08:30 AM

Agencies Outline Enforcement Efforts Against Discrimination, Bias in Automated Systems

The Equal Employment Opportunity Commission, Federal Trade Commission, Consumer Financial Protection Bureau and the Department of Justice on April 25 issued a joint statement explaining their enforcement efforts to protect against discrimination and bias — including housing and lending — in automated systems, including machine learning, statistical models and artificial intelligence systems.

May 10, 2023 08:30 AM

Arizona Enacts Statute of Repose; Florida Close to Doing So

Efforts to limit real estate appraiser liability are advancing in the states as Arizona Gov. Katie Hobbs signed HB 2230 on April 18 and the Florida legislature sent HB 213 to Gov. Ron DeSantis to sign on May 2. Both bills limit the length of time during which a civil action can be initiated against an appraiser.

Apr 19, 2023 08:30 AM

Next 90 Days Critical for Multifamily, Will Set Expectations for 2023: CoStar

The spring leasing period is critical for multifamily, and performance over the next 90 days should set the tone for how the sector performs this year, according to CoStar Group, GlobeSt.com reported April 11. Multifamily conditions appear to be improving, but a record number of units under construction coupled with tightening financial conditions could delay a recovery.

Apr 19, 2023 08:30 AM

FHFA to Host Second ASC Hearing on Appraisal Bias

The Federal Housing Finance Agency will host on May 19 a second Appraisal Subcommittee hearing on appraisal bias in cooperation with ASC member agencies. The hearing will focus on the appraisal regulatory structure, including standards, qualification criteria, practices and entry into the profession.

Apr 19, 2023 08:30 AM

AI Letter to FHFA Critical of Value Acceptance Program

The Appraisal Institute on April 13 sent a letter to Federal Housing Finance Agency Director Sandra Thompson that was critical of Fannie Mae’s “value acceptance” program. AI expressed its concerns about the program's potential effect on the valuation profession.

Apr 12, 2023 08:30 AM

Single-tenant Net Lease Cap Rates Rise: The Boulder Group

Cap rates in the single-tenant net lease sector increased during the first quarter, marking four consecutive quarters of growth, The Boulder Group reported April 6 in its Q1 2023 Net Lease Market report. Industrial cap rates rose to 6.77% while retail and office cap rates reached their highest level since the third quarter 2020 at 6.05% and 7%, respectively.

Apr 12, 2023 08:30 AM

CRE Values to Drop as Banks Dump Failed Assets: Report

Following the failure of Silicon Valley Bank, $72 billion of commercial mortgage-backed securities sold at a discount of $16.5 billion, and more fire sales of older CMBS are expected, according to a MarketWatch report, GlobeSt.com reported April 3. Those quick sales could speed up a markdown of commercial real estate valuations by banks.

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AI News

FHFA Rescinds Upfront Fees for Mortgages Based on DTI Ratio

Washington State Drops Single-family Zoning

Appraisal Standards Board Adopts New Edition of USPAP

Agencies Outline Enforcement Efforts Against Discrimination, Bias in Automated Systems

Arizona Enacts Statute of Repose; Florida Close to Doing So

Next 90 Days Critical for Multifamily, Will Set Expectations for 2023: CoStar

FHFA to Host Second ASC Hearing on Appraisal Bias

AI Letter to FHFA Critical of Value Acceptance Program

Single-tenant Net Lease Cap Rates Rise: The Boulder Group

CRE Values to Drop as Banks Dump Failed Assets: Report