Agenda Summary National Association of REALTORS® 2011 REALTORS® Conference Anaheim Marriott Hotel Grand Ballroom F, Lobby Level Friday, November 11, 2011 2 p.m. – 4 p.m.
Chair: Francois Gregoire, St. Petersburg, FL Vice Chair: Jonathan M Hall, St Marys, OH Committee Liaison: Pamela Monroe, Pleasantville, NJ Committee Executive: Jerome Nagy, Washington, DC, Heidi Henning, Chicago, IL
Purpose: To serve the specialized need of those members with an interest in real estate appraisal by: 1) monitoring, reviewing, examining and analyzing appraisal-related issues for NAR; 2) referring appraisal-related issues to appropriate NAR committees for their consideration; and 3) providing recommendations on appraisal-related issues to the Board of Directors.
1. Call to Order and Introductions – Frank Gregoire
2. Approval of May 2011 Meeting Minutes – Frank Gregoire
3. Valuation Work Group Update – David Wluka, Workgroup Chair and Vince Malta, Vice President & Liaison to Government Affairs
A. Real Property Valuation Committee (Proposal) Proposal: That NAR reconstitute the Appraisal Committee as a broader-based “Valuation Committee” comprised of appraisers, brokers and members engaged in other real estate disciplines as deemed appropriate.
C. Valuation Principles – Consideration for Approval (Please see attached) The Committee will consider the attached proposed principles for NAR policy to guide staff as it addresses the issue of real property valuation.
4. Legislative/Regulatory Update – Jerry Nagy A. Uniform Appraisal Dataset The Uniform Appraisal Dataset (UAD) standardizes key appraisal data elements to enhance data quality and promote consistency for mortgages purchased by the government sponsored enterprises (GSE), Fannie Mae and Freddie Mac. For appraisals with an effective date (date of inspection) on or after September 1, 2011, the appraisal report must be completed in compliance with the UAD for conventional mortgage loans sold to Fannie Mae or Freddie Mac.
B. Regulation of Appraisal Management Companies An appraisal management company (AMC) is a third party company between independent fee appraisers and lenders performing many of the administrative elements of the appraisal process. Independent AMCs are regulated to varying degrees by the states. AMCs that are subsidiaries of lenders are regulated at the federal level and not subject to state AMC registration requirements. All AMCs should be regulated at the federal level through the Financial Institutions Reform Recovery and Enforcement Act (FIRREA). This would allow for some regulation and oversight at the federal level but the states would be the primary vehicle for implementation and enforcement. It would also ensure a level playing field for the regulation of independent and bank-owned AMCs.