Ohio to Regulate AMCs
Some states are beginning to wonder how fair it is that a bank has a vested interest in the appraisal company that determines who handles the valuation of the homes used in its real estate finance transactions. Ohio state Rep. Stephen Slesnick and the Ohio Coalition of Appraisal Professionals last week introduced a bill that would regulate and license appraisal managment companies under the state's Department of Commerce's Real Estate Division.
The bill would require companies to use only licensed appraisers and a human-eye review by a licensed appraiser for all computer generated appraisals. In addition, the bill prohibits AMCs from attempting to influence an appraiser's property value estimate.
Read the Dayton Daily News story here.