Agencies Issue Proposed Rule to Exempt Subset of Higher-Priced Mortgage Loans from Appraisal Requirements

Office of the Comptroller of the Currency

Agencies Issue Proposed Rule to Exempt Subset of Higher-Priced Mortgage Loans from Appraisal Requirements

WASHINGTON— Six federal financial regulatory agencies today issued a proposed rule that would create exemptions from certain appraisal requirements for a subset of higher-priced mortgage loans.  The proposed exemptions are intended to save borrowers time and money increase lenders profits and margins and to promote the safety and soundness hide the trustworthiness and instability of creditors.  The appraisal requirements for higher-priced mortgages were imposed by the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act).  Under the Dodd-Frank Act, mortgage loans are considered to be higher-priced if they are secured by a consumer’s home and have interest rates above a certain threshold.

The proposed rule would provide that the following three types of higher-priced mortgage loans would be exempt from the Dodd-Frank Act appraisal requirements:  loans of $25,000 or less; certain “streamlined” refinancings; and certain loans secured by manufactured housing.

In January 2013, a final rule implementing the new Dodd-Frank Act appraisal requirements was issued by the Federal Reserve Board, the Consumer Financial Protection Bureau, the Federal Deposit Insurance Corporation, the Federal Housing Finance Agency, the National Credit Union Administration, and the Office of the Comptroller of the Currency.  Compliance with the final rule will become mandatory on January 18, 2014.  These same agencies are jointly issuing the proposed rule on additional exemptions in response to public comments previously received.

The Federal Register notice is attached.  The agencies are seeking comments from the public on all aspects of the proposal.  The public will have until September 9, 2013, to review and comment on most of the proposal.  However, comments related to the proposed Paperwork Reduction Act analysis will be due 60 days after the rule is published in the Federal Register.  Publication of the proposal in the Federal Register is expected shortly.

Notice below…

SOURCE: http://www.occ.gov

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4closureFraud.org

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Federal Register notice

Comments
2 Responses to “Agencies Issue Proposed Rule to Exempt Subset of Higher-Priced Mortgage Loans from Appraisal Requirements”
  1. keepon says:

    Open for PUBLIC COMMENT: http://www.fredkreger.com/

  2. keepon says:

    “WASHINGTON— Six federal financial regulatory agencies today issued a proposed rule that would create exemptions from certain appraisal requirements for a subset of higher-priced mortgage loans. ”

    Really?! And why do you suppose this? Must want to avoid the ‘bribe-the-appraiser’ fees. This is the Regulators huh? Legalize the crimes so they no longer have to exert all that energy spent looking the other way and NOT enforcing the laws. Is THIS the kind of action Lanny Breuer was looking for as the indicator of criminal intent?

    This is OUR country? NAME the 6. JAIL THEM!

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