HVCC Compliance

With the use of Fidelity’s appraisal management services,     you are assured of being in full compliance with the HVCC rules   and all new Fannie Mae and Freddie Mac requirements.

Fannie Mae and Freddie Mac now purchase roughly 80 percent of all home loans originated in the United States. Beginning May 1st, 2009, Fannie Mae and Freddie Mac started requiring that lenders represent and warrant that appraisals related to mortgage loans originated on or after May 1, 2009 conform to the new Home Valuation Protection Program or, with few exceptions, they will not be purchased.

The new requirements govern appraisal selection, solicitation, compensation, conflicts of interest and corporate independence, among other reforms. Under the new Code:

• Mortgage Brokers, realtors and loan officers are prohibited from selecting and influencing appraisers;
• Lenders are prohibited from using "in-house" staff appraisers to conduct initial appraisals and
• Lenders are prohibited from using appraisal management companies wherein they have any ownership stake or control.