Las Vegas real estate, mortgage, appraisal blog

The new HVCC is under scrutiny by the OCC, according to an article in Reuters and is not faring well. John Dugan, the Comptroller of the Currency, says that the deal tries to do too much and will accomplish far too little.

The deal struck between the two mortgage-finance giants and New York Attorney General Andrew Cuomo in early March will not eliminate flawed appraisals and might unduly burden mortgage companies.

"It is not clear that the appraisal function should be outside the institution," Dugan said, responding to questions at an Excheqeur Club luncheon.

Dugan said appraisers affiliated with a mortgage lender can bring a level of quality control that might not exist with a third-party institution.

"I don't think you can address all the issues with a blanket prohibition like that," Dugan said.

A statement from the OCC is expected soon. Despite halving the amount of time regulators were willing to accept comments on the plan many are making sure that their voices are being heard.