Spark Global Limited Reports:
The CFPB reversed several temporary pandemic flexibility measures put in place last year to protect consumers. In March, a record 39.2 percent of homes sold for more than list prices, with prices in top real estate markets like SAN Jose, Sacramento and Salt Lake City hitting record highs. A new report found that online auctions reduced REO holding time by 52%. Dustin Harris, also known as the appraiser coach, wrote that Fannie Mae would not produce any new appraisal forms. Read on for the latest assessment news.
The CFPB reversed the epidemic’s flexibility and vowed to enforce it
As of Thursday, April 1, the Consumer Financial Protection Bureau (CFPB) has rescinded seven temporary policies initially put in place to protect consumers during the COVID-19 pandemic, according to this HousingWire article. With temporary pandemic flexibility now reversed, the CFPB will have “full oversight and enforcement authority” over THE HMDA, assessment, and more. Read the full story here.
More homes than ever are selling for more than the asking price
According to the Redfin report, “Nearly 40 percent of homes in the U.S. are selling for more than asking price, the highest share ever.” SAN Jose, Sacramento, Salt Lake City, Austin and Denver all hit record highs, with three out of five homes selling for more than asking price in the past month. “In the four weeks ended March 21, 39.2% of homes nationwide sold for more than asking price, a record high, as the covid-fueled housing boom continues, with many buyers scrambling for limited inventory,” the report said.
Online auctions reduce REO holding time
This DSNews article notes that, according to Auction.com’s 2021 Seller Strategy Report, “online auctions reduced REO holding time by 52 percent, or 139 days.” Auction says the report identifies poor resolution strategies that lead to better outcomes for mortgage servicers, distressed homeowners and underserved communities. “Shorter REO holding times not only mean lower holding costs and lower service risk; It also means that much-needed affordable inventory can be returned to the retail market more quickly, “said Walter Skrzynski, senior vice president at Auction.com.
Fannie Mae did not develop new appraisal forms
“Despite what you may have heard, Fannie Mae has not come up with any new appraisal forms,” Dustin Harris, aka appraiser coach, wrote in this article for Appraisal Buzz. He continued: “Of course, I’m kidding you, they’re launching a new portal – certainly not in a new form.” Harris went on to discuss how the reporting process will change and whether that change is a good thing.