Comment Submitted by Andrews Appraisal Service, Inc.
AnonymousSupportIndividual
Summary: The commenter is a private appraiser who argues that FHA regulations are overly cumbersome and expensive. They support the proposed action of reducing "red tape" and allowing the free market to dictate mortgage principles to make FHA products more competitive.
FHA must compete in the open market place in this new era. As an appraiser, I have gone from completing 25-30% of my total appraisal reports to 0% over the 10 years. FHA regulations are cumbersome and expensive and they do not have to be in order to remain secure. Allow the free market to dictate use and not heavy handed, regulations. FHA can be a useful tool for buyers at all levels of lower income, first and second home and low down payment buyers, but ONLY if the regulations and red tape are cut in triplicate. The move from FHA panel appraiser to Lender Select Roster was a championship move, and now this mortgage option needs that kind of revolutionary change. As an appraiser, I enjoyed that business and believed that it was my contribution in helping those buyers but with the lower conventional thresholds and interest rates over the past 5 years, my FHA appraisal business, went the way of the dinosaur. I'd like to get back to the FHA 'hay days' and the ONLY way for that to happen is for FHA to set the foundational FHA mortgage principles and allow the free market to work and then, get out of the way.