Federal regulators have amended their interagency appraisal and evaluation guidelines for real estate transactions, and confusion has set in.
[IMAGE] According to ""Pro Teck Valuation Services"":http://www.protk.com, the 70 pages of hard-to-decipher rules and conditions have led industry participants to ask the following question more than anything else: ""What can I use to replace broker price opinions (BPOs)?""
The regulatory guidelines state that in lieu of appraisal for certain transactions, an evaluation based on analytical[COLUMN_BREAK]
methods or technological tools can be used as long as the property's actual physical condition is addressed.
Pro Teck, a national provider of residential real estate valuations headquartered in Massachusetts, has two products that meet the new interagency requirements, ValueFocus Condition AVM and CollateralPoint Field.
ValueFocus is an automated valuation model (AVM) that also includes site inspections to incorporate property condition elements into the value result. Pro Teck says the combination of an AVM with a subject property condition report is a cost-efficient solution to meet today's valuation requirements.
CollateralPoint is Pro Teck's proprietary valuation tool. CollateralPoint Field weighs collateral, market demographic, and economic data, and then utilizes multiple industry-accepted valuation methods as well as a site inspection that are reviewed, filtered, and adjusted by an appraiser. CollateralPoint Field is appropriate when an appraiser is needed to ensure the most accurate valuation, Pro Teck explained.
Both ValueFocus Condition AVM and CollateralPoint Field are in production and available for client use today.