Solidifi Meets Compliance Tests for New Appraisal Requirements

""Solidifi U.S."":http://www.Solidifi.com, a Toronto-based appraisal management firm with its domestic headquarters in Chicago, announced this week the completion of an internal audit to ensure the company meets or exceeds financial regulatory reform.
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The company based its audit on the demands of the now-sunset Home Valuation Code of Conduct (HVCC), the Federal Housing Administration's (FHA) appraiser independence guidelines, the requirements of the Dodd-Frank Act and its supporting interim final rules, and revisions to regulators' interagency guidelines.

""The industry needs tools to boost precision, quality, and transparency to rekindle investor confidence,"" said Griff Straw, CMB, president of Solidifi U.S. ""Transparency and appraisal quality are among the industry's most important issues, and we are built from the ground up to meet all the tests for this new era of oversight and regulation.""

In regard to ""reasonable and customary compensation,"" Solidifi's full fee appraisal model predated the regulations

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by accepting the fees without fee splits requested by appraisers. The regulations require adherence to only one of two presumptions of compliance, but Solidifi meets tests for both with a three-test approach to verify accordance to the rules.

""Appraiser independence and undue influence prevention"" is another function of the Solidifi Values platform, restricting communication between Solidifi (or the lender) and the appraiser solely to those authorized under the regulations.

The company provides a hotline for appraisers to report and discuss coercion incidents as well as an investigative channel for complaints.

Regarding ""direct or indirect conflict of interest"" in the property or transaction by the provider of the valuation services, Solidifi is not owned by nor has ownership in a bank, a mortgage lender, or a settlement services company.

""Mandatory reporting of appraiser misconduct"" is overseen by Solidifi's team of certified review appraisers. Non-appraiser staff is trained in USPAP (Uniform Standards of Professional Appraisal Practice) methods in order to enhance detection and identification of USPAP violations.

For ""quality control and appraisal review"" considerations, the company provides supplemental capabilities to lenders wishing to augment or outsource their quality control process.

""Anticipating the regulations designed to ensure quality and appraiser independence may appear prescient, but it was really an example of focusing on what it takes to have the highest possible quality product,"" Straw said.