Ever since May 1, 2009, when Fannie Mae's new appraisal guidelines for home mortgages went into effect, buyers, sellers, real estate agents and loan originators have complained bitterly about the new process. It's inefficient, often inaccurate and time-consuming. In some cases, it could be contributing to lower home prices.
The new guidelines require lenders to select appraisers impartially. To comply, many large lenders hire appraisers from a third-party appraisal service company. The intent of the new guidelines was to keep loan originators from exerting pressure on appraisers.