Appraisal issue coming to a head

NAR calls for suspension of rules governing Fannie, Freddie loans

An increasingly common complaint of Realtors — that "lowball" appraisals below agreed-upon sales prices are derailing many home sales — has been taken up by industry trade groups.

The National Association of Realtors and the National Association of Home Builders have both identified issues surrounding appraisals as a factor putting a damper on sales of new and existing homes in May — the first month new rules governing appraisals conducted on loans slated for purchase by Fannie Mae and Freddie Mac took effect.