As our industry continues to rebound from the turbulence of late 1998, many lenders find themselves faced with the challenge of operating in an increasingly competitive market that offers decreasing loan quality.
Appraisal reviews are one area that seems to really highlight this problem. Many lenders have successfully relied on additional software to improve appraisal reviews. But some have improperly tried to base loan decisions on supplemental reports that have inferior data, such as drive-by appraisals and field reviews. Applying a more uniform standard to appraisal analysis has become an increasingly daunting task.