Software Provider Praises HVCC, Joins Forces with Underwriter

Global DMS, a provider appraisal process management software, and Loan-Score Decisioning Systems, an automated underwriting provider, integrated their systems to try to speed up appraisal orders for brokers. The move shows tactical support for the Home Valuation Code of Conduct (HVCC) as more and more firms take sides over the new regulation. In October, House of Representatives lawmakers approved a bill that seeks to “sunset” the HVCC. In response, a trade group for the appraisal management company (AMC) industry said if the bill passes, it may lead to the same damaging business practices that puts pressure on property appraisers. The HVCC aims to prevent commission-based originators from influencing the work of real estate appraisers. Critics say the HVCC unnecessarily increases business opportunities for AMCs, at the expense of deal momentum. Vladimir Bien-Aime, CEO and co-founder of Global DMS said the HVCC can’t be blamed for slowing down the business: “I feel that HVCC is very good for the industry. While no guidelines are perfect, HVCC is already helping to clean up the way appraisals are handled, simply by standardizing best practices,” Bien-Aime said. HousingWire is currently putting together its first supplement for subscribers that explores ultimately whether HVCC is a good for the mortgage finance business. The integration will automate the loan process and limit access to certain actions and information according to the user’s job function. Once the broker submits a loan from within Loan-Score’s broker portals, it is filtered through Global DMS HVCC guidelines. “What seems to be slowing the business down is that most people aren’t accustomed to following best practices. As they transition to a safer process that promotes accountability, of course they’re going to spend more time taking best-practice actions they had been overlooking or avoiding in the past,” Bien-Aime told HousingWire. When Bien-Aime sat down with HousingWire today for In This Corner, he explained why HVCC should stay. He added that that the Global DMS integration with Loan-Score Decisioning Systems would speed up the process because it automates many actions. “Lenders and brokers can request, pay for, and follow up on appraisals, all from one system. The system follows guidelines and automatically looks for violations, which is a huge time saver right there,” Bien-Aime said. The Global DMS OASIS platform, which is designed for lenders, evaluates and scores collateral similar to a credit check. It works by extracting data points off a PDF or scanned appraisal report, then translates the data to XML, storing it in a database. It then checks the information against the HVCC rules. Write to Jon Prior.

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