An MLO receives an appraisal that comes in $15,000 below the contract price. The MLO contacts the appraiser and says, "I noticed you didn't include the recent comparable sale on Maple Street. Could you reconsider your valuation?" This action is:
Correct Answer
B) Prohibited appraisal pressure regardless of intent
Under Dodd-Frank Act Section 1472 and implementing regulations, any attempt by a loan originator to influence an appraiser's valuation is prohibited, even when providing factual information. The communication constitutes prohibited pressure regardless of the legitimacy of the comparable sale.
Why This Is the Correct Answer
Under Dodd-Frank Act Section 1472 and implementing regulations, any attempt by a loan originator to influence an appraiser's valuation is prohibited, even when providing factual information. The communication constitutes prohibited pressure regardless of the legitimacy of the comparable sale.
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An MLO moves from State X (requiring a $50,000 bond) to State Y (requiring a $75,000 bond) and transfers their license. Their current bond is for $50,000. What must occur before the MLO can originate loans in State Y?