An MLO's spouse owns a small appraisal management company. The MLO wants to use this AMC for loans they originate. Under AIR, this arrangement is:
Correct Answer
A) Prohibited due to the family relationship creating a conflict of interest
AIR prohibits mortgage loan originators from having financial interests in appraisal services providers. A spouse's ownership in an AMC creates a prohibited financial interest that cannot be cured through disclosure or recusal.
Why This Is the Correct Answer
AIR prohibits mortgage loan originators from having financial interests in appraisal services providers. A spouse's ownership in an AMC creates a prohibited financial interest that cannot be cured through disclosure or recusal.
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