Policy Documents

Strengthening Appraiser Independence and Improving the Valuation Process

Federal Housing Finance Agency –
October 14, 2009

Pending federal legislation could end the Home Valuation Code of Conduct, instituted in 2009 to protect consumers against inflated home appraisals.

Critics -- including many of those who support the code's overall goal of protecting against fraudulently inflated home valuations -- say the code is hurting the home appraisal industry as a whole. The code was negotiated as an agreement among New York Attorney General Andrew Cuomo (D), mortgage industry giants Fannie Mae and Freddie Mac, and the Federal Housing Finance Agency, which regulates Fannie and Freddie.