Posted by GOLDGIRL/CA on 10/8/12 1:09am
Msg #437621

E-mailed appraisals

I just ran across this while cruzing the internet. I don't know if it's fact or not but I found it interesting because most appraisals are e-mailed to borrowers anymore. Hardly anyone gets them on paper. Of course, I don't know if the lender is sending them unencrypted or encrypted, but I'd bet $$ they just press the forward button. (Unless the lender is tooo lazy to do even that but expects us to print it out as part of the loan pkg. Grrr. But that's another story):


Is your appraisal operation violating Federal law?
Our free white paper will give you the answers.

Gramm-Leach-Bliley specifically prohibits the transfer of appraisals via unencrypted e-mail. Many lenders aren't aware of how GLBA affects appraisal operations, but this paper will give you the details to mitigate your compliance risks.

Reply by Karla/OR on 10/8/12 2:52am
Msg #437626

GOOD research! Thanks! n/m

Reply by sigtogo/OR on 10/8/12 10:32am
Msg #437640

do you have a link to this paper? n/m

Reply by GOLDGIRL/CA on 10/8/12 11:38am
Msg #437659

Here you go, sigtogo

Here's what I saw:

"Receiving e-mailed appraisals
violates Federal law
Download compliance guidelines. "

So I clicked on Download, and it took me to Mercury Network (800-434-7260) which had this "Send me my free white paper now" link for "Compliance Guidelines: Appraisal Operations and the GLB Act." You have fill out this form with your name and e-mail.

This was just attached to the Reg Z thing I was reading so I don't know how it works beyond that.

Reply by Pro Mobile Notary on 10/8/12 10:34am
Msg #437641

There is nothing contained in an appraisal that cannot be found in less than 5 minutes on the web. The only personal information on an appraisal is the name and address of the owner (public record easily found) and the balance of the loan (also easily found in most states).

I fail to see the need for encrypting an appraisal report.

Reply by ReneeK_MI on 10/8/12 11:21am
Msg #437651

The non-public information ...

is the proposed new Lender's name, and the amount of the proposed new loan, and contact information such as phone numbers and e-mail addresses - which would/could be on either or both the appraisal request & the actual appraisal.

Reply by VT_Syrup on 10/8/12 11:21am
Msg #437652

What about the value of the property? The appraiser uses a different approach to value than the property tax authorities, so the appraisal is potentially different from the appraised property tax value.

Reply by ArtG/KS on 10/8/12 11:25am
Msg #437654

Appraisel reports are considered confidential at least in my state. Some states in the real- estate world are non-disclosure states meaning that the real-estate transaction information is held confidential for legal and other reasons.

I would not chance this myself even if I do a CMA or BPO which I can do in Kansas as a real-estate licensee. A certified appraiser in my state is bound by GLB privacy act and the Sarbanes-O act as well. It matters not what source you go to get that information, I would not disclose it other than on paper direct to the title holders or borrowers.