Low Rates and Plentiful Appraisal Waivers
The graph below comes from Len Kiefer, the data guru at Freddie Mac. Are we due for even lower rates? Who knows. But they have been lower not long ago.
Theoretically, appraisers should have been really busy since about November 2018 through this past year. Were you? Me, not so much, but I don’t work for many AMC’s either.
The fact that the GSEs and others have diminished the value of getting an appraisal done has adversely impacted our work. Waivers are plentiful now, and the raising of the de minimus threshold to $400K for non-GSE loans has reduced the number of necessary appraisals.
I’ve often said everything in life is cyclic. There are life cycles. Mortgage rates are no different.
Will be interesting to see if current rates go lower, and when the upturn will happen.