The Credit Union National Association (CUNA) President and CEO Jim Nussle penned a letter (June 19) to the ranking members from the House Financial Services Subcommittee on Housing, Community Development and Insurance, commending them for taking an important step in governing appraisers as outlined in The Homebuyer Assistance Act of 2019.

Nussle outlined in his letter his appreciation on behalf of America’s credit unions for Congress to host its hearing entitled “What’s Your Home Worth: A Review of the Appraisal Industry.”

“Appraisals play a critical role in the home purchase process and a credit union’s assessment of the safety and soundness of providing a consumer with a home loan by helping to ensure that a mortgage does not exceed the value of the home that serves as its collateral,” Nussle wrote. “Accordingly, greater uniformity and consistency in the federal standards governing appraisers helps to reduce the costs associated with issuing mortgage loans to credit union members.

“The ‘Homebuyer Assistance Act of 2019,’ introduced by Rep. (Brad) Sherman (D-Calif.), is an important effort in this respect,” Nussle added. “The bill would increase uniformity in the federally-backed mortgage loan market by ensuring that the Federal Housing Administration’s appraiser requirements are identical to those currently employed by Fannie Mae and Freddie Mac concerning licensed appraisers. As a result, credit unions would be able provide members with more choices for federally-backed loans without having to worry that an appraisal will not satisfy a program’s requirements due to their differing appraiser certification standards.”

Nussle noted that should the Homebuyer Assistance Act of 2019 pass, it will be a positive change for both consumers and lenders in the mortgage market.