Giving lenders a new tool to monitor appraisal compliance, Valligent, a provider of appraisal review and collateral due-diligence services, has joined forces with Clearbox LLC, a provider of appraiser credentials and compliance for valuation service professionals.
By integrating Clearbox’s appraiser credentialing database and background checks with Valligent’s collateral auditing services, the companies hope to provide lenders with a comprehensive appraiser selection and due-diligence service.
To date, lenders have had limited solutions for conducting appraiser due diligence, according to Jeremy McCarty, CEO of Valligent.
“Too many lenders rely solely upon appraisal management companies for appraiser selection and appraisal quality, yet it is the lender and only the lender that is responsible for both,” McCarty said. “Now that regulators are starting to focus on appraisal due diligence, we are delighted to partner with Clearbox to provide lenders a full spectrum of solutions in this increasingly prominent area.”
The companies also say the integration will enable lenders to work proactively with their appraiser panels to identify potential risks, which will result in fewer loan losses and less appraisal fraud over time. Both Valligent and Clearbox provide process documentation and extensive monthly reporting, which can be made available to share with regulators in the event of an audit.
“Access to better data means lenders can now make informed decisions,” Clearbox Founder and CEO Joan Trice said. “This integration is a perfect marriage of blending appraisal quality scores with appraiser credentials. After all, honest and competent appraisers produce credible appraisal reports. No doubt, this is a winning formula.”
Founded in 2002, Roseville, Calif.-based Valligent provides residential appraisal due diligence, regulatory compliance, appraisal underwriting and quality advancement to the lending industry.